President Cyril Ramaphosa’s plan to kick-start economy unfolds
Ramaphosa’s office says the stimulus package will reprioritise government spending, within the existing fiscal framework
A large government infrastructure fund that can draw in investment and expertise from the private sector is at the centre of President Cyril Ramaphosa’s fiscal stimulus proposal, he told a high-level meeting of CEOs and labour leaders at the Union Buildings on Friday. Ramaphosa’s proposal has been in the making since it was first mooted by the ANC at the end of July, but last week rapidly began to take form, with Ramaphosa holding high-level meetings on the proposal with officials from the Treasury, the department of monitoring & evaluation and stakeholders. Ramaphosa, who has vowed to revive the economy and clean up corruption, told the meeting he hoped to emulate the infrastructure fund of Indian Prime Minister Narendra Modi, who has mobilised billions from Indian banks to fund highways, airports and power plants.
Ramaphosa first mooted a stimulus package in July, before shock second-quarter GDP data indicated that the economy is in recession, shattering his stated target of...