Budget gets cautious nod from economists and the market
The rand firmed and banking stocks soared after promises of cuts in government spending and taxes
26 February 2020 - 18:59
Economists and the rand responded well to plans to keep taxes low and cut the public-sector wage bill, though promises in the budget may not be enough to avert a downgrade of SA’s sovereign debt to junk status.
Local risk assets soared after finance minister Tito Mboweni’s budget speech, with the rand firming about 0.7% to the dollar, while local banking stocks jumped more than 6%. The generic 10-year government bond reached its best level in seven months...
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