FINANCIAL TROUBLES
SA on one-way ride to a debt crisis, warns Michael Sachs
Former budget office head’s warning comes ahead of the tabling of the medium-term budget policy statement by finance minister Tito Mboweni
27 October 2020 - 23:56
UPDATED 28 October 2020 - 10:01
SA faces an inevitable fiscal crisis because it will not be politically possible or desirable to impose the kind of budget adjustments envisaged by the Treasury, says former budget office head and Wits adjunct professor Michael Sachs.
If the authorities fail to arrest rising debt, the country will be unable to finance its budget deficit, resulting in a default on debt and interest payments...
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