The government will have to spend almost a quarter of its tax revenue to service interest payments on its ballooning borrowing requirements over the next eight years, putting the nation’s debt “on the cusp” of being unsustainable, says Ninety One.

The Cape Town-based asset manager forecasts SA will have to borrow an average of R572bn a year for the next eight years, pushing total debt to about 95% of GDP and forcing the government to use about 24% of tax revenue to meet interest payments over that timeframe...

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