Treasury gives thumbs down to DA’s fiscal rule proposal
The bill will not address the fundamental challenges the fiscus faces in SA, says the Treasury
The Treasury does not support the introduction of a fiscal responsibility rule — proposed by the DA with the aim of limiting the government’s ability to accumulate debt — as it believes it will not address the fundamental challenges the fiscus faces in SA.
Acting head of the Treasury’s budget office, Edgar Sishi, was responding in parliament on Tuesday to the Fiscal Responsibility Bill proposed by DA finance spokesperson Geordin Hill-Lewis. The bill aims to promote fiscal responsibility by obligating government to reduce its debt levels and exposure to debt and to introduce fiscal rules for the management of debt and government guarantees...