Godongwana says wage hikes paint state into fiscal corner
Higher public sector wage bill and rising borrowing costs have put pressure on the budget
16 May 2023 - 20:28
The macrofiscal position presented in the February budget had changed “adversely and significantly” and the “risks into the future remain high”, finance minister Enoch Godongwana said in parliament on Tuesday.
A major contributor was the higher than expected public sector wage increase agreed to with trade unions earlier this year. High inflation also increased the government’s borrowing costs...
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