In a dramatic U-turn that blew a big hole in the country’s finances and potentially averted the break-up of the government of national unity (GNU), the Treasury has scrapped a planned hike in the VAT rate.

Finance minister Enoch Godongwana issued the Rates and Monetary Amounts and Amendments of Revenue Laws Amendment Bill on Thursday, scrapping a planned 0.5 percentage points VAT rate increase this year...

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