The supplementary budget puts forward a path to restore the sustainability of the fiscus, without compromising on important social programmes. The belief that we can spend our way out of low growth is misguided.

In considering our economic future beyond Covid-19 most economists agree that the best way to reduce SA’s debt burden is to grow the economy. Higher, more inclusive growth will be accompanied by higher investment and job growth that will place the economy on a sustainable path. It allows us to reduce debt service costs as a proportion of our spending, direct resources towards economic activities that can support long-run growth, and empowers the state to take care of the most vulnerable in our society...

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