JORDAN GRIFFITHS: Treasury, Sars and the Reserve Bank — the musketeers of the SA economy

Over the past few months, with the national budget having to be revised three times, there has been intense focus on processes within the Treasury — its planning, forecasting and co-ordination with other arms of the state. Naturally, this scrutiny has extended to its relationships with the SA Revenue Service (Sars) and the Reserve Bank. 

Six months ago I had the privilege of joining the Treasury in the office of deputy finance minister Ashor Sarupen. I write this not as a bureaucrat but as a political staffer, offering an insider’s perspective I believe readers of this publication will find valuable. 

By way of background, I previously worked in local government — a challenging environment, often made more difficult by dysfunctional interactions with provincial and national departments. The one exception was always the National Treasury. Every engagement with the Treasury was taken seriously. It was known for its cadre of skilled professionals, committed to the financial health of the country and to good governance at all levels. 

Now working within the Treasury, I can confirm this reputation is well-earned. The institution is marked by a high degree of professionalism and dedication to its mandate. Recently, several deputy directors-generals were appointed — all highly qualified individuals who rose through the ranks, many starting as budget analysts. The Treasury actively encourages further study, and it’s common for staff — junior and senior alike — to take sabbaticals for professional development and return with enhanced skills. 

The Treasury was recently tested like never before. The national budget was rejected not once but twice, forcing a fundamental rethink of how the Treasury engages with the political landscape. To be clear, the DA rejected both initial versions of the budget. The deputy minister I work for is from the DA, so you can imagine the tension.

We found ourselves working within an institution that our own party had taken to court over the most critical document in the country’s economic framework. There was frustration, strained relationships and heated debate over budget drafts we fundamentally disagreed with — culminating in a legal showdown. 

Yet, almost immediately after the court ruled in the DA’s favour the Treasury began scheduling consultations for a third iteration of the budget. The finance minister and deputy ministers worked together, setting aside differences. No hard feelings — just lessons learnt. Budget 3.0 was approved. 

On a recent trip to Washington DC, supporting SA’s G20 delegation at the Spring Meetings, I witnessed two other economic heavyweights in action. Reserve Bank governor Lesetja Kganyago led delegations in high-level engagements with the IMF and World Bank, navigating complex issues such as tariffs and global monetary policy with diplomatic finesse. 

At the same event I attended a seminar where Sars commissioner Edward Kieswetter presented to a packed room. He detailed the remarkable turnaround at Sars, highlighting digitisation initiatives that have transformed how the tax authority interacts with citizens. Sars has streamlined its customer interface, making tax compliance simpler and more efficient while also strengthening its ability to combat fraud. 

SA’s economy is in crisis. First-quarter growth was a mere 0.1% — a deeply troubling figure. To reduce unemployment and avoid tax hikes we must grow the economy, attract investment and get South Africans working. 

The Treasury is tackling this through Operation Vulindlela, driving reforms in energy and transport. Could progress be faster? Certainly. But the focus is there. Sars continues to enhance its systems to improve tax collection, while the Reserve Bank is working to stabilise inflation at 3% and gradually reduce interest rates. 

The economy is stagnant. We urgently need bold policy reforms in public procurement, business regulation and industrial development. Yet, in my short time at the Treasury I’ve been deeply impressed by the professionalism and commitment of the individuals leading our key financial institutions. These are skilled professionals and dedicated leaders — true musketeers of the SA economy. 

• Griffiths is private secretary and adviser to deputy finance minister Ashor Sarupen.