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PRETORIA — South Africa’s finances are coming under strain when looking at the 2017 Medium Term Budget Policy Statement (MTBPS). The Mini Budget indicates how South Africa’s GDP per capita income is falling while the country’s debt-to-GDP ratio has rocketed upwards and is now expected to approach the 60% mark in the medium term. Meanwhile, tax revenues continue to fall with government set to miss several targets in years to come. Just this year alone, SARS failed to collected an additional R50.8bn needed to meet this year’s target. But the projected shortfall is about to get worse with Treasury stating that “gross tax revenue for the 2017/18 – 2019/20 period is projected to fall short of the 2017 Budget estimates by R209 billion”. Here are five graphs that illustrate South Africa’s worrying state of affairs. – Gareth van Zyl
South Africa’s per capita income
Growth in gross tax revenue and nominal GDP
Main budget revenue and non-interest spending
Gross debt-to-GDP outlook without additional fiscal measures
Cyril Ramaphosa: The Audio Biography
Listen to the story of Cyril Ramaphosa's rise to presidential power, narrated by our very own Alec Hogg.