Tito’s plan to save SA: Weighing up the rescue budget with Kevin Lings, Alec Hogg

Minister of Finance Tito Mboweni presented a rescue budget aimed at reversing the trajectories of soaring unemployment and plunging economic growth. He outlined two options for South Africa as it stares in the face of an open-mouthed hippopotamus. Mboweni said Cabinet has adopted the "active" approach, with a target of a primary surplus by 2023/24. "This will require spending reductions and revenue adjustments amounting to approximately R250bn over the next two years. These measures require difficult choices that will affect the economy and distribution of public resources," he cautioned on Wednesday. In this discussion, BizNews founder Alec Hogg and Stanlib Chief Economist Kevin Lings examine whether South Africa can emerge stronger after its battering by Covid-19 containment measures. – Editor

Finance Minister Tito Mboweni presented his supplementary budget today. It is a bridge between the February budget and the medium-term budget that comes in October and what a bridge it is. It shows that the collections of revenue of taxes are going to be R300 billion lower than there had been anticipated just a couple of months ago and that is because of the impact of Covid-19 and the lockdown in particular.

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