Comments - The ANC 2016 Budget, African Socialism Answers - Philip Copeman2024-03-28T09:49:30Zhttp://philipcopeman.ning.com/profiles/comment/feed?attachedTo=2353269%3ABlogPost%3A16402&xn_auth=noEither I just don't get it,…tag:philipcopeman.ning.com,2016-11-30:2353269:Comment:184062016-11-30T09:02:11.613ZPhilip Copemanhttp://philipcopeman.ning.com/profile/philipdc
<p class="western"></p>
<p class="western">Either I just don't get it, or our South African Executive is leading us into the Valley of Death. We have SARS patting themselves on the back this morning for collecting just over R1Trillion in Tax or 26% of GDP, but we have the Minister of finance telling us (In Feb 2016) that he has budgets to spend of R 1,350 that rely on a 30% collection. That effectively leaves us R 300BN short!</p>
<p class="western"></p>
<p class="western">Treasury's monthly…</p>
<p class="western"></p>
<p class="western">Either I just don't get it, or our South African Executive is leading us into the Valley of Death. We have SARS patting themselves on the back this morning for collecting just over R1Trillion in Tax or 26% of GDP, but we have the Minister of finance telling us (In Feb 2016) that he has budgets to spend of R 1,350 that rely on a 30% collection. That effectively leaves us R 300BN short!</p>
<p class="western"></p>
<p class="western">Treasury's monthly debt statement is a memorandum that plots the destruction. Is no one going to hold the executive to the fact that in Feb they promised us a Deficit of R 107 Bn, but now by their own estimate 6 months later this is going to be R 192 BN?</p>
<p class="western"></p>
<p class="western">In a simplistic comparison, dropping all the naughts – South Africa is like a family that earns R 10,000 per month and spends R 13,500 and uses a loan shark to fund the difference. We now spend more on debt that we do on the poor. Our solution is simply to seek an “<font face="Times New Roman, serif"><font size="3">innovative one - day new issue and tender switch transaction” Gordhan's words, not mine.</font></font> See Treasury's rollover strategy where it all comes to a payment head in 2028.</p>
<p class="western"></p>
<p class="western">We basically have the Minister of Finance telling us how negative we are, while our bloated Government Sector, rubber stamped by DA, Cope, IFP and EFF, borrow ever more money for their own salaries and leave our children to pay for it in 15 years time.</p>
<p class="western"></p>
<p class="western">The worst is that they are buoyed on by an electorate, that is a never ending que of the desperate vote sellers calling for even more handouts. This puts us in the trap that no opposition movement can even suggest a debt free strategy and hope to get more than 1% of the vote. The only choices available to us are those offered by parties that, for a suitable fee, will keep the scam going and kick the bucket down the road to oblivion. The worse it gets the more we promise.</p>
<p class="western"></p>
<p class="western">Can someone please tell me that I am wrong? I want to wake up and know that everything is OK and I am just being an alarmist.</p>
<p class="western"></p>
<p class="western"><a href="http://www.treasury.gov.za/comm_media/press/monthly/1611/mpff.pdf">http://www.treasury.gov.za/comm_media/press/monthly/1611/mpff.pdf</a></p>