• News
  • Sport
  • TV
  • Radio
  • Education
  • TV Licences
  • Contact Us

For all official information and updates regarding COVID-19, visit the South African Department of Health's website at www.sacoronavirus.co.za

No Result
View All Result
  • SOUTH AFRICA
  • POLITICS
  • BUSINESS
  • SPORT
  • AFRICA
  • WORLD
  • SCI-TECH
  • LIFESTYLE
  • FEATURES
  • OPINION
Home Coronavirus

Mboweni to table new budget to reallocate funds for COVID-19

24 April 2020, 4:33 PM  |
SABC SABC |  @SABCNews
Finance Minister Tito Mboweni says the South African economy will rebound in 2020.

Finance Minister Tito Mboweni says the South African economy will rebound in 2020.

Image: SABC News

Finance Minister Tito Mboweni says the South African economy will rebound in 2020.

Finance Minister Tito Mboweni says COVID-19 expenditure has changed the fiscal framework and he will soon be tabling a new Budget Bill before Parliament.

Mboweni was addressing the media in Pretoria.

He has confirmed that National Treasury is in talks the Brics Bank, International Monetary Fund (IMF) and the World Bank to access funding set aside to fight the COVID-19 pandemic.

Government plans to raise R370 billion from both local and international sources.

Mboweni says government will also postpone some of its programmes so that it can re-allocate R130 billion in expenditure.

Mboweni says the Reserve Bank’s measures increase the amount of assistance to over R800 billion in interventions to assist the economy and the fight against coronavirus.

Minister @tito_mboweni briefs media on the #R500billionPackage says: A special Covid-19 Social Relief of Distress grant of R350 a month for the next 6 months will be paid to individuals who are currently unemployed and do not receive any other form of social grant or UIF payment.

— National Treasury (@TreasuryRSA) April 24, 2020


Government’s measures include an additional R20 billion to address the pandemic and R50 billion to increase social security measures like increased grants.

The Reserve Bank has dropped rates by two percentage points.

Minister Mboweni says he has been in constant talks with Reserve Bank Governor Lesetja Kganyago. He believes the South African economy will rebound in 2021 and be on a trajectory of growth, following a downturn during the coronavirus pandemic.

DA welcomes tabling of new budget

The Democratic Alliance (DA) has welcomed Minister Mboweni’s announcement.

On March 28, the official opposition urged government to table a new emergency budget after Moody’s downgraded the country’s credit rating to junk status. This was also at a time when South Africa was beginning to feel the economic impact of the the coronavirus.

“Mboweni’s new budget should detail where the government has cut R130 billion in spending to fund part of the R500 billion economic support package. The budget should also be bold enough to cut bailouts to zombie state owned entities, and set the economy on a path of meaningful structural reform. Minister Mboweni should also use the budget presentation to lay out the details of loan applications and their accompanying loan terms from international finance institutions like the IMF,” suggests the party.

The DA says it is willing to work with government to turn South Africa’s fortune around and get the economy back on track.

Small businesses concerned

Meanwhile, the National Small Business Chamber has expressed concern over how small businesses will cope until the final stage of the lockdown without some grant assistance from government.

As the coronavirus cases continue to rise, President Cyril Ramaphosa has announced a phased reopening of the economy and a R500 billion stimulus package.

Addressing the nation on Tuesday night, President Ramaphosa said South Africa is set to forge a new economy in a new global reality after the coronavirus pandemic settles.

The economic impact of the virus has hit businesses and individuals hard, with many people being left without jobs since the start of the national lockdown on 27 March 2020.

In the video below, the opening of critical industries is under discussion:

 

Share article
Tags: Cyril RamaphosaEconomyTito Mbowenirelief package
Previous Post

SABC mourns its Kenya bureau chief Johnson Barasa

Next Post

SABC partners with Solidarity Fund

Related Posts

Transnet logo with a train in the background.

National Prosecuting Authority warns of more arrests at Transnet

28 May 2022, 8:30 AM
FILE PHOTO: The logo of commodities trader Glencore is pictured in front of the company's headquarters in Baar, Switzerland, November 20, 2012.

Glencore closes cash desks in London, Switzerland known to dispense bribe money

28 May 2022, 8:04 AM
A woman shops in a supermarket.

U.S. economy kicks off second quarter on strong note; rise in inflation slowing

28 May 2022, 4:14 AM
Representatives of Ex-Mine workers at Summit

Mine workers lament claim process for compensation when injured on duty

27 May 2022, 9:39 PM

CORONAVIRUS: Your daily update

27 May 2022, 7:39 PM
Damage caused by the recent floods in KZN

Sugar cane farmers in KZN still reeling from recent floods

27 May 2022, 4:47 PM
Next Post
The SABC is using the campaign to encourage citizens to put their hearts and minds into the cause and lend a helping hand to this crucial project.

SABC partners with Solidarity Fund

Most Viewed

  • 24hrs
  • Week
  • Month
  • EMS says fire at Bree Street Taxi Rank in Johannesburg has been extinguished
  • The public has until 18 May to make submissions on Icasa’s regulations for extension of expiry period for data, airtime
  • ANC NEC expected to hold a special meeting on Sunday
  • Eastern Cape flood victims plead for support as access to food, services remains difficult
  • Amathole Regional Secretary elated to have corruption charges against him dropped
  • Caster Semenya offered to show her body to officials to prove she was female
  • Several roads affected due to flooding in parts of KZN
  • Three Heidelberg brothers die after allegedly consuming energy drink given by their father
  • Gunman kills 18 children, 3 adults in Texas elementary school – Officials
  • Tributes pour in for SA actor Jamie Bartlett
  • SA may be home to world’s oldest person
  • Cosatu’s May Day celebrations descended into chaos, proceedings halted
  • Suspect arrested in connection with Hillary Gardee’s murder
  • [WARNING: GRAPHIC CONTENT] Nigerian student beaten, burned to death over ‘blasphemous’ text messages
  • Meyiwa family breaks silence over Advocate Teffo’s arrest

LATEST

Transnet logo with a train in the background.
  • Business

National Prosecuting Authority warns of more arrests at Transnet


FILE PHOTO: The logo of commodities trader Glencore is pictured in front of the company's headquarters in Baar, Switzerland, November 20, 2012.
  • Business

Glencore closes cash desks in London, Switzerland known to dispense bribe money


Public Protector Advocate Busisiwe Mkhwebane addressing a meeting.
  • Politics

Mkhwebane to know her fate after President Ramaphosa finishes studying her letter


The Taal Monument seen in Paarl.
  • Politics

DA, high-profile Afrikaans singers to demand preservation of Afrikaans language on Paarl monument 


Congolese families displaced after fighting broke out in Kibumba queue to receive relief food at the Kunyaruchinya primary school, where they are camping, outside Goma in the North Kivu province of the Democratic Republic of Congo May 27, 2022.
  • Africa

Resurgent east Congo violence displaces 72,000 in one week


A woman shops in a supermarket.
  • Business

U.S. economy kicks off second quarter on strong note; rise in inflation slowing


Weather

  • About the SABC
  • Contact Us
  • Jobs
  • Advertise
  • Disclaimer
  • Site Map

SABC © 2022

No Result
View All Result
  • SOUTH AFRICA
  • POLITICS
  • BUSINESS
  • SPORT
  • AFRICA
  • WORLD
  • SCI-TECH
  • LIFESTYLE
  • FEATURES
  • OPINION

© 2022

Previous SABC mourns its Kenya bureau chief Johnson Barasa
Next SABC partners with Solidarity Fund