Analysts predict a major upset at the next public sector wage negotiations following Finance Minister, Tito Mboweni’s announcement of a R 160.2-billion reduction in the wage bill of civil servants over the next three years.
Debt servicing costs are among government’s top four expenditure items in the 2020/21 budget allocations. This receives about 25% of the total expenditure, pushing it into fourth position on the list of allocations.
Finance Minister Tito Mboweni has proposed no further changes in tax rates – except annual adjustments in personal income tax brackets, levies and excise duties in line with inflation.
Education will continue to receive a bulk of government’s spending money, says Finance Minister in his Budget Speech on Wednesday.
South Africa’s debt is ballooning out of control as Finance Minister Tito Mboweni has announced that the country’s debt is not projected to stabilise over the medium term.