Minister Pravin Gordhan has the difficult task of restoring confidence among the business community and South Africans amid tough economic times.
702's Xolani Gwala spoke to FNB Chief Economist, Sizwe Nxedlana, on what South Africans should expect from the budget speech on Wednesday.
Listen to the interview below:
Even before December, our economy was under-performing for a number of years... They [Treasury] have been trying to stabilise debt by controlling spending.— Sizwe Nxedlana, FNB Chief Economist
The finance minister finds himself with the difficult and unenviable task of trying to stabilise government debt and having to re-build a dented reputation.— Sizwe Nxedlana, FNB Chief Economist
Tomorrow, we have to promise more than what we promised before. A more aggressive expenditure reduction framework coupled with some sort of revenue enhancement.— Sizwe Nxedlana, FNB Chief Economist
We are in such a difficult environment right now that it's prudent to rather convince the electorate that's it's better to take the bitter medicine now because if we don't, then we almost guarantee a downgrade.— Sizwe Nxedlana, FNB Chief Economist