IFP: INSUFFICIENT EMPHASIS ON ECONOMIC GROWTH IN 2012 BUDGET

Minister Pravin Gordhan's budget speech of today was somehow predictable, both in terms of what it addresses and in terms of what it fails to address.

It has increased Government spending across the board in an effort to do more. This may be seen as a positive action. It also contains several measures and promises aimed at curtailing inefficiency, ineffectiveness and corruption, which is excellent, were it not for the fact that similar statements were contained in Minister Pravin Gordhan's budget speeches of the past three years. Much will depend on whether or not, this time around, declarations of policy will materialize into programmes of action.

The most concerning aspect is the insufficient emphasis on economic growth. Our present rate of economic growth below 3% is largely the product of Government funding and subsidies and may not be sustainable. In the end, everything depends on our country's capability of generating income. The welcome emphasis on infrastructural development still does not address this fundamental problem.

I feel that we have not yet crossed into the terrain of the much spoken of leadership that the country needs. The measures taken are still mild when drastic measures are needed.

Statement issued by Prince Mangosuthu Buthelezi MP, President of the INkatha Freedom Party, February 22 2012

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