Pravin Gordhan should be appointed to “bang heads together” to boost economic growth and create jobs in SA
8 July 2016
The Minister of Finance, Pravin Gordhan’s subdued response to the International Monetary Fund’s (IMF) Article IV report illustrates, while he has the political will, he does not have the political authority necessary to implement the structural reforms required to boost economic growth and create jobs in South Africa.
The IMF’s report provided a sobering assessment of the economy, including forecasting economic growth of a mere 0.1% for 2016, and recommended“wide-ranging structural reforms” to boost economic growth and create jobs in South Africa.
The Minister conceded the need for structural reforms, but in an unusually subdued response was only able to state that he “expected” economic growth and employment to be supported by structural reforms being implemented as a result of the National Development Plan.
However, the evidence suggests that the Minister’s expectations are misplaced. The fact is structural reform is being resisted by: