FANTASTIC: South African Government debt is insane: R1 trillion in INTEREST over 3 years! – My Comments
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[This makes me very happy. The more bankrupt these Black Anti-White Communist scum are, the better. They are wasting money, stealing money, mismanaging money and everything … I'm very much looking forward to the point when we become a FAILED STATE. When we are a FAILED STATE, Whites will have lift off. That's the great moment we must pray for. These debt numbers are just insane, for South African purposes. One trillion Rands in interest over 3 years. And they are spending money on pure junk – COVID-19 vaccine – no doubt for the Blacks. That's wonderful. Jan]
World Bank Loan an indication of increasing desperation
15 May 2022
The DA notes the announcement from the World Bank that it has approved a R7.6 billion loan to retrospectively finance the procurement of 47 million Covid-19 vaccine doses.
The National Treasury added that this loan forms part of government efforts to reduce debt service costs by making use of cheaper sources of funding.
The recent IMF report detailed their concern over South Africa’s rapidly rising debt obligation and, at our recent meeting indicated that they had not given a loan to the SA government following their recent visit to Washington DC.
The role of the World Bank is to reduce poverty by lending money to the governments of its poorer members to improve their economies and to improve the standard of living of their people, and often acts as a lender of last resort. A clear indication that borrowing in the investment markets is becoming more difficult as questions arise over sustainability and the ability to repay loans incurred.
The ANC government’s loan from the World Bank is another clear indication that South Africa has run out of money and is digging hardworking taxpayers into a deeper and deeper debt trap that crowds out more and more service delivery to the most vulnerable members of our society.
Interest repayments on debt will drain the fiscus of R1 trillion over the next 3 years. Of every R5 raised in tax, R1 is spent on serving debt.
The DA will ask the Minister of Finance, Enoch Godongwana, what the terms are of the repayment of the debt and will shortly table a private members bill to ensure fiscal responsibility.
This World Bank loan is an indication of increasing desperation to fund an increasingly unsustainable financial situation.
Issued by Dion George, DA Shadow Minister of Finance, 15 June 2022
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