This document is the 2022 Budget Speech given by South African Minister of Finance Enoch Godongwana on February 23, 2022. In the speech, Godongwana outlines South Africa's current fiscal framework, including a revised economic growth outlook, improved tax revenue collection, and plans to narrow the budget deficit and stabilize government debt. He also announces new spending proposals to support education, health, law enforcement, infrastructure development and social assistance programs.
The Budget and Economic Outlook, a recurring publication of the Congressional Budget Office, provides economic and budget projections that incorporate the assumption that current laws governing federal spending and revenues generally remain in place. Those baseline projections cover the 10-year period used in the Congressional budget process. The report generally describes the differences between the current projections and previous ones; compares the economic forecast with those of other forecasters; and shows the budgetary impact of some alternative policy assumptions.
This presentation describes how the report is produced and how it can be used for budget and economic analyses, providing examples from CBO’s most recent projections.
The federal budget deficit for fiscal year 2014 will
amount to $506 billion, CBO estimates, roughly
$170 billion lower than the shortfall recorded in 2013.
At 2.9 percent of gross domestic product (GDP), this
year’s deficit will be much smaller than those of recent years (which reached almost 10 percent of GDP in 2009) and slightly below the average of federal deficits over the past 40 years.
The Budget and Economic Outlook, a recurring publication of the Congressional Budget Office, provides economic and budget projections that incorporate the assumption that current laws governing federal spending and revenues generally remain in place. Those baseline projections cover the 10-year period used in the Congressional budget process. The report generally describes the differences between the current projections and previous ones; compares the economic forecast with those of other forecasters; and shows the budgetary impact of some alternative policy assumptions.
This presentation describes how the report is produced and how it can be used for budget and economic analyses, providing examples from CBO’s most recent projections.
The federal budget deficit for fiscal year 2014 will
amount to $506 billion, CBO estimates, roughly
$170 billion lower than the shortfall recorded in 2013.
At 2.9 percent of gross domestic product (GDP), this
year’s deficit will be much smaller than those of recent years (which reached almost 10 percent of GDP in 2009) and slightly below the average of federal deficits over the past 40 years.
The document was prepared as one of the assignments
It contains descriptions of different ministries where capital expenditure is more than the revenue expenditure in the budget 2020.
The document has analysis related to corporate and income tax changes
Associate Research Professor, Conor O'Toole and Research Professor, Kieran McQuinn presented an overview of the Quarterly Economic Commentary, Autumn 2021 to the media on Wednesday, 6 October 2021 ahead of the document's publication on Thursday, 7 October 2021.
Despite the ongoing effects of the COVID-19 pandemic, both domestic and foreign sources of growth have contributed to the Irish economy’s robust performance in 2021. As public health measures are eased considerably, we anticipate a return to more normal economic activity by the end of the year. For the present year, our expectation is that Irish GDP will grow by 12.6 per cent. The double-digit growth rate is mainly due to multinational related activities, in particular strong export figures. Modified domestic demand, a more accurate measure of underlying economic activity, is expected to grow by 7 per cent in the present year. Into 2022, we expect a continued strong performance of the economy, with GDP set to increase by 7 per cent.
The recovery from COVID-19 has contributed to inflationary pressures in many advanced economies stemming mainly from global supply chain problems and energy prices. While the current expectation is that these factors are largely temporary, further domestic inflationary risks remain relating to the rapidity of the recovery in household spending as well as how price changes feed into wage expectations. At this juncture, our expectation is that inflationary pressures will peak in Q4 2021 and abate through 2022. We expect an inflation rate of 2.3 per cent in 2021 and 2.5 per cent in 2022.
The monthly unemployment rate continues to fall as public health restrictions are eased. Consequently, we expect the unemployment rate to fall to 9 per cent in Q4 2021 and average 16.3 for 2021 overall. Unemployment is set to fall further into 2022 and will average just over 7 per cent for the year. However, we do not expect to see the unemployment rate fall back to pre-COVID rates until late 2023 at the earliest.
The significant reduction in unemployment along with strong underlying growth in taxation receipts has contributed to a smaller deficit in 2021 than expected. The eased pressure on the public finances comes at a time when significant investments will have to be made in the years ahead to tackle issues such as housing, climate change, and healthcare. Making these investments, while ensuring the domestic economy does not overheat, will be a key challenge for fiscal policy over the medium-term.
The publication can be read here: https://www.esri.ie/publications/quarterly-economic-commentary-autumn-2021
The press release accompanying the report can be read here: https://www.esri.ie/news/strong-exports-and-multinationals-contributing-to-double-digit-gdp-growth-however-challenges
For more from the Economic and Social Research Institute (ESRI), visit our website: www.esri.ie
This document has been prepared by the Finance Team of SED for information purpose only of its members residing both in Bangladesh and abroad, on the basis of the publicly available information in the market and own research. This document is not directed to, or intended for distribution to or use by, any person or entity that is citizen or resident of or located in any locality, state, country, or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation . The information and data presented herein are the exclusive property of SED and any unauthorized reproduction or redistribution of the same is strictly prohibited . No part of this report should be copied or used in any other report or publication or anything of that sort without proper credit given or prior written permission taken from the authorized publisher of this report . This disclaimer applies to the report irrespective of being used in whole or in part .
Public Presentation of Approved 2022 FGN Budget FinalNGFSecretariat
At the public presentation of the approved 2022 budgets, there were breakdowns and highlights made by the Honourable Minister of Finance, Budget, and National Planning, Mrs. (Dr.) Zainab Shamsuna Ahmed.
Get detailed insights on the Economic Survey and Sectoral impact of the Key Union Budget 2022- 23 announcements. Check the presentation to find out more.
The document was prepared as one of the assignments
It contains descriptions of different ministries where capital expenditure is more than the revenue expenditure in the budget 2020.
The document has analysis related to corporate and income tax changes
Associate Research Professor, Conor O'Toole and Research Professor, Kieran McQuinn presented an overview of the Quarterly Economic Commentary, Autumn 2021 to the media on Wednesday, 6 October 2021 ahead of the document's publication on Thursday, 7 October 2021.
Despite the ongoing effects of the COVID-19 pandemic, both domestic and foreign sources of growth have contributed to the Irish economy’s robust performance in 2021. As public health measures are eased considerably, we anticipate a return to more normal economic activity by the end of the year. For the present year, our expectation is that Irish GDP will grow by 12.6 per cent. The double-digit growth rate is mainly due to multinational related activities, in particular strong export figures. Modified domestic demand, a more accurate measure of underlying economic activity, is expected to grow by 7 per cent in the present year. Into 2022, we expect a continued strong performance of the economy, with GDP set to increase by 7 per cent.
The recovery from COVID-19 has contributed to inflationary pressures in many advanced economies stemming mainly from global supply chain problems and energy prices. While the current expectation is that these factors are largely temporary, further domestic inflationary risks remain relating to the rapidity of the recovery in household spending as well as how price changes feed into wage expectations. At this juncture, our expectation is that inflationary pressures will peak in Q4 2021 and abate through 2022. We expect an inflation rate of 2.3 per cent in 2021 and 2.5 per cent in 2022.
The monthly unemployment rate continues to fall as public health restrictions are eased. Consequently, we expect the unemployment rate to fall to 9 per cent in Q4 2021 and average 16.3 for 2021 overall. Unemployment is set to fall further into 2022 and will average just over 7 per cent for the year. However, we do not expect to see the unemployment rate fall back to pre-COVID rates until late 2023 at the earliest.
The significant reduction in unemployment along with strong underlying growth in taxation receipts has contributed to a smaller deficit in 2021 than expected. The eased pressure on the public finances comes at a time when significant investments will have to be made in the years ahead to tackle issues such as housing, climate change, and healthcare. Making these investments, while ensuring the domestic economy does not overheat, will be a key challenge for fiscal policy over the medium-term.
The publication can be read here: https://www.esri.ie/publications/quarterly-economic-commentary-autumn-2021
The press release accompanying the report can be read here: https://www.esri.ie/news/strong-exports-and-multinationals-contributing-to-double-digit-gdp-growth-however-challenges
For more from the Economic and Social Research Institute (ESRI), visit our website: www.esri.ie
This document has been prepared by the Finance Team of SED for information purpose only of its members residing both in Bangladesh and abroad, on the basis of the publicly available information in the market and own research. This document is not directed to, or intended for distribution to or use by, any person or entity that is citizen or resident of or located in any locality, state, country, or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation . The information and data presented herein are the exclusive property of SED and any unauthorized reproduction or redistribution of the same is strictly prohibited . No part of this report should be copied or used in any other report or publication or anything of that sort without proper credit given or prior written permission taken from the authorized publisher of this report . This disclaimer applies to the report irrespective of being used in whole or in part .
Public Presentation of Approved 2022 FGN Budget FinalNGFSecretariat
At the public presentation of the approved 2022 budgets, there were breakdowns and highlights made by the Honourable Minister of Finance, Budget, and National Planning, Mrs. (Dr.) Zainab Shamsuna Ahmed.
Get detailed insights on the Economic Survey and Sectoral impact of the Key Union Budget 2022- 23 announcements. Check the presentation to find out more.
Hi All,
Budget View from Team Aera
The government of India has put their ambitious and national building plan with today's Budget.
We find that the Budget is impressive.
Please find the attached first cut review of the Budget.
We welcome comments from you as well as ready to provide any more details /clarity on this finance bill 2022 ..
Thanks
Team Aera
#unionbudget2022 #unionbudget #indiamarket #growthpotential
Mr Speaker Sir, I move that leave be granted to present a
Statement of the Estimated Revenues and Expenditures of
the Republic of Zimbabwe for the 2019 Financial Year and
to make Provisions for matters ancillary and incidental to this
purpose.
EY's summary and analysis of Dr. Ashni Singh's 2021 Guyana National Budget for Guyana South America the Caribbean's wealthiest and fastest growing economy
Ladies and Gentlemen, I am delighted to be with you in this hallowed chamber on this special occasion of the presentation of the 2021 Budget proposal christened, “Budget of Recovery and Economic Restoration” to the Ekiti State House of Assembly.
Madam Speaker
In A Tale of Two Cities, Charles Dickens opens with:
“It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity… we were all going direct to Heaven, we were all going direct the other way...”
So too is the present time. As a country, we stand at a crossroads. We can choose a path of hope; or a path of despair. We can go directly to Heaven, or as Dickens so politely puts it, we can go the other way.
Reducing debt and borrowing is essential to controlling inflation, keeping mortgage rates affordable and funding public services sustainably. After accounting for decisions at the Autumn Statement, borrowing is forecast to be lower this year, next year and on average over the forecast period compared to the OBR’s March forecast. Underlying debt is also lower as a percentage of GDP, by an average of 2.1 percentage points across the forecast.
Similar to 2022 budget speech final 220223_131218 (1) (20)
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
how can i use my minded pi coins I need some funds.DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the telegram contact of my personal pi merchant below. 👇 I and my friends has traded more than 3000pi coins with him successfully.
@Pi_vendor_247
What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the telegram contact of my personal pi vendor to trade with.
@Pi_vendor_247
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
Introduction to Indian Financial System ()Avanish Goel
The financial system of a country is an important tool for economic development of the country, as it helps in creation of wealth by linking savings with investments.
It facilitates the flow of funds form the households (savers) to business firms (investors) to aid in wealth creation and development of both the parties
How to get verified on Coinbase Account?_.docxBuy bitget
t's important to note that buying verified Coinbase accounts is not recommended and may violate Coinbase's terms of service. Instead of searching to "buy verified Coinbase accounts," follow the proper steps to verify your own account to ensure compliance and security.
3. 2022 Budget Speech
2
ISBN: 978-0-621-49978-0
RP: 08/2022
For more information:
Communications Directorate
National Treasury
Private Bag X115
Pretoria
0001
South Africa
Tel: +27 12 315 5944
Fax: +27 12 406 9055
Budget documents are available at: www.treasury.gov.za
4. 2022 Budget Speech
3
2022/23 BUDGET SPEECH BY MINISTER OF FINANCE ENOCH GODONGWANA
23 February 2023
Honourable Speaker;
His Excellency, President Cyril Ramaphosa;
His Excellency, the Deputy President David Mabuza;
Cabinet Colleagues;
Members of the Executive Committees for Finance in the provinces;
Honourable Members;
Finance Minister of the Democratic Republic of the Congo;
The Governor of the South African Reserve Bank;
The Commissioner of the South African Revenue Services;
Fellow South Africans:
INTRODUCTION
It is my honour and privilege to table before this House the 2022 National Budget.
Today I am tabling the following documents:
• The 2022 Division of Revenue Bill;
• The 2022 Appropriation Bill;
• The Second Adjustments Appropriation (2021/22 Financial Year) Bill;
• The Estimates of National Expenditure;
• The 2022 Budget Review; and
• The Budget Speech.
Madam Speaker, we stand here galvanised by the State of the Nation Address
delivered by His Excellency President Cyril Ramaphosa.
The President reminded us that even as we face steep and daunting challenges, like
we have done in the past, we will overcome.
To do so, we need to strike a critical balance between saving lives and livelihoods,
while supporting inclusive growth. This budget presents this balance.
5. 2022 Budget Speech
4
Our economic recovery has been un-even and risks remain high. We must proceed
with caution.
In the 2021 MTBPS we committed ourselves to charting a course towards growth and
fiscal sustainability. This budget reasserts this commitment.
It narrows the budget deficit and stabilizes debt.
It also extends income and employment support to the most vulnerable, , addresses
service delivery shortcomings and provides tax relief.
However, these interventions cannot replace the structural changes our economy
needs. Difficult and necessary trade-offs are required.
ECONOMIC OUTLOOK
Global outlook
The world economy is expected to grow by 4.4 per cent this year. This is lower than
the 4.9 per cent we anticipated when tabling the MTBPS.
The Omicron variant of the coronavirus caused many countries to impose restrictions
to manage its spread.
In addition, continued imbalances in global value chains have limited the pace of the
world’s economic recovery.
DOMESTIC OUTLOOK
The South African economy has not been insulated from these global developments.
We have revised our economic growth estimate for 2021 to 4.8 per cent, from
5.1 per cent at the time of the MTBPS.
This revision reflects a combination of the impact of changes in the global
environment, along with our own unique challenges.
Commodity prices, which have supported our economic recovery, slowed in the
second half of 2021.
Also, violent unrest in July, and restrictions imposed to manage the third wave of
COVID-19 further eroded the gains we made in the first half of the year.
Industrial action in the manufacturing sector, and the re-emergence of loadshedding,
also slowed the pace of the recovery.
Real GDP growth of 2.1 percent is projected for 2022. Over the next three years, GDP
growth is expected to average 1.8 percent.
6. 2022 Budget Speech
5
THE FISCAL FRAMEWORK
Revenue collection
Tax collections since the time of the MTBPS have been much stronger than
expected.
We now estimate tax revenue for 2021/22 to be R1.55 trillion.
This is R62 billion higher than our estimates from four months ago, and R182 billion
higher than our estimates from last year’s Budget.
This follows a shortfall of R176 billion for 2020/21 when compared to the 2020 Budget
forecasts.
This positive surprise has come mainly from the mining sector due to higher
commodity prices.
Madam Speaker, one swallow does not a summer make.
The improved revenue performance is not a reflection of an improvement in the
capacity of our economy.
As such, we cannot plan permanent expenditure on the basis ofshort-term increases
in commodity prices.
To be clear, any permanent increases in spending should be financed in a way that
does worsen the fiscal deficit.
We have also seen higher revenue from other sectors and other tax instruments, such
as personal income tax and value-added tax.
Madam Speaker, this year marks the 25th
anniversary of the establishment of the
South African Revenue Service.
SARS plays a vital role in the economy, and we congratulate them on this momentous
occasion.
We also welcome the current modernisation of its infrastructure at border posts, such
as Beit-bridge to facilitate greater trade.
The fiscal outlook
Honorable Members, more than R308 billion has been directed towards bailing out
failing state-owned companies.
Since 2013, frontline services and infrastructure reduced by R257 billion.
In this Budget, we are shifting from this trend, and are restoring our focus on the core
functions of government.
7. 2022 Budget Speech
6
We are also on course to close key fiscal imbalances and restore the health of public
finances.
Our debt burden remains a matter of serious concern.
This year, government debt has reached R4.3 trillion and is projected to rise to R5.4
trillion over the medium-term.
This huge sum is owed to lenders domestically and around the world!
It incurs large debt-service costs; averaging R330 billion annually over the MTEF.
These costs are larger than spending on each of health, policing or basic education.
For this reason and to support the economic recovery, in this budget we are reducing
the fiscal deficit and stabilising debt.
The consolidated budget deficit is projected to narrow from 5.7 per cent of GDP in
2021/22, to 4.2 per cent of GDP by 2024/25.
We now expect to realise a primary fiscal surplus – where revenue exceeds non-
interest expenditure – by 2023/24.
The debt ratio will stabilise at 75.1 per cent of GDP by 2024/25. This is 3 percentage
points lower than we had projected when we tabled the MTBPS.
This is also the first time since 2015 that we are reducing the borrowing requirement,
using some of the extra revenue we have collected.
The borrowing requirement decreases by R135.8 billion this year and a total of R131.5
billion over the next two years.
Risks to the fiscal framework
Though the fiscal outlook has improved, it is subject to significant risks.
These include:
• Slowing global and domestic economic growth; Calls for a permanent increase
in social protection that exceed available resources.
• Pressures from the public‐service wage bill; and
• Continued requests for financial support from financially distressed state‐owned
companies.
8. 2022 Budget Speech
7
We need to stay vigilant and mitigate the risks where possible.
In the upcoming period, we will do more work to strengthen fiscal anchors.
We will also reduce the continual demands on South Africa’s limited public resources
from state-owned companies.
For this reason, SOCs need to develop and implement sustainable turnaround plans.
The future of our state-owned companies is under consideration by the Presidential
State-Owned Enterprises Council.
Their future will be informed by the value they create and whether they can be run as
sustainable entities without bailouts from the fiscus.
Some state-owned companies will be retained, while others will rationalized or
consolidated.
To reduce their continuing demands on South Africa’s public resources, the National
Treasury will outline the criteria for government funding of state‐owned companies,
during the upcoming financial year.
This, Madam Speaker, is what we mean by tough love!
We are aware that Eskom’s debt situation remains a concern for its creditors and our
investors alike.
Government continues to support Eskom to remain financially sustainable during its
transition.
To date, Eskom has been provided with R136 billion to pay off its debt with a further
R88 billion until 2025/26.
We acknowledge, however, that Eskom is faced with a large amount of debt that
remains a challenge to service without assistance.
The National Treasury is working on a sustainable solution to deal with Eskom’s debt
in a manner that is equitable and fair to all stakeholders.
Any solution will be contingent on continued progress to reform South Africa’s
electricity sector and Eskom’s own progress on its turnaround plan and its
restructuring.
We expect Eskom to take further steps towards cost containment, conclude the sale
of assets and implement operational improvements to enhance the reliability of
electricity supply.
The outcome of this work, which is legally and technically complex, will be announced
within the next financial year.
9. 2022 Budget Speech
8
Madam Speaker, we have taken action to reform the electricity sector. This
encompasses the lifting of the registration threshold of embedded generation to 100
megawatts.
It also includes amendments to the Electricity Regulation Act of 2006, and the new
generation projects that are coming online over the next few years.
These interventions demonstrate our commitment to solving South Africa’s electricity
supply challenges.
SUPPORTING ECONOMIC RECONSTRUCTION AND RECOVERY
Madam Speaker, we have had more than a decade of economic stagnation.
Only through sustained economic growth can South Africa create enough jobs to
reduce poverty and inequality; enabling us to reach our goal of a better life for all.
The Economic Reconstruction and Recovery Programme remains essential to
growth.
We are accelerating the implementation of critical structural reforms contained in the
ERRP in particular, in electricity, rail, ports and telecommunications.
Infrastructure
To complement these interventions, Madam Speaker, we will be accelerating
infrastructure investment which is the backbone of a thriving economy.
The National Treasury will be implementing the results of a recently completed review
of the Public-Private Partnerships framework.
We aim to create a centre-of-excellence for PPPs and other blended finance projects.
This centre-of-excellence will be established with direct Treasury oversight.
It will be a direct interface with private financial institutions for investments in critical
government infrastructure programmes.
We will also work with other national departments and the provinces of the Eastern
Cape and Northern Cape, to pilot a revised approach to infrastructure delivery.
This approach will include innovative financing and delivery mechanisms, as
announced by the President in the State of the Nation Address.
Regarding the Umzimvumbu Dam, we are at an advanced stage of resolving the
project issues. We will make further announcements on this in the MTBPS.
In October, I will table amendments, through the 2022 Division of Revenue
Amendment Bill, to enable provinces to pledge their infrastructure grants to leverage
more financing to fast-track the rollout of infrastructure.
10. 2022 Budget Speech
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Mr, President; in the State of the Nation address you spoke about the importance of
catalytic and blended finance projects. These projects have the potential to crowd in
private investors for bulk infrastructure.
As we upgrade roads, bridges, water and sewer, transport, school infrastructure and
hospitals and clinics, the aim is to unlock higher levels of employment for those
involved in the projects.
I am pleased to inform this House that a provisional allocation is set aside in this
Budget for R17.5 billion over the MTEF for infrastructure catalytic projects. We look
forward to engaging with specific proposals in this regard.
Value for money and quality of delivery is the top priority in the development of the
project pipeline.
Bounce-back scheme to support SMEs
To support businesses in distress owing to the Covid-19 pandemic, a new business
bounce-back scheme will be launched, using two mechanisms which will be
introduced sequentially:
Firstly, small business loan guarantees of R15 billion will be facilitated through
participating banks and development finance institutions. This allows access for
qualifying non-bank small and medium loan providers.
Government will partner with loan providers by underwriting the first 20% of losses for
banks and other eligible small and medium loan providers.
The eligibility criteria, including the requirement for collateral, has been loosened.
This mechanism will be launched and operational next month.
Secondly, by April this year, we intend to introduce a business equity-linked loan
guarantee support mechanism.
We intend to bring the total support package through the bounce-back scheme to R20
billion.
The equity support mechanism of this scheme will be facilitated through DFIs. It will
also be available to qualifying non-bank small and medium finance providers.
Details of the terms of the equity-linked guarantee mechanism will be provided soon.
Public employment
Over the medium-term, R76 billion is allocated for job creation programmes.
In this Budget an additional R18.4 billion is made available for the Presidential
Employment Initiative.
Madam Speaker, we do not aspire to be a below 2 per cent growth economy. We are
capable of so much more.
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In this regard, we are refining proposals for an expanded reform agenda – to shift our
economy towards a higher growth trajectory.
SPENDING PROPOSALS
In this budget, we are taking steps to support education, health, the fight against crime
and corruption, and to improve capital investment, amongst others.
Over the next three years, we allocate R3.33 trillion to the social wage to support
vulnerable and low-income households. This is approximately 60 per cent of non-
interest spending.
We have prioritized spending on the following key areas:
In 2017, government announced a policy for fee-free higher education. We are
announcing an additional allocation of R32.6 billion for financial support to current
bursary holders and first-year students under the National Student Financial Aid
Scheme.
Any further shortfalls will be funded from within the baseline of the Department of
Higher Education.
Madam Speaker, at the height of the COVID-19 our teachers had to make tremendous
sacrifices to ensure that our children get education.
Equally our health care workers, we among those that were the last and only line of
defence against the pandemic.
In this budget, we are adding R24.6 billion for provincial education departments to
address the shortfalls in the compensation of teachers.
An additional R15.6 billion is allocated to provincial health departments to support
their continued response to COVID-19, and to bridge shortfalls in essential goods
and services.
R3.3 billion is allocated to absorb medical interns and community service doctors.
R8.7 billion is added to the Police budget.
The department is allocated R1 billion to implement personnel reforms.
Another R800 million may be available in the following year, subject to satisfactory
progress.
We are also strengthening the resourcing of the justice system and our courts.
In this regard, the budget of the Department of Justice and Constitutional Development
is increased by R1.1 billion, while the Office of the Chief Justice receives an additional
R39.9 million.
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The South African National Roads Agency (SANRAL) receives an additional R9.9
billion for maintaining the non-toll road network.
Over and above this, the Budget Facility for Infrastructure has approved funding for
several water projects:
• R2.1 billion is allocated for raising the Clan William Dam.
• The Lepelle Water Board is allocated R1.4 billion for the Olifantspoort and
Ebenezer plants.
• The Umgeni Water Board is allocated R813 million for the Lower uMkhomazi
Water Supply Scheme.
I am also pleased to announce that the project to modernise six border posts, including
Beitbridge, is at an advanced stage of preparation. Feasibility studies have been
completed and a request for proposal (RFP) will be issued in March 2022.
Madam Speaker, we watched in outrage and sadness as flames devoured the
buildings in which our constitution was born.
I am gratified to learn of the enthusiasm of South Africans who want to be part of
rebuilding Parliament, and I look forward to a truly national effort for this.
The department of social development will receive the largest allocation of R58.6
billion over the medium term for the following:
• First, to initiate a new extended child support grant for double orphans. This is
to encourage the care of orphans within families rather than foster care
• Second, to provide for inflationary increases to permanent social grants.
• For the 2022/23 fiscal year, the old age, war veterans, disability and care
dependency grants, will increase by R90 in April and a further R10 in October.
The foster care and child support grants will increase by a once off R20 in April;
• Thirdly, R44 billion is allocated for a 12-month extension of the R350 social
relief of distress (SRD) grant.
Honorable Members, the social relief of distress grant was introduced in 2020/21, as
a temporary relief measure in view of the plight of those who have lost economic
opportunities and were adversely affected during the worst periods of the pandemic.
This emergency grant added to the country's already extensive social safety net.
South Africa now pays grants to more than 46 percent of the population.
Finally, the 2022/23 contingency reserve is increased by R5 billion. This provides for
an amount already approved in the previous Budget for the Land Bank to be paid in
the new financial year.
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We remain committed to controlling those parts of the budget that are permanent in
nature, including by arresting historically rapid increases in the public sector wage bill.
Compensation spending will increase marginally, from R665.1 billion in 2021/22 to
R702 billion in 2024/25, at an average annual rate of 1.8 per cent.
As indicated in the 2021 MTBPS, we have allocated additional funding of R20.5 billion
in 2022/23, to meet the cost implications of the 2021 public-service wage agreement.
A Public Sector Labour Summit is scheduled to take the place as from the 28th to the
31st of March.
This summit is an important opportunity for stakeholders to engage on building a
sustainable public service and remuneration guidelines.
DIVISION OF REVENUE
Basic municipal services require more support, especially for the poor. To address
this, R28.9 billion is added to the local government equitable share.
Madam Speaker, we are making these allocations to uplift and provide services to our
people.
These funds must be used for the purpose they are meant for. Currently 175 out of
257 municipalities are in financial distress. We stand ready to work with Parliament
and all oversight bodies to hold municipalities accountable for delivering these
services.
At the same time, our municipalities and other institutions cannot survive if they don’t
receive payment from those who consume their services.
We urge our people and government departments to pay their municipal bills.
Municipalities are also required to improve their service delivery mechanisms, and to
ensure that billing systems are fair and efficient.
CORRUPTION AND STATE CAPABILITY
Madam Speaker, corruption is a major blight on our country.
It has lowered our economic growth potential, made us fiscally more vulnerable, and
severely weakened the capability of the state.
Accounting officers need to ensure that their procurement processes have integrity,
provide value for money, and are free from interference from politically connected
persons and bidders.
We also need to be clear on what we are fighting.
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We must differentiate between corruption and minor transgressions of the rules of
policy prescripts that are audited as irregular expenditure.
The National Treasury is engaging with the Auditor-General to continue to ensure
transparent disclosure of minor transgressions, but outside the financial audit
process.
As I indicated last year, the Public Procurement Bill will be tabled before Parliament in
2022/23.
In light of the recent Constitutional Court judgement on the preferential procurement
regulations, and the first Zondo Commission report highlighting abuses in state
procurement, we are revising the Bill to take account of these developments.
We will also be responding formally to the Zondo Commission report.
In the meantime, we must take bold steps to improve state capability and reduce the
scope for procurement corruption.
Working with SARS, the Investigative Directorate in the office of the National
Directorate of Public Prosecutions, has brought charges against a company Director
and a Gupta associate involved in the corrupt ESTINA Dairy project.
This is on charges of fraudulent VAT refund claims, under-declaration of plant and
equipment expenses, and exchange control violations. SARS is also recovering the
fraudulent refunds that were claimed.
We are also dealing with illicit trade.
Just yesterday, SARS conducted a search and seizure operation.
This operation uncovered another consignment of illegal tobacco products, bringing
the total value of illicit tobacco seized during the pandemic to over R350 million.
Overall, SARS has raised assessments of R18 billion additional duties, cancelled the
trading licenses of 3 operators, liquidated one operator, and referred 8 cases for
criminal prosecution.
Finally, we are addressing the weaknesses in fighting fraud and money laundering
identified in our recent mutual evaluation of our anti-money laundering system by the
Financial Action Task Force (FATF).
TAX PROPOSALS
Madam Speaker, households and businesses are still under financial pressure and
are coping with higher obligations, the effects of CoVID-19 and increased fuel prices.
Now is not the time to increase taxes and put the recovery at risk!
Accordingly, we have decided to keep money in the pockets of South Africans.
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This Budget includes R5.2 billion in tax relief to help support the economic recovery,
provide some respite from fuel tax increases, and boost incentives for youth
employment.
Madam Speaker, our tax proposals for 2022/23 are as follows.
Personal Income Tax
The personal income tax brackets and rebates will be adjusted by 4.5 percent, in line
with inflation.
The adjustments will mean that the annual tax-free threshold for a person under the
age of 65, will increase from R87 300 to R91 250.
Medical tax credits will increase from R332 to R347 per month for the first two
members, and from R224 to R234 per month for additional members.
Employment tax incentive
The employment tax incentive will be expanded through a 50 per cent increase in the
maximum monthly value to R1 500.
I encourage small and medium firms to take up this incentive.
We anticipate that the expansion will provide additional support worth R2.2 billion.
Fuel Levies
In 2021, the inland petrol price breached R20 per litre. The higher prices have put
pressure on the cost of transport, food and other goods and services.
To provide some relief to households, no increases will be made to the general fuel
levy on petrol and diesel for 2022/23. This will provide tax relief of R3.5 billion to South
Africans.
There will also be no increase in the Road Accident Fund levy.
Minister Mantashe and I have agreed that a review of all aspects of the fuel price is
needed.
Our teams have already begun to engage on this critical work.
Corporate Income Tax
Restructuring the corporate income tax system is an important part of our efforts to
create a conducive environment for businesses to grow, increase investment and
employ more people.
As announced in the 2021 Budget, the corporate income tax rate will be reduced from
28 per cent to 27 per cent, for companies with years of assessment ending on or after
31 March 2023.
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This will be complemented by base-broadening measures to ensure that there is no
negative impact on revenue.
Excise duties
Excise duties on alcohol and tobacco will increase by between 4.5 and 6.5 percent.
The increases mean that as from today:
• A 340ml can of beer or cider will cost 11c more;
• A 750ml bottle of wine will be 17c more expensive;
• A bottle of sparkling wine will cost an additional 76c;
• And a bottle of spirits will be R4.83 more expensive;
• A packet of cigarettes will cost an additional R1.03;
• 25 grams of piped tobacco will cost an extra 37c; and
• A 23 gram cigar will be R6.77 more expensive.
Government also proposes to introduce a new tax on vaping products of at least R2.90
per millilitre from 1 January 2023.
A new tax will also be introduced on beer powders.
After three years of no changes, the health promotion levy will be increased to 2.31
cents per gram of sugar.
Madam Speaker, the structure of the economy will need to change to adapt to the
needs of addressing climate change.
As we reduce emissions, communities must not be left behind as production shifts to
greener solutions.
There are opportunities to access international finance to help pay for this just
transition. The National Treasury is working with the new head of the Presidential
Climate Finance Task Team, on accessing these resources.
The carbon tax is the main mechanism to ensure we lower our greenhouse
emissions.
The carbon tax rate will increase from R134 to R144, effective from 1 January 2022.
As required by legislation, the carbon fuel levy will increase by 1c to 9c per litre for
petrol, and 10c per litre for diesel, from 6 April 2022.
The first phase of the carbon tax, with substantial allowances and electricity price
neutrality, will be extended to 31 December 2025.
However, in line with our commitments at COP26, the carbon tax rate will be
progressively increased every year to reach $26 per tonne.
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In the second phase from 2026 onwards, the carbon tax rate will have larger annual
increases to reach at least $30 by 2030, and the allowances will rapidly fall away.
We urge all our companies that have not already done so to develop plans to
progressively reduce their emissions over the next 10 years, otherwise they will face
these steep taxes.
Our exporters will also face overseas border taxes for carbon-intensive goods such as
iron and steel, which will reduce their competitiveness.
Madam Speaker, you will note that we have not increased taxes in the major revenue
generating categories, such as personal income tax, VAT and the general fuel levy.
We have reduced the corporate tax rate and broadened the tax base.
However, let me restate my earlier caution, that if there are permanent expenditure
increases in the coming years, we would have no choice but to revisit this to ensure
the fiscal deficit does not worsen.
Madam Speaker, in these trying times and without compromising our ability to collect
revenue, we have managed, through these tax proposals, to keep money in the
pockets of South Africans, and to create conditions for greater investment in the
economy.
Financial sector reforms
Retirement funds play a critical role in channelling savings into productive
investments. Regulation 28 of the Pension Funds Act sets out the criteria through
which these funds may make investments.
Changes have been proposed to these regulations to enable greater investment in
infrastructure by these funds. After consultation on these changes, the amendments
will be gazetted next month.
Government has also proposed a fundamental restructuring of the retirement system
for individuals to allow for greater preservation and partial access to funds through a
“two-pot” system.
Part of this proposal includes the possibility of short-term access, which would be
dependent on the approval by trustees of each fund.
Consultations are proceeding following the release of a discussion paper last year and
the draft legislation on these amendments will be published for comment in the middle
of the year.
CONCLUSION
In conclusion, I would like to reiterate our commitment to the reconstruction and
recovery of our economy; saving lives and restoring livelihoods, as well as securing
the long-term prosperity of our nation.
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It is often said, and I believe that this applies to the circumstances under which we
deliver this budget: “You won't realize the distance you have walked, until you look
around and realize how far you have been.”
We have been on this journey for a long time. And we still have a long distance to walk
before reaching our goal.
Madam Speaker, I take this opportunity to thank the President and Deputy President
for their leadership and guidance during these difficult times.
I want to also express my appreciation to Deputy Minister, Dr David Masondo, for his
support.
The Treasury team, led by Director-General Dondo Mogajane, continues to undertake
their task with dedication, and I express my thanks to them.
My sincere gratitude also goes to the Commissioner of the South African Revenue
Service, Edward Kieswetter, and the hard-working team at SARS.
Many thanks to the Governor of the South African Reserve Bank, Mr. Lesetja
Kganyago and the staff of the Bank, for their work and support.
Let me also thank my colleagues in the Ministers’ Committee on the Budget and in the
Budget Council, and MEC's of Finance from various provinces, who have shared the
load of the tough decisions that have to be made in the current climate.
Similarly, the Parliamentary Committees of Finance and Appropriations, I express my
sincere appreciation. Finally, we pay tribute to the millions of South Africans, whose
resilience and courage during these times of pandemic and economic hardship, is an
inspiration to all of us who have the privilege to serve in the public sector.
Thank you.
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Summary of the national budget
2021/22 2022/23 2023/24 2024/25
Budget Revised Budget Medium-term estimates
estimate estimate estimate
R million
REVENUE
Estimate of revenue before tax proposals 1 603 647
Budget 2022/23 proposals: -5 200
Direct taxes -2 200
Personal income tax
Increasing brackets by inflation -
Revenue if no adjustment is made 13 500
Increase in brackets and rebates by inflation -13 500
Expansion of the employment tax incentive -2 200
Corporate income tax
Reform package -
Reduc on in corporate income tax rate to 27 per cent -2 600
Restriction of assessed losses 1 100
Additional interest limitation 1 500
Indirect taxes -3 000
Fuel levy
Not adjusting the general fuel levy -3 500
Specific excise duties
Increase in excise duties on alcohol 400
Increase in excise duties on tobacco 100
Estimate of revenue after tax proposals 1 351 672 1 549 068 1 588 044 1 660 223 1 774 174
Percentage change from previous year 2.5% 4.5% 6.9%
EXPENDITURE
Direct charges against the National Revenue Fund 830 023 874 411 902 658 920 040 970 094
Debt-service costs 269 741 268 306 301 806 334 979 363 515
Provincial equitable share 523 686 544 835 560 757 543 149 562 018
General fuel levy sharing with metropolitan municipalities 14 617 14 617 15 335 15 433 16 127
Skills levy and sector education and training authorities 17 813 18 933 20 619 22 329 24 099
Other1)
4 165 27 720 4 141 4 149 4 335
Appropriated by vote 980 584 1 025 806 1 057 029 1 013 673 1 059 387
Current payments 255 691 263 444 260 680 254 858 267 246
Transfers and subsidies 663 138 696 796 755 267 740 774 775 225
Payments for capital assets 15 004 15 318 15 506 16 124 16 053
Payments for financial assets 46 751 50 248 25 577 1 917 863
Provisional allocations 11 645 - 5 569 28 295 32 078
Provisional reduction allocation to fund the Land Bank -5 000 - - - -
Provisional allocation not assigned to votes 12 645 - 1 372 1 852 2 209
Provisional allocation for Eskom restructuring - - - 21 015 22 000
Infrastructure Fund not assigned to votes 4 000 - 4 197 5 428 7 869
Unallocated reserve - - - 25 000 30 000
Total 1 822 252 1 900 217 1 965 257 1 987 007 2 091 559
Plus:
Contingency reserve 12 000 - 10 000 5 000 5 000
National government projected underspending - -4 263 - - -
Estimate of national expenditure 1 834 252 1 895 954 1 975 257 1 992 007 2 096 559
Percentage change from previous year 4.2% 0.8% 5.2%
2021 Budget estimate of expenditure 1 834 252 1 870 833 1 911 046
Increase / decrease (-) 61 702 104 423 80 961
Gross domestic product 5 352 236 6 251 494 6 441 288 6 805 312 7 233 716
1) Includes direct appropriations in respect of the salaries of the President, Deputy President, judges, magistrates, members of Parliament, National
Revenue Fund payments (previously classified as extraordinary payments), Auditor-General of South Africa, the International Oil Pollution Compensation
Fund and allocations made in the Second Adjustments Appropriation Bill as well as allocations not spent in terms of the Special Appropriation Act (2021)
for departments of Health (COVID-19 vaccine rollout) and Social Development (social relief of distress grant).
Source: National Treasury
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Summary of the consolidated budget
2021/22 2022/23 2023/24 2024/25
Budget Revised Budget Medium-term estimates
estimate estimate estimate
R million
National budget revenue 1)
1 351 672 1 549 068 1 588 044 1 660 223 1 774 174
168 695 172 235 182 601 192 983 203 457
Consolidated budget revenue 2)
1 520 367 1 721 303 1 770 645 1 853 206 1 977 632
National budget expenditure 1)
1 834 252 1 895 954 1 975 257 1 992 007 2 096 559
186 108 181 094 182 011 184 795 185 226
Consolidated budget expenditure 2)
2 020 360 2 077 049 2 157 267 2 176 802 2 281 785
Consolidated budget balance -499 994 -355 746 -386 622 -323 596 -304 154
Percentage of GDP -9.3% -5.7% -6.0% -4.8% -4.2%
FINANCING
Domestic loans (net) 336 798 221 468 245 604 291 592 270 273
Foreign loans (net) 42 992 77 989 34 685 25 883 33 693
Change in cash and other balances 120 203 56 289 106 334 6 122 188
Total financing (net) 499 994 355 746 386 622 323 596 304 154
1) Transfers to provinces, social security funds and public entities presented as part of the national budget.
2) Flows between national and provincial government, social security funds and public entities are netted out.
Source: National Treasury
Revenue of provinces, social security funds and public entities
Expenditure of provinces, social security funds and public entities