This document provides a summary of the 2014 South African national budget speech given by Minister of Finance Pravin Gordhan on 26 February 2014. The summary outlines that the budget aims to advance the country's National Development Plan by laying the foundation for structural reforms and funding an intensified implementation of the plan over the next term. It also details that the budget provides tax relief to households and businesses, increases funding for employment programs, infrastructure development, education, health, and other social and economic priorities.
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.
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.
“The Journey to Prosperity” Opening Jamaica Budget Debate Presentation - FY ...Audley Shaw
Just over a year ago, the people of Jamaica sent a clear message that they wanted new and better leadership after years of little or no economic growth, social stagnation and decay. By endorsing our proposals to take Jamaica from poverty to prosperity under the leadership of Prime Minister Andrew Holness, the people have placed their hopes and dreams in our hands.
In the 2019 State of the Nation Address, our President set out an ambitious agenda for our nation. It is an agenda that speaks to the South Africa that we can be. It is a task list for all of us. It lays out a series of interventions that will put South Africa on a bold new path.
Medium Term Budget Policy Statement 2019 SABC News
The Medium Term Budget Policy Statement is an important piece of our budgeting process. The first statement was published on the second of December 1997, during the first democratic administration led by President Nelson Mandela.
Fellow South Africans
Molweni! Sanibonani! Dumelang! Goeie middag! Avhusheni!
It is my privilege to present the twentieth Medium Term Budget Policy Statement for consideration of the House and all South African
President Ramaphosa's first SONA (The Nation's in a State) State of the Nation speech on 2019, presented on 7th February 2019, with David Lipschitz highlighting and comments.
Download to read my comments, which you can click on in the little orange boxes in parts of the text, eg on page 3.
IMPACT OF TAX REVENUE ON ECONOMIC GROWTH IN RWANDA FROM 2007-2017.Nzabirinda Etienne
Rwanda is working tirelessly to achieve economic growth and development. Taxation effective is the one tool to promote and to accelerate economic growth and development, several studies analyses the impact of tax on economic growth and economic development.
The objective of this study is to investigate the impact of tax revenue on economic growth in Rwanda from 2007-2017. Secondary data were sourced from Rwanda Revenue Authority (RRA) and National Institute of statistics of Rwanda (NISR) for the period spanning from 2007Q1-2017Q4. Descriptive data analysis was used and the variable considered here are: Gross domestic product (GDP) as proxy for economic growth, direct tax (DT), Tax on goods and services (TGS) and Tax on international trade and transaction (TITT). Significant literature review for this study is available.
The results of the unit root and the co-integration tests revealed that all variables are integrated of order one, I(1) and Johensen cointegration test indicate existence of a long-run equilibrium relationship among variables included in the model and we use also Vector Error Correction Model (VECM) estimation method for data analysis to estimate for short run result. The empirical findings showed that direct tax(DT)and tax on goods and services(TGS) variables have positive at 0.1631 to 0.60 31 respectively impact on economic growth, while Tax on international trade and transactions(TITT) variable has negative at -0.005913 and it impacts on economic growth.
This study recommends that the policymakers within government of Rwanda must improve both direct tax and tax on goods and services (domestic tax) and increase Taxes on international trade transactions (customs duties), it will harm economic growth of Rwanda therefore custom duties must be rationally reduced or abolished and free trade zones like Africa continental free trade area (AfCFTA) must create to foster increased exchange of goods and services across borders.
Key Words: Tax Revenue, economic growth, Gross domestic product, direct tax, tax on goods and services, tax on international trade and transaction, VECM, Rwanda
President Cyril Ramaphosa has reiterated the need to build both a strong developmental state and a fast growing private sector to achieve a world class economy.
Zambia Vision 2030 v
FOREWORD
Since independence in 1964, Zambia has prepared and implemented several medium term
national development plans. Each of these instruments carried a theme and strategic focus,
which primarily aimed to improve the social economic conditions of our people. These plans,
however, were not prepared within the context of a long-term perspective, which looked over
the horizon of a generation.
The last decade has witnessed an increase in calls, by the general citizenry, for the need to
break with the past and prepare a shared and commonly understood dream for the country.
For this reason, the Government in 2005 initiated the process of preparing the Vision 2030.
This was done through a participatory and consultative process that covered all the 72
districts of the Republic. I am especially pleased at the eagerness and commitment that was
exhibited by many of the stakeholders during the consultative process. This clearly
demonstrates the desire of the Zambian people to take decisive steps towards creating a firm
foundation for a sustainable and prosperous future.
It is, therefore, with great pleasure that I now present the Vision 2030, reflecting the
collective understanding, aspirations and determination of the Zambian people to be a
prosperous middle-income nation. This document sets out the goals and targets to be
achieved in the various spheres of our social-economic life over the next generation. In
addition, challenges and obstacles that we must overcome in order to realize our aspiration
are presented.
The Vision 2030 is founded on seven key basic principles. These principles are: (i)
sustainable development; (ii) upholding democratic principles; (iii) respect for human rights;
(iv) fostering family values; (v) a positive attitude to work; (vi) peaceful coexistence; and
(vii) upholding good traditional values.
Despite the seemingly long time in which the Vision 2030 will be implemented, its
realization will depend on the actions and measures that we undertake as Government, private
sector cooperating partners, civil society and as individuals through short and medium-term
national development plans. These plans will ensure creation of necessary conditions upon
which long term objectives and targets can be achieved.
Since the Vision 2030 will serve as the guide for all development efforts, the commitment
and dedication of all Zambians to its realization is of paramount importance. Our attitudes
and collective mindsets, particularly towards work and participation in national affairs require
changing. I, therefore, call upon all Zambians, in all spheres of life, to rise to the occasion
and take up this challenge of elevating this nation to a new and flourishing future. God Bless
this great and peaceful nation.
Action plan for youth empowerment and employment- ZambiaJerry Sakala
Addressing the challenges of youth employment and empowerment has continued to be among
Government's top priorities. According to the 2012 Labour Force Survey, Zambia's unemployment
rate was 7.9 percent of the Labour Force in 2012. In the urban areas, the unemployment rate was
15.3 percent compared to 3.1 percent in rural areas. The survey further indicated that the youthful
age groups were the most vulnerable to unemployment, with the highest rate recorded among the
20-24 year old at 16.3 percent.
Failure to address the challenge of youth unemployment would erode the potential of this energetic and economically versatile portion of our population to contribute towards the socio-economic
development of the country. Furthermore, unemployed youth are prone to engage in social and political vices that have the potential to undermine democratic practices, peace and stability of the
Nation.
Based on this premise, it was deemed necessary that a study on youth empowerment, employment and skills development be carried out. In this regard, the Ministry of Youth and Sport in collaboration with the Ministry of Finance, with assistance from the African Development Bank (AfDB) and the International Labour Organization (ILO), commissioned studies on youth employment, empowerment and skills development. The findings of these studies formed the basis for the preparation of the strategy for youth empowerment, employment and skills development.
This Action Plan was further informed by the Revised Sixth National Development Plan, Industrialization and Job Creation Strategy, the Revised 2015 National Youth Policy and other sectoral Plans and Policies such as the Education Policy, National Agriculture Investment Plan, the 2013 Revised Education Curriculum Framework, and 2009 Technical Education Vocational and
Entrepreneurship Training (TEVET) Policy, among others. In addition, there was wide consultation with stakeholders including the Private Sector and Civil Society Organisations.
It is envisaged that the development of the Youth Empowerment and Employment Strategy would
provide adequate instruments for addressing challenges of youth employment and empowerment
comprehensively.
It is worth noting that meaningful strides in addressing the challenges of youth empowerment and employment require strong and coordinated responses from all the stakeholders including the youth themselves. This multi-sectoral approach will ensure that programmes and activities to empower and create employment opportunities for the youth are mainstreamed across all sectors.
Darjeeling is intertwined with that of Sikkim, Nepal, British India, Bhutan and Bengal. Until the early 19th century, the hilly area around Darjeeling was controlled by the kingdom of Sikkim, while the plains around Siliguri were intermittently occupied by the Kingdom of Nepal,with settlement consisting of a few villages of Lepcha and Kirati people.The Chogyal of Sikkim had been engaged in unsuccessful warfare against the Gorkhas of Nepal
“The Journey to Prosperity” Opening Jamaica Budget Debate Presentation - FY ...Audley Shaw
Just over a year ago, the people of Jamaica sent a clear message that they wanted new and better leadership after years of little or no economic growth, social stagnation and decay. By endorsing our proposals to take Jamaica from poverty to prosperity under the leadership of Prime Minister Andrew Holness, the people have placed their hopes and dreams in our hands.
In the 2019 State of the Nation Address, our President set out an ambitious agenda for our nation. It is an agenda that speaks to the South Africa that we can be. It is a task list for all of us. It lays out a series of interventions that will put South Africa on a bold new path.
Medium Term Budget Policy Statement 2019 SABC News
The Medium Term Budget Policy Statement is an important piece of our budgeting process. The first statement was published on the second of December 1997, during the first democratic administration led by President Nelson Mandela.
Fellow South Africans
Molweni! Sanibonani! Dumelang! Goeie middag! Avhusheni!
It is my privilege to present the twentieth Medium Term Budget Policy Statement for consideration of the House and all South African
President Ramaphosa's first SONA (The Nation's in a State) State of the Nation speech on 2019, presented on 7th February 2019, with David Lipschitz highlighting and comments.
Download to read my comments, which you can click on in the little orange boxes in parts of the text, eg on page 3.
IMPACT OF TAX REVENUE ON ECONOMIC GROWTH IN RWANDA FROM 2007-2017.Nzabirinda Etienne
Rwanda is working tirelessly to achieve economic growth and development. Taxation effective is the one tool to promote and to accelerate economic growth and development, several studies analyses the impact of tax on economic growth and economic development.
The objective of this study is to investigate the impact of tax revenue on economic growth in Rwanda from 2007-2017. Secondary data were sourced from Rwanda Revenue Authority (RRA) and National Institute of statistics of Rwanda (NISR) for the period spanning from 2007Q1-2017Q4. Descriptive data analysis was used and the variable considered here are: Gross domestic product (GDP) as proxy for economic growth, direct tax (DT), Tax on goods and services (TGS) and Tax on international trade and transaction (TITT). Significant literature review for this study is available.
The results of the unit root and the co-integration tests revealed that all variables are integrated of order one, I(1) and Johensen cointegration test indicate existence of a long-run equilibrium relationship among variables included in the model and we use also Vector Error Correction Model (VECM) estimation method for data analysis to estimate for short run result. The empirical findings showed that direct tax(DT)and tax on goods and services(TGS) variables have positive at 0.1631 to 0.60 31 respectively impact on economic growth, while Tax on international trade and transactions(TITT) variable has negative at -0.005913 and it impacts on economic growth.
This study recommends that the policymakers within government of Rwanda must improve both direct tax and tax on goods and services (domestic tax) and increase Taxes on international trade transactions (customs duties), it will harm economic growth of Rwanda therefore custom duties must be rationally reduced or abolished and free trade zones like Africa continental free trade area (AfCFTA) must create to foster increased exchange of goods and services across borders.
Key Words: Tax Revenue, economic growth, Gross domestic product, direct tax, tax on goods and services, tax on international trade and transaction, VECM, Rwanda
President Cyril Ramaphosa has reiterated the need to build both a strong developmental state and a fast growing private sector to achieve a world class economy.
Zambia Vision 2030 v
FOREWORD
Since independence in 1964, Zambia has prepared and implemented several medium term
national development plans. Each of these instruments carried a theme and strategic focus,
which primarily aimed to improve the social economic conditions of our people. These plans,
however, were not prepared within the context of a long-term perspective, which looked over
the horizon of a generation.
The last decade has witnessed an increase in calls, by the general citizenry, for the need to
break with the past and prepare a shared and commonly understood dream for the country.
For this reason, the Government in 2005 initiated the process of preparing the Vision 2030.
This was done through a participatory and consultative process that covered all the 72
districts of the Republic. I am especially pleased at the eagerness and commitment that was
exhibited by many of the stakeholders during the consultative process. This clearly
demonstrates the desire of the Zambian people to take decisive steps towards creating a firm
foundation for a sustainable and prosperous future.
It is, therefore, with great pleasure that I now present the Vision 2030, reflecting the
collective understanding, aspirations and determination of the Zambian people to be a
prosperous middle-income nation. This document sets out the goals and targets to be
achieved in the various spheres of our social-economic life over the next generation. In
addition, challenges and obstacles that we must overcome in order to realize our aspiration
are presented.
The Vision 2030 is founded on seven key basic principles. These principles are: (i)
sustainable development; (ii) upholding democratic principles; (iii) respect for human rights;
(iv) fostering family values; (v) a positive attitude to work; (vi) peaceful coexistence; and
(vii) upholding good traditional values.
Despite the seemingly long time in which the Vision 2030 will be implemented, its
realization will depend on the actions and measures that we undertake as Government, private
sector cooperating partners, civil society and as individuals through short and medium-term
national development plans. These plans will ensure creation of necessary conditions upon
which long term objectives and targets can be achieved.
Since the Vision 2030 will serve as the guide for all development efforts, the commitment
and dedication of all Zambians to its realization is of paramount importance. Our attitudes
and collective mindsets, particularly towards work and participation in national affairs require
changing. I, therefore, call upon all Zambians, in all spheres of life, to rise to the occasion
and take up this challenge of elevating this nation to a new and flourishing future. God Bless
this great and peaceful nation.
Action plan for youth empowerment and employment- ZambiaJerry Sakala
Addressing the challenges of youth employment and empowerment has continued to be among
Government's top priorities. According to the 2012 Labour Force Survey, Zambia's unemployment
rate was 7.9 percent of the Labour Force in 2012. In the urban areas, the unemployment rate was
15.3 percent compared to 3.1 percent in rural areas. The survey further indicated that the youthful
age groups were the most vulnerable to unemployment, with the highest rate recorded among the
20-24 year old at 16.3 percent.
Failure to address the challenge of youth unemployment would erode the potential of this energetic and economically versatile portion of our population to contribute towards the socio-economic
development of the country. Furthermore, unemployed youth are prone to engage in social and political vices that have the potential to undermine democratic practices, peace and stability of the
Nation.
Based on this premise, it was deemed necessary that a study on youth empowerment, employment and skills development be carried out. In this regard, the Ministry of Youth and Sport in collaboration with the Ministry of Finance, with assistance from the African Development Bank (AfDB) and the International Labour Organization (ILO), commissioned studies on youth employment, empowerment and skills development. The findings of these studies formed the basis for the preparation of the strategy for youth empowerment, employment and skills development.
This Action Plan was further informed by the Revised Sixth National Development Plan, Industrialization and Job Creation Strategy, the Revised 2015 National Youth Policy and other sectoral Plans and Policies such as the Education Policy, National Agriculture Investment Plan, the 2013 Revised Education Curriculum Framework, and 2009 Technical Education Vocational and
Entrepreneurship Training (TEVET) Policy, among others. In addition, there was wide consultation with stakeholders including the Private Sector and Civil Society Organisations.
It is envisaged that the development of the Youth Empowerment and Employment Strategy would
provide adequate instruments for addressing challenges of youth employment and empowerment
comprehensively.
It is worth noting that meaningful strides in addressing the challenges of youth empowerment and employment require strong and coordinated responses from all the stakeholders including the youth themselves. This multi-sectoral approach will ensure that programmes and activities to empower and create employment opportunities for the youth are mainstreamed across all sectors.
Darjeeling is intertwined with that of Sikkim, Nepal, British India, Bhutan and Bengal. Until the early 19th century, the hilly area around Darjeeling was controlled by the kingdom of Sikkim, while the plains around Siliguri were intermittently occupied by the Kingdom of Nepal,with settlement consisting of a few villages of Lepcha and Kirati people.The Chogyal of Sikkim had been engaged in unsuccessful warfare against the Gorkhas of Nepal
Our Honorable Finance Minister Mr. Arun Jaitley present union budget 2017 Lok Sabha on Ist February 2017.He Focus in his speech on farmers growth, youth growth and MSME sector of our Country and effect of demonetization on GDP and Growth of country .
The Main Headlines are following:
1. Corporate Tax decreases upto 25% from 30% for all Indian Company having Turnover upto 50 crores.
2. Changing Slab Rate
Individual fall in category of 250000 to 500000 has pay only 5% Tax on their income instead of 10% tax on taxable amount.
3 Threshold Limit under income tax increase 300000 instead of 250000.
4. No major changes in Indirect Tax because of GST. GST will be Implement near future.
5. First time in History union Budget come up with Railway Budgets.
Union Budget Include Railways Budgets.
Even tho Pi network is not listed on any exchange yet.
Buying/Selling or investing in pi network coins is highly possible through the help of vendors. You can buy from vendors[ buy directly from the pi network miners and resell it]. I will leave the telegram contact of my personal vendor.
@Pi_vendor_247
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
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.
Yes of course, you can easily start mining pi network coin today and sell to legit pi vendors in the United States.
Here the telegram contact of my personal vendor.
@Pi_vendor_247
#pi network #pi coins #legit #passive income
#US
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.
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
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
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
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 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
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@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
2. 2014 Budget Speech
ISBN: 978-0-621-42408-9
RP: 03/2014
To obtain copies please contact:
Communications Unit
National Treasury
Private Bag X115
Pretoria
0001
Tel: +27 12 315 5526
Fax: +27 12 315 5126
Budget documents are available at: www.treasury.gov.za
2
3. 2014 Budget Speech
Honourable Speaker
I have the honour to present the fifth and last budget of President Zuma’s first
administration.
In just over two months, we will again exercise our most fundamental
expression of freedom – our right to vote for a new government.
Political emancipation is just the beginning of our journey towards justice and
equality. In exercising the responsibilities that flow from democratic
participation, we have the opportunity to create a better future for all. As
Madiba wrote on his prison calendar in 1979, “The purpose of freedom is to
create it for others.”
At the outset, I want to thank all South Africans for your support, cooperation
and encouragement. Ngiyabonga, ndia livhuwa, enkosi, ke a leboga....
We have achieved much over the past five years, in a very difficult postrecession climate. But there is more to do ahead, more to build, more to put
right, more to learn, more to implement. We can only do this together.
Fellow South Africans, let me be frank with you – the world economy is still in
difficulty, and global institutions are struggling to find their way.
In South Africa, we stabilised our economy after the 2008 crisis. We have
achieved a recovery in growth and jobs. Yet we need to do more, together
with labour, business and all stakeholders, to lead our economy in a new, bold
direction for higher growth, decent work and greater equality.
3
4. 2014 Budget Speech
Mister President, as you said in your reply to the State of the Nation debate:
“Twenty years of freedom and democracy have changed the face of our
country. The last five years have further advanced change and a better life for
all, especially the poor and the working class.”
An agenda for transformation
Our plans for the period ahead are focused on the transformation imperatives
that will accelerate growth, create work opportunities and build a more equal
society.
This Budget lays the foundation for the structural reforms envisaged over the
next term of this Government. It sets out the resource plan for an intensified
implementation of our National Development Plan. It is tabled in the
knowledge that all South Africans will gain from our economic transformation,
just as we all share a new pride and identity in our Constitutional democracy.
So the new economic order we seek cannot just be a pact amongst elites, a
coalition amongst stakeholders with vested interests. Nor can it be built on
populist slogans or unrealistic promises. Our history tells us that progress has
to be built on a vision and strategy shared by leaders and the people – a
vision founded on realism and evidence.
We have to work together to radically change our economy. This means
working with our major businesses so that they sparkle across the globe. It
means working with black entrepreneurs to grow their companies across
South Africa and beyond, working with small and large businesses to build
value chain linkages that support dynamic export oriented, competitive
enterprises. It means bringing those who are marginalised into the
mainstream of opportunity and activity. It means a better standard of living for
all.
Whether you are employed or unemployed, a young person caring for a family
yet still going to school, someone looking for experience in order to move on
to a better job, looking for skills or needing further education opportunities,
working in a government employment programme or a temporary construction
project, whether you are an unskilled worker or a young professional looking
for opportunities to develop specialist experience – we can, together, move
forward towards a better life for all.
4
5. 2014 Budget Speech
It is time for a bold vision of our future as set out in the National Development
Plan. It is time for action and implementation. It is time to move South Africa
forward to the next stage of our historic journey to more rapid growth, jobs
and development – time to leave behind poverty, joblessness and inequality!
Overview of the 2014 Budget
Mister Speaker, allow me to summarise the key features of the 2014 Budget.
The economy
The global economic outlook remains unsteady – some
advanced economies have returned to growth, others continue
to lag. The slowdown in quantitative easing by the Federal
Reserve has caused further uncertainty to financial markets,
currency volatility and capital outflows from emerging markets.
South Africa’s economy has continued to grow, but more slowly
than projected a year ago. We expect growth of 2.7 per cent this
year.
A weaker exchange rate is a risk to the inflation outlook, but it
supports exporters. Sustained improvements in competitiveness
require further investment in infrastructure and a range of
microeconomic reforms.
The budget framework
Despite slower economic growth, the 2013/14 budget deficit is
projected to be 4 per cent of GDP, lower than projected in
October.
The deficit will narrow to 2.8 per cent of GDP over the medium
term, and net debt will stabilise at about 45 per cent of GDP in
2016/17.
Consolidated non-interest spending will amount to R1.1 trillion in
2014/15, growing to R1.3 trillion in 2016/17, increasing by about
2 per cent a year over the medium term.
5
6. 2014 Budget Speech
National government departments are allocated approximately
48 per cent of available funds, provinces 43 per cent and
municipalities 9 per cent.
Capital spending is the fastest-growing component of
expenditure, and is set to exceed inflation by over 4 per cent a
year.
Benefits to households
The Budget provides R9.3 billion in income tax relief to
households.
Government will expand its employment programmes over the
next three years and continue to support job creation by the
private sector.
We will build 216 000 houses and connect 905 000 households
to electricity over the MTEF period.
The number of children receiving the child support grant will
increase to 11.4 million.
433 schools will be rebuilt.
Support for businesses
Increased support and tax relief for entrepreneurs and small
businesses is proposed.
Incentives for industry are strengthened, including funding for
special economic zones.
Nearly 500 000 subsistence and small-holder farmers will
receive training and financial support.
Financial security
Further steps will be taken to make sure you have a secure
income in retirement. Unnecessary costs in the system will be
cut.
6
7. 2014 Budget Speech
Global crisis and response
Your administration started out, Mister President, with an economy that, in
rugby terms, might be called a “hospital pass”.
We experienced a once-in-70-year economic earthquake, the aftershocks of
which are not yet over. Today we can report to the South African people, on
what we have done in the past five years to respond to this crisis.
We began on a firm footing:
Growth of 5 per cent a year between 2003 and 2008,
A steady expansion in employment, and
A budget surplus for the first time in 50 years.
We were set back by the crisis:
A collapse in commodity prices, sharp declines in international
trade and a crisis in financial markets,
The South African economy contracted by 1.5 per cent in 2009,
nearly a million jobs were lost, and
Government revenue in 2009/10 fell short of the budget target
by R61 billion.
We stabilised the economy, and ensured a recovery:
Our response was to implement an aggressive countercyclical
fiscal adjustment.
When global trade went into reverse, we took steps to improve
competitiveness of businesses within the framework of the
Industrial Policy Action Plan. We accelerated infrastructure
investment and we expanded financial assistance to businesses
in distress.
We expanded the Community Work Programme.
Unemployment insurance and our expanding social grants
programme provided increased income support to the most
vulnerable.
7
8. 2014 Budget Speech
Our response to the global crisis was founded on a collectively agreed
framework for working together – government, business, labour and
communities – facilitated by the National Economic Development and Labour
Council.
And so although the great waves of financial turbulence and the slow growth
in developed economies have constrained our economic recovery, we have
recorded positive growth since 2010. We have more than recovered the jobs
that were lost. And we have initiated a coordinated infrastructure investment
programme. It is organised into seventeen Strategic Integrated Projects to
catalyse opportunities in mining, industry, agriculture and services across the
country. We have saved this country from the worst impact of the Great
Recession!
What is to be done?
Mr President, in 1987 ANC President Oliver Tambo said: “South Africa today
is a country of immense inequalities. The bedrock of our perspective is our
commitment to the establishment of democracy in a South Africa that belongs
to all who live in it, black and white. In keeping with this commitment to our
people, our policy positions enshrined in the Freedom Charter have been
formulated with the fullest participation of our people.”
Fellow South Africans, I can share with you that both Government and the
ruling party, the ANC, have reviewed the successes of the past 20 years,
understanding our weaknesses and strengths, and reflected on how best we
can lead this country and all of our people to a better, more dynamic future.
Mister Speaker, no one in this house denies that South Africa is a different
country from the one this House and the Government inherited in 1994. The
facts speak for themselves! We have made immense strides in rebuilding a
fragmented society and in opening opportunities to all South Africans.
Yet we still have an immense set of tasks and challenges facing us. We
cannot just muddle through the next decade.
In fulfilling our aspirations in the Freedom Charter, we have a clear and
comprehensive vision for South Africa in 2030, a plan for higher growth,
decent work and greater equality – the NDP.
8
9. 2014 Budget Speech
As the first phase of implementing that vision we have a five-year plan and a
medium term budget framework, so that step by step we can make a
difference in the lives of all South Africans.
On these two foundations, we are able to offer bold and forthright leadership.
The next government will set out the details of its plans to deliver on the NDP
after it takes office in May.
Let me explain.
The National Development Plan
As I already indicated, this administration has prepared a National
Development Plan, drawing on expertise and advice from South Africans of all
walks of life. The NDP reflects the priorities underpinning this budget, and
prepares the ground for the next phase of our economic and social
transformation.
Central to the NDP, Mister Speaker, is our commitment to partnership – to a
social compact to reduce poverty and inequality, and raise employment and
investment.
To make more rapid progress in creating jobs and reducing poverty, we have
to grow our economy at 5 per cent a year or more.
To achieve this, and to establish a growth path that is inclusive and rapidly
promotes black economic development, a wide range of initiatives are under
way:
Accelerated public infrastructure investment,
New spatial plans for cities, improved public transport and
upgrading informal settlements,
Support for special economic zones and manufacturing
incentives in the Industrial Policy Action Plan,
A tax incentive to encourage youth employment,
Further expansion of public works programmes,
9
10. 2014 Budget Speech
A renewed focus on accountability and quality in education,
Phasing-in of National Health Insurance,
Further investment in renewable energy and support for the
transition to a low-carbon economy,
Steps to professionalise the public service and overhaul
procurement and supply chain management.
Yet I need to caution that success in implementing these plans depends on
discipline, hard work, cooperation and sustained improvements in productivity,
both in the public and the private sectors. Our present circumstances oblige
us to live and spend modestly and keep a careful balance between social
expenditure and support for growth.
And so in framing the 2014 Budget, Mister Speaker, we have reprioritised
expenditure within the overall ceiling set in the October Medium Term Budget
Policy Statement. The budget deficit will steadily decline over the period
ahead.
Mister President, the next administration will inherit sound public finances, a
platform for implementation of the NDP and a framework for collaboration with
all stakeholders in driving social and economic transformation forward.
Government expenditure programmes
Now let me come to some of the programmes that government will implement
to further change the lives of our people.
Government has spent more than R100 billion on employment
programmes over the past five years, including municipal and
provincial spending. More than 4 million job opportunities were
funded over this time. Allocations will continue to grow strongly,
and 6 million job opportunities will be created over the next five
years.
We have spent R115 billion on higher education over the past
five years, including R18.6 billion on the National Student
Financial Aid Scheme. Allocations to the NSFAS amount to
R19.4 billion over the next three years, and will assist over
500 000 students a year.
10
11. 2014 Budget Speech
We have spent R41 billion on HIV and Aids programmes over
the past five years, and R43.5 billion is budgeted over the next
three years. We have spent R39 billion on 1 879 hospital and
other health facility projects, and R26 billion is allocated over the
MTEF period ahead.
Spending on social assistance has risen from R75 billion in
2008/09 to R118 billion this year. The number of grant recipients
has increased from 13.1 million in 2009 to 15.8 million today.
Spending on Police Services will increase from R74 billion this
year to R88 billion by 2016/17. Police services will be more
accessible through infrastructure development, rural safety
strategy will be implemented and the family child and offences
unit will be strengthened.
Spending on infrastructure amounted to R1 trillion over the past
five years and will be R847 billion over the next three years.
Spending on human settlement programmes amounted to
R70 billion over the past five years, contributing to 590 000
houses being built. 850 000 households were connected to
electricity over this period.
Spending on industrial incentives amounted to R22 billion over
the past five years. R21.8 billion is budgeted for the MTEF
period ahead. 128 projects have been approved under the
Automotive Investment Scheme, and more than 460 companies
have benefited from the Clothing and Textiles Competitiveness
Programme.
The spending plans contained in the 2014 Budget build on this
administration’s progress since 2009. Reprioritisation of resources aims to
give greater impetus to programmes with the greatest developmental impact
and proven implementation capacity.
The Estimates of National Expenditure provide detailed information on
government’s spending plans over the year ahead.
11
12. 2014 Budget Speech
Job creation
Honourable Members, we know that job creation is a central priority of the
National Development Plan. Bantu bakuthi masibambisane sakhe amathuba
emisebenzi (Fellow South Africans, let us work together to create
opportunities for employment.)
Since the low-point of the 2009 recession, employment has increased by
approximately 1.3 million, as recorded in the Quarterly Labour Force Survey.
But unemployment of 24 per cent of the work force is still far too high. And so
Tshepo Sechele, a student at the Vaal University of Technology, quite rightly
advises that “government should have clear strategies for youth development
and employment for the next 5 to 20 years.”
We have such a strategy. It includes:
Stepped up implementation of the expanded public works
programme.
Implementation of the Community Work Programme in every
municipality by 2017.
Introduction this year of the youth employment tax incentive,
which in its first month has recorded 56 000 beneficiaries.
Establishment of special economic zones, industrial incentives,
and support for agriculture and labour-intensive sectors.
Ramping-up of skills development and further education and
training programmes.
Housing investment, support for small and medium enterprises
and the Jobs Fund partnerships with private and public sector
development agencies.
Billions of rand have been allocated to these programmes.
And to support those who lose their jobs in difficult times, Minister Oliphant
has introduced proposals to extend unemployment benefits from 238 to 365
days, on condition that claimants are actively seeking work.
12
13. 2014 Budget Speech
Social assistance grants
The number of people eligible for grants is due to reach 16.5 million by
2016/17. The recent re-registration of grant recipients and the introduction of
a new payment system have lowered the cost of administration. One million
invalid beneficiaries were removed from the system. Social grants are meant
for those who need them most.
Grant recipients will receive the following increases this year:
The old age and disability grants will increase in April from
R1270 a month to R1350,
The foster care grant will increase from R800 to R830, and
The child support grant will increase from R300 to R310 a month
in April, and to R320 in October.
National Health Insurance
This administration has also launched a far-reaching reform to make quality
healthcare affordable to all South Africans. The Department of Health’s white
paper on NHI and a financing paper by the National Treasury have been
completed and will be tabled in Cabinet shortly. The unfolding of NHI is
premised on two pillars being put in place. Improvements have to be made in
public sector health delivery, and the high cost of private health care has to be
reduced. This approach is supported by the World Health Organisation.
NHI pilot districts have been established in every province, supported by
funding for NHI as a conditional grant. In addition to hospital and clinic
building and refurbishment programmes, R1.2 billion has been allocated for
piloting general practitioners’ contracts. An Office of Health Standards
Compliance has been established to ensure that public healthcare provision
meets the required standards. A new funding framework for the National
Health Laboratory Services and associated research activities has been
agreed.
But the improvements to this country’s health system over the past five years
are best seen in our rising life expectancy, the reduction in infant, child and
maternal mortality and the changed lives of 2.5 million people who now have
13
14. 2014 Budget Speech
access to anti-retrovirals. Over the period ahead, enrolment in the HIV
treatment programme will expand by about 500 000 a year.
Education
We have also made strides in improving access to education over the past
five years.
In 2007, 5 million learners had access to free education; this
year the number reached 8.8 million.
Grade R enrolment has increased from 544 000 in 2009 to
779 000 this year.
The national school nutrition programme now feeds 8.7 million
children.
The Funza Lushaka bursary scheme supported 3 950 graduates
qualifying for placement as teachers in 2013.
Through the National Education Collaboration Trust, government, business,
labour and civil society will pool resources and work together to restore
schools and improve education outcomes in the period ahead.
The allocation to the National Student Financial Aid Scheme increases from
R5.1 billion last year to R6.6 billion in 2016/17. This will increase the number
of FET college bursaries to 292 000 and will assist over 236 000 students to
attend university by 2016/17.
As is emphasised in the NDP, improvements in education are critical. Dashen
Shivambu from Polokwane was one of many who wrote to me in support of
Minister Nzimande’s plans: “I would like you to put more money on the table
for Higher Education as more funding is required.” So the 2014 Budget again
gives special priority to education.
Infrastructure investment
Mister President, under your leadership of the Presidential Infrastructure
Coordination Commission, coordinated by Minister Patel’s department, we are
now making progress in overcoming infrastructure backlogs and investing for
more inclusive growth and development. Public infrastructure investment will
amount to R847 billion over the next three years.
14
15. 2014 Budget Speech
The first unit of the Medupi power station is expected to be
completed towards the end of this year.
Transnet has increased capacity on its coal line. Plans are in
place to further expand the coal, iron ore and manganese lines.
The Passenger Rail Agency of South Africa refurbished 500
metrorail coaches last year, and its new rolling stock
procurement programme will get under way this year.
Spending on social infrastructure – which includes health,
education and community facilities – will increase from R30
billion in 2012/13 to R43 billion in 2016/17. Priority will be given
to programmes to eradicate school infrastructure backlogs and
to refurbish clinics and hospitals.
A programme to rehabilitate 35 dams has been completed, and
work is in progress on the country’s five large water transfer
schemes.
In 2014/15, a total of R40 billion in infrastructure grants will be
transferred to local governments for their water, sanitation,
energy and environmental functions.
The private sector is also making an increasing contribution to infrastructure
investment. Contracts for 47 renewable energy projects were concluded in
2012 and 2013, many of which are already under construction. These will add
2 460 MW of power capacity, and investment of R70 billion. A further
R45 billion in investment will be contracted this year.
Unlocking city development and municipal service delivery
Our development plans also focus on overcoming the spatial fragmentation of
South Africa’s built environment, improved public transport and accelerated
investment in human settlements.
An integrated city development grant has been introduced to strengthen longterm city planning and encourage private investment in urban development. It
will amount to R814 million over the medium term.
15
16. 2014 Budget Speech
The assignment this year of the human settlements function to metropolitan
municipalities is a vital intervention in accelerating housing investment and
integrated urban development.
Over the next three years, national government will allocate R105 billion to
municipalities for free basic water, sanitation, electricity and refuse removal
services.
In rural districts, Minister Nkwinti’s development initiatives are gaining
momentum and water supply and sanitation programmes are in progress.
R3.9 billion has been allocated to capacity building programmes over the
MTEF, targeted at small towns and rural municipalities. Billions of rands are
allocated for Special initiatives include:
conditional grants to municipalities,
Municipal Infrastructure Support Agency,
human settlements Upgrading Support Programme in 53
municipalities,
managing the human settlements function, and
settlement upgrading in mining towns.
Measures to promote economic growth
Mister Speaker, our policy is inclusive growth – in the words of the NDP, to
strengthen the “virtuous cycle of growth and development.” Over the medium
term, several spending plans and tax measures are aimed at addressing
structural economic challenges and promoting the stronger, more inclusive
growth envisaged in the NDP:
Manufacturing
development
incentives
are
allocated
R10.3 billion over the next three years, in addition to tax relief
offered through incentive programmes.
The economic competitiveness and support programme will
provide R15.2 billion to businesses to upgrade machinery and
increase productivity over the MTEF period.
16
17. 2014 Budget Speech
Special economic zones are allocated R3.6 billion to promote
value-added exports and generate jobs in economically
disadvantaged parts of the country.
In support of the digital broadcast migration programme,
R620 million will be allocated in the adjustments appropriation
this year, from funds to be surrendered to the National Revenue
Fund by Sentech.
Government is developing an agricultural policy action plan to
support the NDP’s target of creating one million jobs in
agriculture and land reform by 2030. Over R7 billion will be
spent on conditional grants to provinces to support about
435 000 subsistence and 54 500 small holder farmers and to
improve extension services.
To boost domestic food production and reduce reliance on
imports, the Fetsa Tlala initiative aims to bring an additional one
million hectares into cultivation by 2019, creating 300 000 jobs.
Meanwhile, the comprehensive agriculture support programme
grant, which receives R1.6 billion per year over the medium
term, aims to increase farm output, especially for the
beneficiaries of land reform.
Small businesses and entrepreneurship
Mister President, you have rightly reminded us that employment creation is
mainly the responsibility of the private sector.
I have again received many tips on the challenges faced by small and
medium-sized businesses. Sharon Bosii, from Pretoria, suggests that
government “must offer incentives … to help small businesses.” Sharon, we
agree. This budget allocates R6.5 billion over three years to support small and
medium enterprises.
We have also accepted two recommendations of the Judge Davis Tax
Committee which will ease the compliance burden of small businesses:
The turnover tax regime will be amended to further reduce the
tax burden on micro-enterprises.
17
18. 2014 Budget Speech
Consideration is being given to replacing the graduated tax
structure for small business corporations with a refundable tax
compliance credit.
Amendments will be made to the venture capital company tax regime, and the
rules related to access to foreign capital will be eased to enhance support for
entrepreneurial development.
Subject to appropriate tax treatment, amendments will be made to the
intellectual property rules as part of this reform.
In further support of entrepreneurial development, we propose to provide tax
relief to organisations involved in small enterprise development through grantmaking. As a complementary measure, grants received by small and mediumsized enterprises will be tax exempt, regardless of the source of funds.
Global situation
Mister Speaker, ultimately it is the state of the global economy and the
dynamism and agility of the SA economy that shapes inclusive growth, job
creation and development.
The global economy, with which SA is connected, is not yet on a path of
sustained recovery. In the words of the G20 communique, “ the global
economy remains far from achieving strong, sustained and balanced growth”.
Global growth gathered momentum in 2013, led by a recovery in the
advanced economies. This recovery is expected to continue into 2014, to an
expected 3.9 per cent in 2015.
The recovery in the United States has prompted the US Federal Reserve to
taper its quantitative easing programme. We have already seen considerable
swings in capital flows in South Africa and other emerging markets. Interest
rates are likely to rise. Currencies will be weaker and volatile.
Growth in Europe, which is a major trading partner, remains subdued. Doubts
about its banking system remain.
However, China still grows at a dynamic 7.5 per cent and India is expected to
record 5.4 per cent this year. Brazil remains flat at 2.3 per cent.
18
19. 2014 Budget Speech
The African continent is expected to grow at around 6 per cent a year over the
next two years.
The G20, new global turbulence and emerging markets
The world would be a better place, Mister Speaker, if there were greater
understanding of the power of cooperative action. We welcome the
constructive tone emerging from the G20 meeting last weekend. We welcome
the commitment to increase global output by $2 trillion and to increase jobs.
Nonetheless, we remain concerned about the self-justifying narrative from
certain quarters in the developed world – the idea that emerging markets are
the “problem”, that they must “get their houses in order” and that global
cooperation for a more humane and sustainable future is a project for another
day.
These are voices from precisely those places where huge regulatory failures
led to the financial earthquake we have experienced. Geo-political
gamesmanship is the order of the day, collaboration in addressing global
challenges is deferred and global statesmanship is in retreat.
As Africa rises, building democratic institutions, expanding infrastructure and
growing trade and employment, the central priority will remain overcoming
poverty and inequality through initiatives that shape our own growth path, and
partnerships that create our own destiny.
South Africa’s economic outlook
As global economic growth recovers there will be opportunities and risks for
our economy. These developments have the potential to increase our exports.
Among our emerging market partners, growth remains strong but demand for
mineral products has moderated and is unlikely to pick up soon. The prices of
our largest sources of foreign earnings remain depressed.
However, the rand remains an effective shock absorber against global
volatility. Recent movements of the currency have been supportive of export
growth while reducing the country’s reliance on capital inflows.
19
20. 2014 Budget Speech
We must ensure that our fiscal and monetary choices keep inflation low and
maintain the recent gains in competitiveness. While we have made significant
progress in accumulating reserves, there is scope for further improvement.
This will support the stability of the currency.
We project growth to increase from 2.7 per cent this year, to 3.5 per cent in
2016. Investment is forecast to increase by about 5 per cent a year and the
current account deficit will average 5.8 per cent of GDP over the medium
term, while consumer price inflation will return to levels within the target band
between 2015 and 2016.
Potential domestic risks to the outlook include further delays to the
introduction of new infrastructure, particularly additional electricity capacity,
higher inflation due to the weakness of the rand, and protracted labour
disputes which could depress consumer and business confidence.
Boosting growth
The next phase of growth is about the dynamism and agility of the private
sector and the synergies created with government. Government will continue
to provide an enabling environment for businesses to grow and create
employment.
Over the past five years, we supported businesses by relaxing exchange
control regulations to support those who wanted to invest in the African
continent. We provided tax incentives for manufacturing businesses to expand
operations, improve competitiveness and acquire new machinery. We also
opened up opportunities for the private sector to build and run our renewable
energy plants and introduced the employment tax incentive. The result was an
increase in job creation. Now, this effort has to be scaled up to make a bigger
impact on growth, jobs and development.
Removing constraints
Over the medium term we will:
1. Add to electricity supply to improve the balance between available
energy and the amounts required by businesses and households to
thrive.
20
21. 2014 Budget Speech
2. Increase investment in economic infrastructure, including rail, water,
roads and ports
3. Pursue the exploration of shale gas to provide an additional energy
source for our economy.
4. Provide business support programmes and special economic zones
that encourage industrialisation and improve local
Regulatory improvements
Government has been engaging business on specific steps that can be
taken to make it easier to do business in our country. Arising out of that
process, we will now streamline regulatory and licensing approvals for
environmental impact assessments, water licenses and mining
licenses. As announced by President Zuma, Parliament is finalising
amendments to give effect to this very positive development which will
cut the time it takes to start a mine from application to final approval to
under 300 days.
There is further work in progress on lowering the cost structure of the
economy, for example through improved efficiencies in freight logistics.
Minister Carrim has published a new policy on broadband, which will in
due course lead to modernisation of our communications capabilities.
Several cities are bringing WiFi connectivity to their environs.
SARS is taking further steps to lower the cost of tax compliance in
South Africa.
Africa
Investment into Africa has reached R36 billion a year, in a range of
industries. South Africa is the second largest developing country
investor on the continent. In 2013, 29 per cent of our exports were
destined for Africa. In 2012, 12 per cent of our dividends came from
Africa, up from just 2 per cent a decade earlier. Increasing these
inflows will be crucial for closing the current account deficit. Foreign
assets owned by South African firms are an important source of
income, and reduce our vulnerability to future domestic downturns. In
addition, 18 large African firms now have debt and equity listings on the
JSE.
21
22. 2014 Budget Speech
Today, further steps to simplify trade and investment with Africa are
announced. The HoldCo regime for African and offshore operations will
be extended to unlisted companies, and the limits for listed companies
will be increased. This regime creates a simplified tax and foreign
exchange framework for companies that trade with Africa.
South Africa is an important centre for financial services such as fund
and asset management. We propose new “Foreign Member Funds”,
which will simplify the foreign exposure rules. These funds will support
South Africa as a hub for African fund management and provide a
domestically-regulated channel for investors to obtain foreign
exposure.
Promoting Investment
Increased investment in the economy by both the private and public sector is
at the heart of creating jobs and growth.
Government is committed to providing policy certainty for domestic and
foreign investors. Working together with Minister Davies and the Department
of Trade and Industry, a holistic framework for investment is being finalised.
This framework flows from the National Development Plan, which places
investment at the centre of our economic growth plan.
We have a number of incentives in place, which have provided substantial
benefits to both foreign and domestic investors. Moreover, under the guidance
of Minister Davies, a new Promotion and Protection of Investment Bill has
been released for public comment. This entrenches the rights of all investors,
ensuring that property rights are protected, in line with the Constitution.
The fiscal framework and long-term sustainability
Mister Speaker, in last year’s Medium Term Budget Policy Statement we
targeted revenue of 28.6 per cent of GDP, consolidated spending of
R1.2 trillion and a deficit of 4.1 per cent in 2014/15.
Since then, the rand has weakened and inflation has picked up. Long-term
interest rates have continued to rise moderately, and the Reserve Bank has
increased the repo rate by 50 basis points.
22
23. 2014 Budget Speech
These trends reinforce the need to moderate public expenditure, lower the
budget deficit and ensure that public sector debt stabilises relative to GDP.
A key pillar of the current framework remains the main budget expenditure
ceiling. Non-interest expenditure plans are unchanged over the medium term,
resulting in real expenditure growth of about 2 per cent per annum. Within the
expenditure envelope, the composition begins to shift from consumption
spending towards infrastructure investment. The unallocated contingency
reserve amounts to R3 billion, R6 billion and R18 billion over the medium
term.
Over the last decade, government spending has doubled in real terms,
funding a large expansion of the social wage which now stands at 57 per cent
of consolidated expenditure. This progress must be sustained. Our
Constitution requires government to devote increasing resources to a rising
floor of social and economic rights.
In a period of weak economic growth, the sustainability of the public finances
is inevitably tested. Over the last five years government has borrowed more
than R1 trillion. Rising global interest rates make it increasingly costly for
government to borrow. Lower commodity prices dampen the growth of
revenues. A weak rand raises the price of capital goods that government
needs for its investment programme, while inflation raises the amount we
must pay for goods, services and wages.
Our debt portfolio is well structured, with foreign currency denominated debt
limited to about 10 per cent of the total. Our debt markets remain highly liquid
and competitive, which means that the impact of short-term swings in capital
markets can be absorbed over time. Our first sukuk (Islamic) bond will be
launched this year.
Broader public-sector sustainability is supported by large social security fund
surpluses, a fully funded government employee pension system, and the
improving balance sheets of state-owned companies.
With these pressures in mind, government has adopted a balanced fiscal
stance that continues to provide support for the economy, but charts a
stronger course towards fiscal consolidation.
23
24. 2014 Budget Speech
Tax policy, savings and small business support
In 1996, Mister Speaker, the RDP White Paper stated that: “the expansion of
the South African economy will raise state revenues by expanding the tax
base.”
Over the last 20 years we have achieved exactly that. In 1994, tax revenue
amounted to R114 billion. Revenue collected next year will exceed one trillion
rand. This is nearly a tenfold increase in nominal terms. This was achieved
while reducing the tax rate for companies from 40 per cent in 1994 to 28 per
cent and the top marginal rate for individuals from 45 per cent in 1995 to
40 per cent.
During this period the contribution of corporate income tax as a proportion to
total revenue has nearly doubled.
We have also improved the fairness of the tax system by taxing residents on
their worldwide income and taxing capital gains. These changes have brought
the South African tax system more in line with international principles and
have substantially broadened our tax base.
Despite moderate economic growth, tax revenues have remained buoyant
over the past year. In 2013/14, we will collect R899 billion. This is R1 billion
more than we projected last February, and R4 billion above the estimate
presented at the time of the 2013 Medium Term Budget Policy Statement. For
the first time since the recession, corporate income tax revenues will exceed
the 2008/09 peak of R165 billion.
The main tax proposals for the 2014 Budget are as follows:
Personal income tax relief amounts to R9.25 billion. About
40 per cent of the relief goes to South Africans earning below
R250 000 per year.
An increase in the tax-free lump-sum amount paid out of
retirement funds from R315 000 to R500 000 is proposed,
benefiting especially lower income members who did not benefit
from deductible contributions.
Increases in excise duties on alcoholic beverages and tobacco
products are proposed, adding 9 cents to the price of a 340ml
can of beer and 68 cents to a packet of 20 cigarettes. Whisky
24
25. 2014 Budget Speech
goes up by R4.80 a bottle. These increases take effect
immediately.
In recognition of recent increases in the imported cost of fuel,
the general fuel levy increase is limited to an inflation-related
12 cents per litre on 2 April 2014, and the road accident fund
levy will increase by 8 cents per litre.
Legislation to allow for tax-exempt savings accounts will proceed this year, to
encourage household savings.
Complementing this tax reform, a new top-up retail savings bond will be
introduced by the Treasury this year, allowing for regular deposits into a
government retail bond. It will also be accessible to community savings
groups, such as stokvels. Options for introducing a sukuk retail savings bond
are also being explored.
The Income Tax Act currently requires philanthropic foundations to distribute
75 per cent of the money they generate within a year. This requirement is
unduly restrictive and will be relaxed, while ensuring that accumulated capital
is distributed to worthy causes within a reasonable period.
Regulatory and other measures have been put in place to address the
environmental consequences of acid mine drainage. To complement current
efforts and ensure that the mining sector makes its fair contribution towards
continuing acid mine drainage expenses, consultations will be initiated on an
appropriate funding mechanism.
Following public consultation, the National Treasury and the Department of
Environmental Affairs have agreed that a package of measures is needed to
address climate change and to reduce emissions. This will include the
proposed carbon tax, environmental regulations, renewable energy projects
and other targeted support programmes. To allow for further consultation,
implementation of the carbon tax is postponed by a year to 2016.
Reforms to the tax treatment of risk business for long-term insurers are also
proposed. Profits from the risk business of a long-term insurer will be taxed in
the corporate fund, similar to the way short-term insurers are taxed.
In July last year I appointed a Tax Review Committee, headed by Judge
Dennis Davis, with a broad brief to make recommendations for possible
reforms.
25
26. 2014 Budget Speech
The Committee’s first recommendations relate to small and medium
enterprises. These proposals are taken forward in this Budget. The committee
has also started working on base erosion and profit shifting – trends that are
under scrutiny internationally. During 2014, work will be undertaken on the
impact of the tax system on economic growth and job creation, and aspects of
VAT, mining taxes and estate duties.
Tax administration
Mister Speaker, there are still great opportunities for the tax system to work
for our people.
In the past five years, the tax register of individuals grew from 5.5 million to
over 15 million to include all known economically active individuals.
Companies on the tax register now stand at more than 2.3 million. The
number of employers registered for pay-as-you-earn is nearly 404 000.
In the next fiscal year SARS will implement single registration of taxpayers
and traders for the main taxes.
SARS is already working closely with other government agencies to share
non-confidential electronic data. Without compromising privacy and
confidentiality, this will contribute to reducing identity fraud, lower
administration costs and enhance compliance.
New global tax policies are being devised to counter harmful tax practices and
treaties are being designed to allow for the automatic exchange of
information. SARS currently chairs the 121-country Global Forum for the
Exchange of Information for Tax Purposes.
Since the Tax Administration Act came into effect, SARS has recognised 11
bodies to which tax practitioners must belong and 15 000 tax practitioners are
now registered with them. Taxpayers are advised to only use tax practitioners
that are recognised by SARS.
Over the last two years the Voluntary Disclosure Programme has realised
almost R5 billion from income that was not previously declared.
26
27. 2014 Budget Speech
Customs administration
SARS overhauled its customs management system in August 2013. The new
system is fully electronic and significantly reduces the administrative burden
on importers and exporters while improving our ability to detect high-risk
transactions and goods.
Since its introduction, the system has processed goods valued at more than
R1.7 trillion.
Border management cooperation that started during the 2010 World Cup has
deepened. For example, one of the South African ports of entry is being
prepared as a pilot for seamless border management, which will lead to
enhanced border control and trade facilitation. The one-stop border post at
Lebombo will become operational shortly, once the remaining formalities have
been concluded.
During 2013 about R1 billion worth of tobacco and cigarettes was seized from
15 non-compliant entities. Twelve criminal cases are being pursued.
During the same period, SARS detained 400 containers holding suspected
counterfeit clothing, footwear and textiles.
Improving the quality of public services and cutting waste
Mister Speaker, this is a Budget in which circumstances dictate that we
cannot add resources to the overall spending envelope. The emphasis falls
therefore on ensuring that expenditure is allocated efficiently, enhancing
management, cutting waste and eliminating corruption.
A series of initiatives are focused on these concerns:
Spending reviews are under way to examine programme
performance and value-for-money, conducted by the National
Treasury and the Department of Performance Monitoring and
Evaluation, and by provincial treasuries.
The Office of the Accountant-General has stepped up efforts to
strengthen the financial control environment, and has
undertaken 27 forensic reviews over the past 12 months,
27
28. 2014 Budget Speech
leading to both criminal investigations and internal disciplinary
action.
As part of efforts to combat waste, cost-containment instructions
were issued in January 2014. Budgets for consultants, travel,
accommodation and venue hire have been curtailed, which will
contribute to savings over the next three years.
Forthcoming regulations will strengthen the National Treasury’s
oversight of public entities by requiring compliance with
reporting requirements for expenditure, revenue, borrowing and
performance.
Mister Speaker, I referred in 2012 to an initiative to be undertaken jointly with
Minister Nxesi and his department to review the validity and cost effectiveness
of all government property leases. The exercise has exposed several
deficiencies:
Accommodation that is unoccupied but being paid for;
Accommodation occupied by non-governmental entities;
Discrepancies between the size of accommodation occupied
and what is paid for;
Marked divergences from market rates per square metre;
Procurement through inappropriate non-competitive procedures;
Missing or invalid lease agreements and unsubstantiated
payments to landlords.
The intervention also identified a backlog of more than half of the lease
portfolio reviewed. As a result of this initiative, DPW now has a turnaround
strategy that will enable it to regularise the lease portfolio, while ensuring
continuity of services to client departments.
Procurement reforms
The Chief Procurement Office has been established, and has made progress
on several fronts. It will review high value and strategic contracts to ensure
that value for money is derived and that all contracts adhere to the relevant
prescripts. The review will contribute to efforts to ensure that government’s
28
29. 2014 Budget Speech
service delivery objectives are supported by the purchases of goods and
services. These will include, for example,:
Review of contracts such as PRASA’s rolling stock tender,
government leases and infrastructure projects.
Review SAA’s fleet procurement process as part of the drive to
streamlining government processes.
Development of a standard lease agreement to address defects
in government property transactions,
Standardisation of infrastructure procurement processes and
documentation,
Creation of an inspectorate to monitor procurement plans and
audit tender documents,
Enhanced processing of vendors’ tax clearance certificates to
ensure compliance,
Centralised procurement of health equipment, drugs and
medicines to effect savings, and
Analysis of the business interests of government employees.
We are also mindful of the importance of government procurement in
supporting local industry and black economic development. This requires a
database of South African products and black-owned businesses so that the
system can foster economic empowerment and dynamically contribute to
growth. And further, tougher measures are being considered to enforce the
rule that small businesses in particular must be paid within 30 days.
Indebtedness, savings and retirement reform
Mister Speaker, this administration has recognised the need to protect and
improve the financial wellbeing of households, to make them less vulnerable
to a sudden loss of income in bad times. We recognise that households must
be encouraged to invest in their future, including investment in homes or
productive assets, and saving for retirement or business purposes.
29
30. 2014 Budget Speech
South Africa has made good progress towards achieving the NDP’s goal of
90 per cent access to financial services by 2030. Some 79 per cent of adult
South Africans were using regulated financial services in 2013.
Many more households have access to affordable credit, which is of great
benefit when used productively, but bad when used to fund excessive
consumption.
Government is concerned about the level of over-indebtedness of
households. Cabinet has therefore approved a number of measures to assist
such households to reduce their debt burden, and to stamp out abusive and
fraudulent activities of reckless lenders and unscrupulous debt collectors.
Working jointly with the Ministers of Trade and Industry and Justice, we will
shortly commence actions against abusive and unsustainable practices.
With regard to retirement, there will be further reforms over the period ahead.
Legislation has already been passed by Parliament to improve governance
over pension and provident funds, and to align the rules and tax treatment of
pension and provident funds, while at the same time protecting vested rights.
We still seek improved coverage and preservation of retirement funds, and
lower costs in the system. We are currently consulting within NEDLAC on
measures to cover the 6 million employed South Africans who do not enjoy
access to an employer-sponsored retirement plan. We intend to move
progressively towards a mandatory system of retirement for all employed
workers.
Agreement has been reached with the Association of Savings and Investment
of South Africa on a way forward to reduce the level of charges for retirement
savings products. Draft regulatory reforms will be published shortly.
Conclusion
Mister President, since 1994, there has been substantial progress in
transforming the lives of citizens:
The average income of South Africans has increased by over 30
per cent, and will continue to rise in the years ahead.
More than 5.9 million jobs have been created since 1996.
30
31. 2014 Budget Speech
Near-universal school enrolment and the steady increase in
average years of education for both men and women have
improved the life prospects of millions of South Africans.
Access to basic services has grown rapidly across the country.
More people than ever have access to housing, education and
services.
Black participation in the economy has expanded and there has
been a transformation of the middle class.
These are considerable achievements. But they are not enough. There are
still fault-lines that run deep in the social fabric of our communities and
tendencies in the political landscape.
Black economic participation remains incomplete. The economy must provide
many more opportunities and the state and the private sector a lot more
support to enterprises and entrepreneurs.
The structure of the economy also needs to transform in order to meet the
demands of a 21st century global economy and a fast evolving continent.
In some instances, governance has been weak, corruption has taken hold,
and service delivery has faltered. Puso e utlwa dillo tsa maAfrika Borwa! Ons
het gehoor! Korrupsie moet gestop word! MaAfrika Borwa deserves better. Re
tlile go tokafatsa ditirelo tsa puso. We have heard your pleas! And we will
improve our service delivery mechanisms.
Mister President, in your State of the Nation address you observed that the
community protests are a sign that our people want government to quicken
the pace of delivery of housing, water, and sanitation.
More must be done to improve management and accountability
at all levels of government.
The labour relations environment needs more stability.
The high indebtedness of many vulnerable workers must be
addressed.
Going forward, these challenges give us focus. We know what must be
changed to meet the expectations of all South Africans. Service delivery must
31
32. 2014 Budget Speech
be enhanced and supported by the necessary infrastructure. Public servants
must be accountable, and effective. Government is committed to tackling
these issues in a transparent manner, with a view to building a more rapid and
inclusive growth path.
Mister Speaker,
On his inauguration as South Africa’s first democratic President, Nelson
Mandela said, “Let there be work, bread, water and salt for all”.
This year, five hundred thousand South Africans will celebrate their twentieth
birthday. These are the first of our sons and daughters to have breathed only
the clean air of a new nation. These children of our freedom mark the
progress we have made. In their diversity; in their dynamism and their
enthusiasm; in their non-racialism and in the determination with which they
demand the rights of free citizens; in their optimism and fearlessness; in all
this they represent the hope that millions struggled for, and for which so many
paid the ultimate price. They are a generation whose future is brighter than
their parents could have dreamed. They are better educated, better
nourished, stronger and more resilient.
But they also bear the burden of the challenges we have yet to resolve. Too
many will struggle to find work. Too many live in poverty and want. Like their
parents they can see the fault-lines that still divide our society. They can see
the gap between rich and poor.
For their future, we have an obligation to begin a new and far-reaching phase
of our democratic transition; a phase that calls for bold and decisive steps to
place the economy on a qualitatively different path to eliminate poverty and
unemployment, create sustainable livelihoods and substantially reduce
inequality.
The National Development Plan lays the foundation for fundamental
transformation. It is a platform on which we need to mobilise our youth, and
bring together all South African citizens. Each of us has a part to play. Each of
us has an obligation to meet.
Mr President, thank you for your leadership and for the opportunity to serve
government and the people of South Africa. Mr Deputy President, Thank you
for your guidance and support.
32
33. 2014 Budget Speech
My colleagues in the Ministers’ Committee on the Budget have provided
invaluable counsel and make courageous decision in advising Cabinet on our
budget priorities. Thank you!
My appreciation to Cabinet colleagues who collectively own this budget and
the programmes that they implement.
Deputy Minister Nene has been an invaluable partner in managing huge
responsibilities during a challenging term of office; thank you for your
invaluable role.
Governor Marcus and the Deputy Governors of the Reserve Bank have wisely
steered monetary policy in a volatile environment.
Our thanks and appreciation also goes to:
The Provincial MEC’s and Municipal mayors who collectively
spend 50 per cent of a trillion rand!
Director-General Lungisa Fuzile and Mrs Fuzile for his
dedication to public service, his frank and wise advice, and for
continuing to build a very capable Treasury for future
generations.
Senior managers and staff of the National Treasury who have
risen to the challenges of a post-recession South Africa and
remain committed to excellence in the Public Service.
The acting Commissioner of SARS, Mr Ivan Pillay, whose
leadership and solid commitment to institutional building has
served SA well.
The senior management and staff of SARS who keep millions of
taxpayers happy with their service, and a few others compliant
with the law!
The Finance and Fiscal Commission, NEDLAC and its
constituencies, for their contributions and constructive
engagement with the Treasury.
The Chairpersons, Boards, CEO’s and staff of the DBSA, Land
Bank, PIC, Financial Services Board, Financial Intelligence
Centre and the Government Pension Administration Agency for
their excellent work.
33
34. 2014 Budget Speech
The Honourable Mr Mufamadi and Mr de Beer, who chair the
Standing and Select Committees of Finance, and, the
Honourable Mr Sogoni and Mr Chaane who chair the
Appropriation Committees, for their pivotal role in holding us to
account and providing a forum in Parliament for vibrant public
participation.
Mr Dondo Mogajane, Ministry staff and advisors whose
diligence, professionalism and hard work are invaluable.
My family for their constant caring and support and their passion
for building a better South Africa for all.
I also thank all members of this house and the Presiding Officers of
Parliament for their cooperation and support.
Once again, I must convey my gratitude to South Africans for all walks of life,
and many friends of South Africa abroad, for the goodwill and
encouragement.
Honourable Speaker, I hereby table before the House this afternoon:
1.
The Budget Speech
2.
The Budget Review 2014
3.
The Division of Revenue Bill tabled in terms of section 10(1) of the
Intergovernmental Fiscal Relations Act, 1997 (Act No 97 of 1997);
4.
The Appropriation Bill, and
5.
The Estimates of National Expenditure.
Honourable Speaker, I table this budget in the hope that as a nation we will be
able to rise above our sectional interest, and, as you said Mr President,
prevail with greater maturity, pull together and take this country forward.
34
35. 2014 Budget Speech
Mister President, let us repeat our message to our citizens.
Under your leadership, government has succeeded in steering the country
through a difficult period of global turbulence. We have weathered the storm!
Employment and incomes have recovered. The value of the social wage has
increased. We have laid the foundation for a faster and more inclusive path of
growth in the years ahead.
Real public sector investment increased dramatically, in fact doubled. Policy
innovations such as the Jobs Fund, the community public works programme,
the industrial policy action plan, the Special Economic Zones and employment
tax incentive have gained traction. We are now ready to ramp them up.
As South Africa’s economy draws strength from the growth on the African
continent, the unlocking of infrastructure constraints and continuing social
progress, we have a plan to guide our action and unite our people.
The programme of the next administration is not in doubt. Its task will be to
implement the first phase of the National Development Plan. The road ahead
will not be smooth, and there are difficult decisions and hard trade-offs that
must be confronted. But this budget provides the resources to support our
programme of change. It aligns public finances with the priorities set out in the
NDP. Our task is to transform these resources into a better life for all South
Africans. Our challenge is to act together to move South Africa forward.
In the worlds of the indomitable Yusuf Dadoo, “The hour has struck for serious
and hard work. The time has come when on this policy we must go forward.
That is the only policy which at the present moment can meet the dangers
which face us in this country… We have the strength and power in our hands
if we act rightly. It may entail suffering and sacrifice and plenty of hard work…
In the present circumstances, either we hang together or we hang separately.
That is the question before South Africa.”
I thank you.
35