Message from the Treasurer General


27 May 2020


Warm greetings, to all of you who are watching and listening to this online discussion from different parts of the world.

South Africa, is engaged in a titanic battle against an invisible enemy that is destroying lives and livelihoods: the COVID-19 pandemic.

South Africa’s GDP is expected to contract by 6.4% in 2020, with more than 1.8 million potential job losses. 

The South African government has acted swiftly, boldly and decisively to put measures to curb the spread of the virus and to cushion its economic impact on the poor and vulnerable. 

Government has announced a more than US$ 27 billion social and economic stabilization package, intended to flatten both the curve of the pandemic and the economic downturn. 

This package is equivalent to 10% of South Africa’s GDP. 

In addition, government began implementing measures to stabilise public finances; eliminate wastage, ensure value for money and efficiency of spending.  

We have also acted decisively to promote energy security. This includes implementing a turn-around strategy for our electricity utility, Eskom, as well as initiating a process of generating extra energy capacity; including through renewable energy.

Similarly, we have begun a process of amending the Constitution to provide greater clarity and certainty in the implementation of the land reform programme. 

We reiterate that there will be no land grabs in South Africa! 

After engagement with the private sector, and the multilateral development banks, cabinet will soon approve an infrastructure project pipeline totaling more than US$ 20.5 billion focusing on network industries such as rail and ports, energy, ICT, water, sanitation and human settlements.

Plans are underway to repurpose and restructure state owned enterprises to maximize their developmental impact and improve their commercial viability.

We are continuing with the important task fighting corruption in the public and private sectors. 

It is however clear that given the scale of the damage to our economy, the post COVID-19 reconstruction effort will be no mean feat. 

The COVID-19 pandemic has highlighted that apartheid fault lines are still persistent in our economy and society.

The poor and the vulnerable are the hardest hit by the pandemic.

Accordingly, we in the African National Congress have begun reimagining and planning towards a post COVID-19 South African economy.

We have taken the view that in building a post COVID-19 economy, we need to go back to the fundamental insights contained in the Reconstruction and Development Programme (RDP) of the early 1990’s. 

We are also determined to ensure that the goals of the National Development Plan, Vision 2030 to reduce inequality, poverty and unemployment find practical expression in the new economy we are building.

Government is already in discussion with international partners such as the IMF, the World, the New Development Bank and the African Development Bank to raise US$ 27 billion as part of our immediate health response to the COVID-19 pandemic.

We estimate that South Africa will require more than US$ 100 billion for the post COVID-19 reconstruction to succeed.

As we build the social compact, we are inspired by the tremendous solidarity and compassion that has characterized the South African response to the pandemic. 

To all of you we say; South Africa is open for business!

For us the focus is now implementation.

It is no longer business as usual.

Thank you.



  • Excellent. Let there be visible orresponding actions

    Dr Faith Tovhakale Raduvha
  • While we all share or feel economic stagnant as a result of Covid-19 we highly appreciate the measures taken by the government trying to cover from individuals to businesses. It is my pleasure to see our leaders inviting everyone to the discussion about the economical future during and post covid-19. We are looking forward to hear and support all decisions to be taken during this talkings.

    Norman Mlambo
  • Cde Paul
    I have few points to make:
    1. I do not believe that borrowing money from IMF was a correct decision. The coming generations will have to pay this unfair debt for the rest of their life.
    2. We Black Businesses need a different economic structure now based on industralised activities that produce iron to manufacture steel, Factories that manufacture pharcitical products, factories for refinery, building SA Exchange Control for Mineral Pricing hence beneficiation will be possible.
    3. Change structure of our education system to focus more on science and Engineering and Economics( economic development).
    4. Establish more local banks which will focus on SMMEs.
    5. Introduce Youth Brigade which will function like Boys Scotts which will focus nationalism and focus also on mind setting to produce selfless future leaders. ANCYL can recruit from that pool of leaders.
    6. Aggressively work hard to bring back the trust of ANC to our black masses
    7. Improve SARS System which will be able to attack procedural and legally the MNEs on Profit Shifting .
    8. Review the Tax Treaties signed with different countries especially with regard to section 6quat and 6quin of the TAX Act.

    Paul K Kubheka

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