Cape Town - Finance Minister Pravin Gordhan should stick to his guns on cutting state spending when he tables his medium-term budget policy statement (MTBPS), Cope said on Monday.
“Finance Minister Pravin Gordhan has run out of fiscal space, his hold on spending announced last year should remain strong and... he should not allow any room to increase expenditure,” said Cope MP Nick Koornhof.
Gordhan needed to show leadership when he tabled the MTBPS on Wednesday afternoon.
“Our debt is just manageable, but higher than the other emerging markets, our fiscal deficit is the second highest among the other emerging markets - these two factors should make the finance minister very cautious as it makes investors not to consider us as an investment destination,” Koornhof said.
“He should further make it quite clear to Cosatu and some of his other ANC colleagues that the policy development announced in the NDP takes too long. Time is up for debate and implementation is the key.”