Johannesburg - Business Unity SA (Busa) on Wednesday welcomed the medium-term budget's re-affirmation of the government's commitment to the National Development Plan (NDP).
“Certainty and predictability in the policy environment remains essential for business and investor confidence,” special adviser Prof Raymond Parsons said in a statement.
“Busa sees the MTBPS as a realistic and balanced assessment of South Africa's economic prospects and challenges.”
Parsons said the organisation was reassured by how the medium-term budget policy statement (MTBPS) dealt with government spending and public debt management.
This created an improved fiscal basis for the future, he said.
However, Busa was concerned that the already sluggish growth rate of 2.1 percent was expected to rise to only 3.5 percent by 2016. This was inadequate to reduce unemployment, inequality, and poverty.
Parsons said Busa supported Gordhan's call for greater co-operation between labour, business and the government. - Sapa