Michael Sachs Photo: Twitter

JOHANNESBURG - Business Leaders South Africa (BLSA) has expressed concern for the office of National Treasury, following the resignation of the DDG, Michael Sachs.

"Michael Sachs is another in a line of admirable and competent professionals leaving what is arguably our most important ministry tasked with the economic wellbeing of the country. His departure, following previous warnings about the interference of the presidency into fiscal and budgetary policymaking decisions within the Treasury, will further undermine the credibility of our institutions and comes right before credit ratings agencies publish their review of our country’s economy on 24 November," BLSA said in a statement. 

CEO of BLSA,  Bonang Mohale, said, "In his medium-term budget policy statement, Minister Gigaba told us about a new structure in the Presidency to oversee expenditure in the Treasury. We at BLSA are of the view that this could well violate the constitution."

"Sections 215 and 216 of the constitution ensure transparency and expenditure control, including the right of the treasury to stop the transfer of funds to organs of state in the face of any serious or material breach of proper financial management. Parliament carries the ultimate responsibility for approving the budget, not the Presidency. This latest development raises further concerns over the politicisation of the Treasury and budget process and sends the wrong signal to the people of South Africa."