EFF: So-called recapitalisation of SOE’s nothing but a bailout

Finance Minister Malusi Gigaba unveiled his 14-point plan on Thursday which he says it will accelerate the process of reducing state debt, curb corruption & intervene in struggling SOEs.

FILE: Mbuyiseni Ndlozi. Picture: Supplied.

JOHANNESBURG - The Economic Freedom Fighters (EFF) has rejected Finance Minister Malusi Gigaba's 14-point plan aimed at wrenching the country's economy out of a recession.

Gigaba unveiled the plan on Thursday which he says it will accelerate the process of reducing state debt, curb corruption and intervene in struggling state owned entities amongst others.

However, the EFF says the finance minister's plans are a clear indication that President Jacob Zuma's administration has no understanding of the economic problems facing the country.

The party's Mbuyiseni Ndlozi say the so-called recapitalisation of state-owned enterprises is nothing but a bailout and creates an enabling environment for looting.

“We reject it. Beyond the fact that privatisation is not going to help, privatisation in and of itself does not guarantee that there will not be corruption, first of all. But secondly, it is bad for the type of economic environment we find ourselves in.”

(Edited by Zinhle Nkosi)