DA says proposed bill will help stabilise SA's national debt

The DA's finance spokesperson Geordin Hill-Lewis said that the introduction of the Fiscal Responsibility Bill would limit the amount of new government borrowing and ultimately protect South Africans from poor economic decisions.

A screengrab of DA finance spokesperson Geordin Hill-Lewis in Parliament.

CAPE TOWN - The official opposition plans to table a new bill to help the South African government contain its growing fiscal debt.

The party said that the Fiscal Responsibility Bill was one of its biggest budget policy proposals in anticipation of Finance Minister Tito Mboweni's budget speech.

Mboweni will deliver his budget in the National Assembly on Wednesday afternoon.

The DA's finance spokesperson Geordin Hill-Lewis said that the introduction of the Fiscal Responsibility Bill would limit the amount of new government borrowing and ultimately protect South Africans from poor economic decisions.

He said that the bill provided for a fiscal rule by the National Assembly that for each financial year from next year, the loan debt must not be more than it was the previous year.

"As part of our core budget proposals, the Democratic Alliance is presenting a new fiscal rule that will help to stabilise our national debt. The Fiscal Responsibility Bill will ensure that debt levels and debt service costs are kept uner control in South Africa. This kind of legislative fiscal anchor is an idea gaining currency and purchase around the world."

He said the DA had other proposals like providing pathways for the liberalisation of the energy market and to stop the indefensible bailout of SOEs.