20°C / 22°C
  • Thu
  • 16°C
  • 4°C
  • Fri
  • 18°C
  • 8°C
  • Sat
  • 19°C
  • 9°C
  • Sun
  • 21°C
  • 10°C
  • Mon
  • 22°C
  • 11°C
  • Thu
  • 17°C
  • 13°C
  • Fri
  • 18°C
  • 13°C
  • Sat
  • 20°C
  • 13°C
  • Sun
  • 23°C
  • 15°C
  • Mon
  • 21°C
  • 14°C
  • Thu
  • 18°C
  • 6°C
  • Fri
  • 21°C
  • 9°C
  • Sat
  • 22°C
  • 11°C
  • Sun
  • 22°C
  • 11°C
  • Mon
  • 24°C
  • 12°C
  • Thu
  • 16°C
  • 1°C
  • Fri
  • 19°C
  • 4°C
  • Sat
  • 20°C
  • 6°C
  • Sun
  • 22°C
  • 8°C
  • Mon
  • 23°C
  • 8°C
  • Thu
  • 21°C
  • 12°C
  • Fri
  • 25°C
  • 16°C
  • Sat
  • 21°C
  • 16°C
  • Sun
  • 25°C
  • 16°C
  • Mon
  • 26°C
  • 19°C
  • Thu
  • 21°C
  • 12°C
  • Fri
  • 17°C
  • 12°C
  • Sat
  • 17°C
  • 11°C
  • Sun
  • 25°C
  • 15°C
  • Mon
  • 21°C
  • 15°C
  • Thu
  • 14°C
  • 11°C
  • Fri
  • 19°C
  • 12°C
  • Sat
  • 24°C
  • 11°C
  • Sun
  • 26°C
  • 13°C
  • Mon
  • 24°C
  • 11°C
  • Thu
  • 16°C
  • 12°C
  • Fri
  • 18°C
  • 12°C
  • Sat
  • 21°C
  • 11°C
  • Sun
  • 24°C
  • 14°C
  • Mon
  • 22°C
  • 12°C
  • Thu
  • 19°C
  • 5°C
  • Fri
  • 23°C
  • 8°C
  • Sat
  • 23°C
  • 9°C
  • Sun
  • 23°C
  • 10°C
  • Mon
  • 25°C
  • 11°C
  • Thu
  • 15°C
  • -2°C
  • Fri
  • 18°C
  • 1°C
  • Sat
  • 20°C
  • 4°C
  • Sun
  • 22°C
  • 6°C
  • Mon
  • 23°C
  • 6°C
  • Thu
  • 23°C
  • 6°C
  • Fri
  • 28°C
  • 8°C
  • Sat
  • 24°C
  • 9°C
  • Sun
  • 27°C
  • 10°C
  • Mon
  • 29°C
  • 10°C
  • Thu
  • 18°C
  • 12°C
  • Fri
  • 16°C
  • 11°C
  • Sat
  • 17°C
  • 10°C
  • Sun
  • 22°C
  • 14°C
  • Mon
  • 19°C
  • 13°C

SA should not approach IMF for help, ANC and allies say

Finance Minister Tito Mboweni said last month that South Africa would only approach the IMF or World Bank for help fighting the coronavirus 'if we run out of finance for health interventions'.

FILE: Finance Minister Tito Mboweni. Picture: GCIS.

JOHANNESBURG - South Africa should not approach the International Monetary Fund or World Bank for help, even as it grapples with the impact of the coronavirus outbreak, the governing African National Congress (ANC) party and two close allies said in a joint statement on Monday.

Finance Minister Tito Mboweni said last month that Africa’s most industrialised economy would only approach the IMF or World Bank for help fighting the coronavirus “if we run out of finance for health interventions”.

“The Secretariat is very concerned by the suggestions, conveyed through the Minister of Finance, that South Africa should approach the IMF (or the World Bank) for ‘assistance’. The suggestion is rejected,” the ANC and allies the South African Communist Party and Cosatu trade union federation said, referring to the secretariat of their “ruling alliance”.

“Instead, the Secretariat reaffirms the need to safeguard South Africa’s democratic national sovereignty, the fundamental right to self-determination, our independence, which are non-negotiable, even in the midst of a crisis,” the statement read.

Asking multilateral institutions, especially the IMF, for cash is deeply unpopular with a radical faction in the ANC and trade unions the party uses to rally support ahead of elections, partly because of the stringent conditions that can accompany IMF lending programmes.

But the country’s public finances are severely stretched after a decade under former President Jacob Zuma during which government debt rose steeply and economic growth ground to a halt.

Ratings agencies Moody’s and Fitch both downgraded the country’s sovereign credit ratings in recent weeks, citing fiscal pressures and a weak growth outlook.

Deputy Finance Minister David Masondo told local television station eNCA at the weekend that the government was talking to the BRICS countries’ New Development Bank about a $1 billion loan that could support the fight against the coronavirus and aid in structural reforms.

For official information about COVID-19 from the Department of Health, please click here.

Comments

EWN welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

- Racism (including offensive comments based on ethnicity and nationality)
- Sexism
- Homophobia
- Religious intolerance
- Cyber bullying
- Hate speech
- Derogatory language
- Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the EWN community a safe and welcoming space for all.

EWN reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

EWN is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

comments powered by Disqus