Govt will not accept strings attached to loans from World Bank, says Mboweni

Speaking during a webinar organised by Bloomberg on Tuesday, Finance Minister Tito Mboweni was asked about progress on securing a loan from the World Bank.

Finance Minister Tito Mboweni. Picture: @TreasurySA/Twitter

CAPE TOWN - Finance Minister Tito Mboweni on Tuesday reiterated that he did not want strings attached to any help from global financial bodies.

Speaking during a webinar organised by Bloomberg, Mboweni was asked about progress on securing a loan from the World Bank.

“What I have resisted is any attempt by the World Bank to any policy considerations or conditionalities to us. When we approached the IMF for the $4.2 billion loan, they did not impose any conditions on us. The World Bank was trying to impose policy conditions on us, and I won’t have any of that,” the minister said.

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Mboweni said that the institution understood his stance on the matter.

“I think we are edging closer to a common understanding, the World Bank country rep in SA has requested a meeting to discuss their approach. What I have resisted is the World Bank’s attempt to impose any policy conditionality on us. There will be no policy prescription for SA and the World Bank now understands that,” he said.

The minister also has announced a R500 million investment in a vaccine consortium that is aiming to produce an effective treatment for COVID-19.

At the virtual gathering, Mboweni again emphasised the public service wage bill had to be slashed.

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