PRESS RELEASE: UDM reaction to Budget 2013
The United Democratic Movement (UDM) listened with interest to the announcements made by Finance Minister Pravin Gordhan in today's Budget Speech. Not all of it is bad news. Considering the challenges he is faced with, he has presented us with a responsible budget.
Minister Gordhan has the difficult task to allocate funds for a government that is doing a lot more, but doing it less well. With a budget deficit of 5.2%, a current account deficit of approximately 6% and government debt of just over 40%, it is clear that there is very little room to manoeuvre. In order to embark on fiscal consolidation Government will have to root out corruption and wasteful expenditure.
The UDM is concerned about the negative impact of the increased fuel levy, together with the constant rise in the fuel price, on the cost of living for South Africans, but especially the poor.
We have noted that the provincial budget allocation is skewed toward KwaZulu-Natal.
Government's renewed focus on intra-Africa trade and consolidating South Africa's position, as the port of entry to trade on the Continent, is welcome news.
Mr Nqabayomzi Kwankwa
UDM Deputy Secretary General