Question NW1148 to the Minister of Finance
26 May 2017 - NW1148
Figg, Mr MJ to ask the Minister of Finance
In view of the fact that the economy in 2016 had the lowest annual growth rate of 0,3% since 2009, what measures will he take to prevent this from recurring in 2017, whilst bearing in mind that the target of the National Development Plan is an annual growth rate of 5,4%?
Reply:
The biggest risk to growth in 2017 lies in lower confidence. Achieving faster growth requires government to prioritise building confidence in households as well as foreign and local investors. This requires engagement with social partners, a focus on improving the ease of doing business to encourage investment and the development of Small Medium Enterprises as well as urgently addressing key structural reforms in the economy.
The National Treasury supports growth through the budget. The budget allocates resources according to the priorities and guidance of the National Development Plan.
In addition, the Minister of Finance and the National Treasury engage regularly with global and local investors to communicate Government’s fiscal and economic strategies and have also played an important role in Government engagements through the CEO initiative, to identify opportunities in labour intensive sectors such as agriculture and tourism to create jobs and growth.