Business: Expectations from the 2014 national budget

The South African Chamber of Commerce and Industry (SACCI) expect the minister of finance, Pravin Gordhan, to provide details on South Africa’s fiscal priorities in the 2014/15 National Budget speech.

This was expressed by the CEO of SACCI, Neren Rau, in a statement.

Rau added that SACCI expects that Minister Gordhan will focus on the following issues:

Improving investor confidence in South Africa

Address the impact of global economic pressures, the weaker rand exchange rate and industrial action in the mining sector on investor confidence.

Improving fiscal discipline

SACCI would also like to see a firm stance on managing the budget deficit. The Minister can also build on earlier calls to cut luxury spending by senior officials and rein in the growth of the public sector wage bill.

Advancing of the 2014 SONA

Reinforce the themes of President Zuma’s recent State of the Nation Address (SONA): Support to, and call for calm in, the mining sector: Minister Gordhan has a unique opportunity to support the embattled mining sector by introducing a temporary reduction of mining royalties thereby easing the financial pressures on the sector. Fight against corruption: Minister Gordhan can provide details on progress towards fighting corruption and an update on the work done by the Chief Procurement Officer (CPO) to this end.

SME tax administration

Provide an update on the progress made by the Tax Review Committee, specifically on ways to reduce the tax administration burden on SMEs.

Carbon tax

Respond to the concerns voiced by the Business Community on the adverse impact that the proposed tax, in its current form, will have on employment and economic growth.

Tax rates

No tax increases are expected in the context of the economic pressures faced by business and households.

Resist popular pressure to increase social spending

SACCI would like to a see a balance between spending on social priorities and on productive assets that support sustainable economic growth.

SACCI extends its support to the Minister in building on theme of fiscal discipline that has characterized recent National Budgets.

News@ujuh.co.za

 

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