Economy


Minister Malusi Gigaba has presented the 2018 National Budget in Parliament. Highlights are: VAT increases to 15% on purchases, R57 billion for Higher Education, national GDP estimate rises from 0.7% to 1.0% over the next year.

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Government will spend R57 billion on free higher education over the next three years, Finance Minister Malusi Gigaba said on Wednesday.

Students

The National Budget 2018 includes targets for enrollment at public universities and colleges over the coming 3-year period.

The National Health Insurance (NHI) has been allocated an additional R4.2 billion which will be funded through an amendment to the medical tax credit, Finance Minister Malusi Gigaba said on Wednesday.

Government will phase in fee-free higher education and training to students from poor and working-class families.

With an improved economic outlook, South Africa’s Gross Domestic Product (GDP) is projected to come in at 1% in 2018, up from the 0.7% projected last year, Finance Minister Malusi Gigaba said on Wednesday.

Finance Minister Malusi Gigaba has announced an increase on excise duties that will leave smokers and drinkers with a hangover.

Budget 2018 brought bad news for consumers with the first increase in Value Added Tax in 25 years.

Government will continue to support local companies to grow through a range of incentive packages, Finance Minister Malusi Gigaba said on Wednesday.

 

Finance Minister Malusi Gigaba will this week table the 2018 Budget in Parliament. The much anticipated budget will be tabled in the National Assembly on Wednesday 21st February 2018.

The positive news in the lead-up to the 2018 Budget Speech is that the broad macro-economic environment is less confining than this time last year.

Trade and Industry Minister Rob Davies says this year’s budget has affirmed that South Africa has taken a tougher stance on its fiscal consolidation, which should go a long way in restoring confidence.

Government has set aside R16.3 billion towards higher education, Finance Minister Pravin Gordhan said.

Owing to the rising costs of traditional fossil fuel, the current electricity crisis and the common push towards a more environmentally conscious way of living, renewable energy has experienced considerable growth within the past few years.

Finance Minister Nhlanhla Nene says due to global and domestic economic constraints, tabling this year’s budget was very difficult.

Incentives and other economic interventions have collectively led to the creation of more than a million jobs in the past year, the National Treasury said.

Taxpayers should expect to pay a percentage point more from their personal income tax for government to raise an extra R12 billion this year and another R15 billion next year, the National Treasury said.

New research reveals that South African business leaders would welcome
more global co-operation and guidance from tax authorities on what is
acceptable and unacceptable tax planning.

Finance Minister Pravin Gordon said in his budget speech, that while we have
achieved much over the past five years, in a very difficult post recession
climate; there is more to do ahead.

The private sector and civil society should lend a helping hand to ensure that
the country records economic growth that can create jobs, says Finance
Minister Pravin Gordhan.

If you have been planning to quit smoking, this is probably the best time to do
that. Smokers will from now on pay roughly 68 cents more for a packet of
cigarettes.

Government spending on health is expected to exceed R492 billion over the
next three years, as part of a plan to strengthen the health system, in
preparation for the implementation of the National Health Insurance (NHI)
scheme.

Finance Minister Pravin Gordhan says the old age and disability grants will
increase from R1 270 to R1 350 in April and the forster care grant will be
R830, while the child support grant increases to R310 a month in April and
R320 in Octtober.

Despite the sluggish local economic growth brought about by the 2008 global
recession, Finance Minister Pravin Gordhan said government would continue
focus its efforts on growing the economy.

The education sector is set to receive the biggest portion of the budget
demonstrating government's continued commitment to addressing one of the
country's major problem areas.

Tabling the 2014 Budget in Parliament, Minister Gordhan announced that
government?s spending will be R1.25-trillion for the 2014/15 financial year.
Here is an outline of government's expenditure plan for this period.

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