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I am glad the interest rate will state at 5.7% and that will probably affect the money we pay back to the banks for loans will remain the same, the governor has warned about wages that are above inflation, the economy is weak and that international economy is almost stable.
It was also concerning that we might have to import more than what we export in terms of maize due to the drought and the fact that the government will take from more from the money we spend on petrol in order to balance out inflation.
The interest of the state is stability, inflation targeting and growth, but this focus may not go along radical project at job creation, which really is what radical transformation is about. The state should consider subsidizing petrol and rely on the fact that South Africa enjoys emerging market status-which everyone thinks is a worthwhile investment for now.
The state should actually consider the subsidization of petrol especially for small and medium enterprises, the idea that the state can be an employer through public works programs should be abandoned for investment in the creation of small businesses.
The additional investment that could radically transform the economy is incentivising those families and business that can do as much to get off the electricity grid and use water more efficiently.
The reliance on inflation targeting is not going to radically transform the economy. The public sector wage bill should be fixed creatively as well allowing people to use their pensions to get out debt while ensuring they have sector retirement packages will probably break down the rationale of above inflation wage increases.
The present trajectory however is not transforming the economy at all nor does it add to the saving culture that economists have said would assist our economy.
At some point radical needs to be equal to actions and venturing into a certain direction and being brave enough to try out something to solve our problems. The logic of growth first and then redistribution is clearly well accepted as archaic and impossible for a country with our problems.
It was also concerning that we might have to import more than what we export in terms of maize due to the drought and the fact that the government will take from more from the money we spend on petrol in order to balance out inflation.
The interest of the state is stability, inflation targeting and growth, but this focus may not go along radical project at job creation, which really is what radical transformation is about. The state should consider subsidizing petrol and rely on the fact that South Africa enjoys emerging market status-which everyone thinks is a worthwhile investment for now.
The state should actually consider the subsidization of petrol especially for small and medium enterprises, the idea that the state can be an employer through public works programs should be abandoned for investment in the creation of small businesses.
The additional investment that could radically transform the economy is incentivising those families and business that can do as much to get off the electricity grid and use water more efficiently.
The reliance on inflation targeting is not going to radically transform the economy. The public sector wage bill should be fixed creatively as well allowing people to use their pensions to get out debt while ensuring they have sector retirement packages will probably break down the rationale of above inflation wage increases.
The present trajectory however is not transforming the economy at all nor does it add to the saving culture that economists have said would assist our economy.
At some point radical needs to be equal to actions and venturing into a certain direction and being brave enough to try out something to solve our problems. The logic of growth first and then redistribution is clearly well accepted as archaic and impossible for a country with our problems.
