{"id":197862,"date":"2019-02-21T09:58:10","date_gmt":"2019-02-21T07:58:10","guid":{"rendered":"https:\/\/wereldwyd.co.za\/afriforum-on-budget-speech-bailouts-and-nhi-remain-concerning\/"},"modified":"2019-02-21T09:58:10","modified_gmt":"2019-02-21T07:58:10","slug":"afriforum-on-budget-speech-bailouts-and-nhi-remain-concerning","status":"publish","type":"post","link":"https:\/\/wereldwyd.co.za\/en\/afriforum-on-budget-speech-bailouts-and-nhi-remain-concerning\/","title":{"rendered":"AfriForum on budget speech: Bailouts and NHI remain concerning"},"content":{"rendered":"

Finance Minister Tito Mboweni\u2019s budget speech for the 2019\/2020 financial year indicates an attempt to rescue South Africa\u2019s floundering economy, as well as state-owned enterprises. According to AfriForum, bailouts (among others to Eskom) and the financing of the proposed National Health Insurance scheme (NHI) \u2013 will tighten the noose around taxpayers\u2019 necks even more.<\/span><\/p>\n

State-owned enterprises, including Eskom<\/strong><\/p>\n

Treasury revised their contingency reserve upwards to R13 billion to respond to state-owned enterprises\u2019 requests for financial funding. AfriForum welcomes the Minister\u2019s announcement that the application process for financial support will be much more stringent this year \u201cHowever, it remains concerning that taxpayers will once again have to foot the bill for the mismanagement of state-owned entities,\u201d says Natasha Venter, spokesperson for AfriForum.<\/p>\n

Mboweni\u2019s announcement that the debt-laden Eskom will receive a bailout of R69 billion over three years (R23 billion per year) is worrying. Mboweni announced that Government will not be taking on Eskom\u2019s debts as its own and that the bailout to Eskom is contingent on the appointment of an independent person responsible for the restructuring of the power utility. \u201cHowever, it remains unfair that taxpayers are once more held accountable for the massive levels of mismanagement at Eskom, especially as Eskom recently applied for a tariff increase,\u201d says Venter.<\/p>\n

National Health Insurance<\/strong><\/p>\n

Treasury appointed R717 billion for health services, including the implementation of the NHI. The public health sector is being woefully mismanaged, and funds are misappropriated yearly. Furthermore, one of the main funding options for the NHI will in future necessarily come from a surcharge on taxable income.<\/p>\n

\u201cAfriForum is of the opinion that the NHI is politically motivated and that it will not materially improve the health outcomes of the poorest and most vulnerable members of society. The misuse of taxpayers\u2019 money is a national crisis and this scheme will only contribute to the crisis. It is time for taxpayers to put pressure on the National Prosecuting Authority to make examples of heads of departments who do not fulfil their duties as prescribed by the Act. They are some of the biggest culprits in the misuse of taxpayers\u2019 money.<\/p>\n

\u201cWhen one considers the high levels of poverty and unemployment, the small tax base and the poor performance of the public health sector, it is difficult to envision how a government-funded system that promises \u2018free healthcare for all\u2019 is appropriate for South Africa. The NHI scheme is based on a government administered, centrally controlled, single-payer model. Whether directly or indirectly, government will control the availability, financing and delivery of healthcare for all,\u201d says Venter.<\/p>\n

The civil rights organisation welcomes the decision that personal income tax was left mostly unchanged, as taxpayers are already suffering under the yoke of various hidden taxes. \u201cFurthermore, South Africa has one of the largest cabinets in the world and it should be decreased to ensure that only ministries that are necessary for the efficient management of the country are kept intact. State expenditure is astronomical and should also be cut down. The announcement that members of Parliament and provincial legislatures and executives at public entities will not be receiving a salary increase this financial year is therefore a step in the right direction,\u201d concludes Venter.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"

Finance Minister Tito Mboweni\u2019s budget speech for the 2019\/2020 financial year indicates an attempt to rescue South Africa\u2019s floundering economy,…<\/p>\n","protected":false},"author":213,"featured_media":183509,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"","_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kadence_starter_templates_imported_post":false,"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[800,810],"tags":[],"class_list":["post-197862","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-news-flash"],"taxonomy_info":{"category":[{"value":800,"label":"News"},{"value":810,"label":"News flash"}]},"featured_image_src_large":["https:\/\/wereldwyd.co.za\/wp-content\/uploads\/2024\/10\/Tito_credit_simphiwe-mbokazi-731x761-1.jpg",731,761,false],"author_info":{"display_name":"AfriForum W\u00eareldwyd","author_link":"https:\/\/wereldwyd.co.za\/en\/author\/sue-ann\/"},"comment_info":0,"category_info":[{"term_id":800,"name":"News","slug":"news","term_group":0,"term_taxonomy_id":800,"taxonomy":"category","description":"","parent":0,"count":494,"filter":"raw","term_order":"0","cat_ID":800,"category_count":494,"category_description":"","cat_name":"News","category_nicename":"news","category_parent":0},{"term_id":810,"name":"News flash","slug":"news-flash","term_group":0,"term_taxonomy_id":810,"taxonomy":"category","description":"","parent":800,"count":343,"filter":"raw","term_order":"0","cat_ID":810,"category_count":343,"category_description":"","cat_name":"News flash","category_nicename":"news-flash","category_parent":800}],"tag_info":false,"jetpack_featured_media_url":"https:\/\/wereldwyd.co.za\/wp-content\/uploads\/2024\/10\/Tito_credit_simphiwe-mbokazi-731x761-1.jpg","fimg_url":"https:\/\/wereldwyd.co.za\/wp-content\/uploads\/2024\/10\/Tito_credit_simphiwe-mbokazi-731x761-1.jpg","_links":{"self":[{"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/posts\/197862","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/users\/213"}],"replies":[{"embeddable":true,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/comments?post=197862"}],"version-history":[{"count":0,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/posts\/197862\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/media\/183509"}],"wp:attachment":[{"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/media?parent=197862"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/categories?post=197862"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wereldwyd.co.za\/en\/wp-json\/wp\/v2\/tags?post=197862"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}