SA in R2 trillion debt: Gordhan
Finance Minister, Pravin Gordhan says the country's ability to mitigate its debt lies in the health of GDP.
Gordhan revealed this during his mini-budget on Wednesday, saying that South Africa's international debt currently stands at R2 trillion.
Gordhan made the comment in Parliament yesterday, while fielding questions on his Medium-term Budget Policy Statement.
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The minister said R147 billion will be set aside this year to lessen the country's debt.
He added that the government will have to master a balancing act when approaching its debt.
"Debt is not just the R2 trillion number, it's also a percentage of GDP. If your GDP number changes, everything else changes. If your GDP is not R4 trillion but six or seven trillion that percentage automatically changes, and that's why the focus on the growth issue again makes a great difference. The plan we have set out is a workable one," he said.