Budget 2010 presented to Parliament on 17 February 2010 at 14h00. Full Budget speech 2010 in pdf format. Click here .
Financial Mail's full Budget analysis will be available Thursday afternoon on this site.
Some highlights fromthe speech
GROWTH: We projected that growth this year would be just 1,5 percent. However things are looking slightly better. Our growth expectation for 2010 is now 2,3 percent, rising to 3.6 percent by 2012.
ECONOMY: This shrank by an estimated 1.8 percent last year. Mining output fell by about 7 percent, manufacturing by over 12 percent.
PUBLIC SPENDING: Real growth in public spending over the next three years is about 2 percent a year.
HIV AND AIDS SPENDING: In October the government announced an additional R5,4 billion for spending on HIV and Aids programme.
HEALTH SPENDING: Total national and provincial helath spending is projected to be R105 billion next year.
EDUCATION SPENDING: The total budget for education next year is R165 billion.
LOCAL GOVT: Receilves a further R6,7 billion to support municipalities to cushion poor households for the rising cost of electricity and water.
CRIME FIGHTING: Police spending on fighting crime is expected to rise to R60,4 billion over the next three years, with upgrades to the detective service and the hiring of thousands of additional officers.
JOB CREATION: Government's R846 million infrastructure investment programme aimed to create “4.5 million short-term job opportunities” over the next five years. The most urgent focus of policy change must be interventions to put young people to work.
INFRASTRUCTURE: Over the next three years, the public sector aims to spend R846 billion on its infrastructure programme.
SOCIAL GRANTS: In 2010/11, R89 billion will be spenT on social grants. The state old page pension and the disability grant rises by R70 to R1080 a month. The child support gran incrases by R10 to R250 a month.
BANKS: Foreign exposure limits on banks finalised. They will be introduced at 25 percent of their total liabilities.
FOREIGN EXCHANGE: National Treasury will shortly release a framework document to facilitate consultations on reforming exchange control legislation
FUEL TAXES: It is proposed to increase taxes on fuel by 25,5 cents a litre.
TAX-FREE INTEREST INCOME: the annual tax-free interest income will be incrased from R21 000 to R22 300 for individuals below 65 years and from R30 000 to R32 000 for individuals 65 years and over.
'Calls for clarity in Budget after frustratingly vague address by President Zuma'
The Black Sashwho speaks for the NGOs, is eager to hear how Finance Minister Pravin Gordhan intends realising President Zuma’s ‘State of the Nation’ promise to get South Africans back to work. Nothing is more important for our country than the creation of decent jobs where there is currently massive unemployment and growing desperation.
Chartered accounts offer Budget tips
The upcoming national budget should facilitate and fund initiatives for government to access business skills to promote accountability, transparency and enhance service delivery across all levels of government.“That’s one of my several tips for Finance Minister, Pravin Gordhan,” Muneer Hassan, project director: tax at the South African Institute of Chartered Accountants , said in Johannesburg 8 February.
Every tax rand needs to be spent wisely
Election promises might have to be broken if government is to overcome the shocking reality of how little is actually in the state purse this year, said Claire Bisseker in FM's cover story 30 October 2009. Here is an extract.
The Royalty Act and the mining industry
This could snuff out some marginal gold mines. An extract from SA's new mining order, cover story published in FM 15 January 2010.
Big push from Pravin
The hard part will be to turn the numbers into genuine trade-offs. An extract from Carol Paton's article, published in FM 30 October 2009.
