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Home Business

I don’t believe 2022 budget to be pro-poor – Marwick

Themba Zwane by Themba Zwane
March 3, 2022
in Business, Economy
Reading Time: 2 mins read
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MP decry removal of ‘Dubai vehicles from market’

Ezulwini – Seasoned legislator in Lobamba Lomdzala MP Marwick Khumalo, who is also the Chairperson of the House of Assembly Portfolio Committee on Finance does not believe that the 2022 national budget is pro-poor.

Minister of Finance, Neal Rijkenberg delivered his 2022 national budget speech in Parliament on February 18, 2022 and many observers and analysts believed it to be a pro-poor budget speech mainly in the sense that when it came to taxation, low-income earners were to be taxed less than high-income earners.

Unlike other legislators and members of the public, Khumalo said he did not believe that the budget presented by Rijkenberg favoured the poor. This was at the Sibane Hotel at Ezulwini during the 2022 Post Budget Seminar.

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“I do not agree with the Minister Rijkenberg especially when it comes to the issue of ‘Dubai’s’ as their removal from the market will mean less contribution in fuel levy to the economy,” said Khumalo.

He further indicated that the ordinary citizens had been deprived the privilege of purchasing affordable cars yet it provided them with a convenient mode of transport. However, not all is not bad in the budget as Khumalo commended some of the decisions taken by government.

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He commended government for reducing the number of parastatals and pointed out that too many of them drained the economy. Khumalo said it was good to see many of the parastatals being merged while those that do not contribute to the economy must be completely removed. He also said the Central Transport Agency (CTA) has been a heavy drain.

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Lobamba Lomdzala Member of Paliarnment Marwick Khumalo during the post budget seminar

The MP further commended Rijkenberg for his efforts in addressing the issue of arrears internally where government owed suppliers. Meanwhile, in response to some of the concerns, Rijkenberg said the decision of removing ‘Dubai motor vehicles from the market was taken after thorough assessment and it is for the good of the nation.  

He also said the budget was trying to address the issue of over spending on the Phalala Fund, unsustainable debts and overspending. He said they had to fix the wage bill which led to the decision of a hiring freeze of civil servants. He said they have also worked hard on the supplementary budget.

He said they needed to find sustainability on the Southern African Customs Union (SACU) receipts. Last year he said they got E5.5 billion on SACU, E4.3 billion the previous year and anticipated in the region of E8.7 billion next financial year.

Themba Zwane

Themba Zwane

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