The confusion about the Development Bank of Southern Africa, DBSA, is not on this side of the House. We had confirmation today that the DBSA is way outside of its mandate. Also we should be debating the fiscal framework in far greater detail than we are dealing with it today. Our economy is significantly worse off than it was in February this year. Whilst other economies are slowly yet steadily emerging from the great recession, ours is not and our government dithers.
The fiscal framework is basically our country's balance sheet over the next three years. The numbers are heavily impacted by the expected gross domestic product, GDP, growth rate, especially income protection.
The estimated growth rate of 1,4% is half of that estimated in February and unlikely to be achieved if the meltdown at Eskom continues. Yet income is expected to increase over the next three years. This can only be on the back of tax increases that the Minister has already stated will be necessary.
Expenditure remains on the increase despite the Minister's promises of a fiscal course adjustment. Net loan debt increases to over R2,1 trillion in 2017-18. Even on the back of significant tax increases this number accelerates unusually fast and does not tail off as a percentage of GDP.
Minister, your numbers are not a good story to tell. They tell a story of a government that has run out of money and enthusiasm to implement measures for economic growth and will now be squeezing the people to pay for its mismanagement of our economy and its wasteful spending. The DA will not support this fiscal framework. Thank you.