Mr Speaker, Minister Pravin Gordhan is an extraordinary man. I came to know him during the negotiation process. He has a strong personality that could have been intimidating and threatening, were it not for his intensely benign and reassuring attitude and the confidence that emanates from his leadership.
This may account for the fact that he has charmed so many into applauding his fiscal framework. Even the DA, notwithstanding them telling us how terrible it all is, seem to be supporting him.
In the next three years Minister Gordhan will borrow not only as much debt as was accumulated during the last days of colonialism, the apartheid period and the new democratic South Africa, including the money used for the greatly increased social spending of the past 16 years, but one and half times more than that. The present national debt is R513 billion, which will be raised to R1,3 trillion by 2013, and this is not the end of it.
According to his projection, the debt will stabilise only in 2015. If it grows at the same rate, the debt will be R1,7 trillion by that time. He clarified in the committee that, in 2015, we will have stabilised the Budget, by which he means the Budget will run on a deficit of only 4% of the GDP. By projecting the growth of the size of the Budget and the growth of the GDP, this means that by 2015 the deficit will grow by a few more hundred billion rands per year.
Let's place this in context: In 2015, every child will be born with a debt at birth of about R340 000 at present rand value, steadily growing each year thereafter. The principle of "no taxation without representation" will not apply in respect of such newborns, who will have to pay off money they had no part in borrowing.
With his charm, Minister Gordhan told us not to worry because he had it all figured out. He told us that the economy will grow this year by 2,3%, next year by 3,2% and the following year by 3,6%. Thereafter, it will all be hunky-dory. He is relying on the same advice of those who, over the past 15 years, got projected growth wrong time and again, starting from the 6% projected growth on Gear, the Growth, Employment and Redistribution strategy, which turned out to be a mere 3%, to finish with the grand prediction ... [Interjections.]