Mr Speaker, the IFP has repeatedly expressed its concern about the skyrocketing national debt. This concern remains largely unaddressed by the Medium-Term Budget Policy Statement. According to our calculations, by 2015 the national debt will be up to R1,5 trillion. In addition, there is skyrocketing municipal debt, which in the end will need to be paid by the National Treasury. After 2015, the national debt will continue to increase, albeit at a lower rate.
We have repeatedly asked the Minister how he plans to repay the debt, and the only answer we have received is that our debt is lower in proportion to that of the United States of America. To the IFP, our fiscal deficit remains a major critical challenge.
The IFP warmly welcomes the increase in spending on health, particularly for HIV and Aids prevention, the increase in spending on infrastructure, and the R50 million that has been set aside for drought relief. In addition, we welcome the Minister of Finance's plans for better financial discipline in service delivery and improved management of education, health and infrastructure programmes. Furthermore, the IFP recognises that South Africans aren't receiving value for money. As the IFP, we believe that the performance and the reputation of many state departments and public entities leave a lot to be desired in terms of optimal service delivery and benefits to the taxpayer. We don't believe that the answer will be found in throwing more money at these entities, but instead the focus should be on ensuring that the money is effectively spent; which means that we need more accountability and better management.
In addition, productivity, for us, remains a critical concern. Each year when the Budget is tabled we allocate more resources to different areas, but despite this, we believe that productivity is steadily decreasing. The countless service delivery protests nationwide during the past financial year have sent out a clear message that, amongst other things, our policing system, health care system, and education system - despite education receiving the biggest chunk of our budget - remain in a critical condition.
What we would also like to find out from the Minister is how government intends financing the mooted National Health Insurance plan. We would like all the citizens of our country to enjoy acceptable levels of care.
Turning to job creation, the IFP agrees that job creation requires a broad range of policy initiatives, but government's supposedly powerful new economic policy framework lacks details. We believe that the Minister of Finance should provide details on how it plans to supplement the New Economic Growth Path.
The latest figures from Statistics SA show that unemployment is at 25,3%, which is alarmingly high. The IFP has always emphasised that 7% to 8% growth must be the goal that we aspire to. And we agree with the hon Minister that we must aspire to 7% to 8% growth, for this will ensure that many more jobs will be created and that we will have a sustainable economic growth path in the future.
Whilst the IFP believes that government's investment plan in urban centres to help turn cities into engines of economic growth is a step in the right direction, we should not lose focus on the continued development of the rural areas. It is in the rural areas that South Africa's biggest social problems are to be found.
Whilst the IFP welcomes the increase in spending, we agree with the hon Minister of Finance that wasteful and inefficient patterns in state departments and entities and in the use of resources must be rooted out. Again, as in previous years, the hon Minister has promised to root out corruption and inefficiency, but the IFP believes that the time for talking is over. Now is the time for action.
Finally, corruption remains a cancer that is threatening to derail all of South Africa's progress made since the dawn of democracy. And whilst the IFP recognises that government at different levels has put in place many measures to curb the scourge of corruption, they have been largely unsuccessful. It is now time for a concerted, co-ordinated and aggressive campaign against corruption in South Africa.
In conclusion, the IFP supports this Medium-Term Budget Policy Statement of the Minister. Thank you. [Applause.]