Budget 2025: Urgent action required to boost growth rate

STANLIB Chief Economist Kevin Lings says that although the Minister proposes a smaller-than-expected VAT increase, he has sought additional revenue elsewhere by removing an adjustment for fiscal drag and implementing smaller increases in social grants. Hopefully, opposition to the VAT increase from the DA will be resolved by 2 April. Kevin says the biggest disappointment in the Budget is the weak growth outlook over three years, despite its focus on infrastructure and public-private partnerships.