national debt | Radio 94.7 FM

Following the disappointing mid-term budget speech by Tito Mboweni, the Rand reached its lowest level in weeks. Eskom’s rescue plan has nowhere really figured in either Pravin Gordan’s submission or Mboweni’s budget reason.

The government’s financial situation is rapidly deteriorating with the national debt of R3 trillion and a tax deficit of R53 billion.

Moody’s is therefore expected to downgrade the country to negative from where it currently stands at stable.

However, there are fears that Moody’s will downgrade the country directly to junk status which will affect Government bonds as the Citigroup’s World Government Bond Index contains only investment-grade securities.

Eish! South Africa’s national debt now averages more than R55 000 for every living citizen. But who has racked up the numbers, and where does it go?

Is there any better summary for South Africa’s woes than a giant ticking clock on a bleak background?

The “debt clock” – monitored and calculated by currency specialists commodity.com – is adding up all the interest payments South Africa owes, in a second-by-second breakdown.

The hypnotic, if not utterly perturbing counter has taken its data from the yearly budget forecast announced by the Treasury last month. It takes into account the interest payments owed by Mzansi on an annual basis and breaks it down into excruciating detail: The facts and figures provided by the debt clock are somewhat hair-raising.

How much debt does South Africa have?