The October 2017 South African MTBS in a Nutshell:
Growth forecast almost halved from 1.3% to 0.7% (now in line with ours)
Revenue shortfalls of R50.8 billion (17/18), R69.3 billion (18/19) and R89.4 billion (19/20) expected
Tax buoyancy expectations may still be too optimistic
R13.7bn bail-out for SAA (R10bn) and SA Post Office (R3.7bn)
Debt forecast to rise to 60% of GDP in 2020, but task team to investigate remedial action
Rising odds of December downgrades, rather than 1H18, with risk of even further downgrades over the MTEF.
The Rand Weakened to R14.19 to 1 USD
