JOHANNESBURG, The Banking Association of South Africa has called on Finance Minister Malusi Gigaba to clarify how President Jacob Zuma’s weekend announcement of free higher education for poor students will be funded.
On Saturday, President Zuma announced far-reaching policy changes in which higher education will be fully-funded for students from poor and working class homes.
Meanwhile, economist Dawie Roodt has warned that President Zuma’s decision may lead to a further downgrade for South Africa. Roodt says the funds needed to support the fees subsidy will probably come from other government departments, increased taxes or further borrowing.
He said that the timing of the decision is also questionable. Why now, especially during this election time for the ANC’s new leadership and I think this is a very populist move by the president and it sounds a bit sinister doing it especially at this time, he added in reference to the ongoing election of the new top leadership of the ruling African national Congress (ANC), including the person who will succeed Zuma as ANC president.
We cannot afford it, that is just the reality and I also think the president probably threw whoever is going to take over from (him) under the bus because once you’ve made an announcement like this you simply cannot overturn a decision like this. So I am afraid that whoever is going to be taking over as president has a big problem on his hands or her hands.
ANC delegates were voting until late Sunday for the top leadership of the ANC with South African and ANC deputy president vying for the party presidency against former home affairs (Interior) minister and former international relations and co-operation minister Nkosazana Dlamini-Zuma. The result is expected to be annunced Monday.
Source: NAM NEWS NETWORK