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06 March 2020 | Story Valentino Ndaba | Photo Stephen Collett
Lesetja Kganyago, Governor of the South African Reserve Bank
Reserve Bank Governor, Lesetja Kganyago, presented a public lecture at the UFS on 4 March 2020.

With a 7% fiscal deficit on the Gross Domestic Product (GDP) projected by the National Treasury for the 2020/21 financial year, it would not take long to arrive at a dangerous level of debt at the rate that South Africa is borrowing. Although the South African Reserve Bank Governor, Lesetja Kganyago, does not consider a debt to GDP rate of 60% a disaster, he did express his concern regarding the country’s fiscal deficits being over 6% of the GDP.

Governor Kganyago presented a public lecture at the University of the Free State (UFS) on 4 March 2020, focusing on how we should use macro-economic policy and its role in our economic growth problem.

Unsustainable policies 
South Africa’s fiscal situation is not about tight monetary policy. According to the Governor: “Weak growth is endogenous in our fiscal problems. We cannot keep doing what we are doing and hope that growth will recover and save us. Growth is low, in large part, because of unsustainable policy.”

Avoiding an impending crisis
To address the problem, as a policymaker with more than 20 years’ experience, the Governor suggested that the recommendations made by Minister Tito Mboweni be taken into consideration. “The Minister of Finance, Tito Mboweni, is a man who says things that are true even when they are unpopular. His message is that we have to reduce spending and he is right to put this at the centre of our macro-economic debate,” said Governor Kganyago.

The state needs a radical economic turnaround strategy which is able to diminish the risk of losing market access and being forced to ask the International Monetary Fund for help. Governor Kganyago is positive that such a reformative tactic would go beyond monetary policy and ensure that the interest bill ceases to claim more of South Africa’s scarce resources. 

News Archive

Asive humbled by new responsibility
2017-09-27

Description: TEDxUFS   Tags: TEDxUFS

Asive Dlanjwa, President of the Student Representative
Council (SRC) on the Bloemfontein Campus, and Pura
Mgolombane, Dean of Student Affairs, during the
announcement of the 2017/2018 SRC.
Photo: Johan Roux

Nothing humbles him more than the fact that thousands of students had chosen to put their weight, hopes, and dreams behind him. The emotions Asive Dlanjwa felt when he was announced as the new President of the Student Representative Council (SRC) on the Bloemfontein Campus reveals something about his character.

He clearly understands the weight of the responsibility on his shoulders. Asive, who loves the church and cycling, says he felt a variety of emotions when he was announced as president on 31 August 2017 at the Thakaneng Bridge.

“It was an exciting feeling, but more than anything, it was such a humbling feeling; humbled not only by the excitement of the students when I was announced, but also by the fact that thousands of students had chosen to put their weight, hopes, and dreams behind me!”

Two main objectives

Asive and his SRC have two main objectives – to improve access to the university and advance the integration of our off-campus students into the greater campus community. The Bachelor of Commerce student from Umtata says there are several issues and initiatives his SRC will be tackling – all of them flowing from these objectives.

Including off-campus students

Asive says the SRC will seek to improve access to the university and its various offerings, and to also provide the necessary support to ensure their success. “Also within this objective would be to decisively deal with all forms of exclusion, from academic to financial to social and cultural exclusions perpetuated by systems and policies.”

With regards to off-campus students, he says university life previously revolved around residence life. He means the remains of that are still evident, to the detriment of the greater student community who are off-campus students.

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