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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

Well-known alumni honoured
2013-10-24

 

From the left are: actor Hannes van Wyk, Judge Faan Hancke and his wife Benita at the Kovsie Alumni Awards.
Photo: Elmada Kemp
24 October 2013

The actor and film maker, Hannes van Wyk, known for his role as Krynauw du Boisson in the M-Net soapie Egoli, was named Kovsie Alumnus of the Year during the Kovsie Alumni Awards. He and six other former Kovsie students and staff were honoured at this gala event for their outstanding achievements and contributions to the UFS during 2012.

Van Wyk, who completed his BAEd in 1990 at the University of the Free State, was honoured for his contribution to, and development of the South African Film and Television industry. This includes his work as producer, writer, researcher and director of companies such as PACOFS, M-Net and the SABC.

The actor wasn’t the only person in the public eye to be celebrated at the event.

The well-known columnist, Hanlie Retief, who interviews the top newsmakers of the country every week for Rapport, was recognised with a Cum Laude Award. She was honoured in this category together with Paul Colditz, Chief Executive Officer of FEDSAS, the national representative organisation of governing bodies, and Judge Violet Phatshoane, founder of Phatshoane & Henney Attorneys and judge in the High Court of South Africa.

Hanlie told the audience that her degree from Kovsies opened doors for her. She spoke about the interview she had in those days with the athlete Zola Budd, her first story to be published in the university publication, Bult.

Prof Johan Willemse, who is internationally known as an agricultural economist, and Dr Philemon Akach, known for his contribution to the development of Sign Language on the continent, were bestowed with the Alumni Award for outstanding service to the UFS.

The Kovsie Ambassador Award was presented to Judge Faan Hancke, Extraordinary Professor in the Faculty of Law at the UFS. As a former Kovsie, he served more than 12 years as Council member during his career and is still involved with the Alumni Trust.

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