South Africa’s leaders are at loggerheads over the national budget, which is due to be presented next week in a major test of the viability of the country’s coalition government.
The minority parties in President Cyril Ramaphosa’s government rejected a draft budget at the eleventh hour last month which proposed hiking VAT to fill a R60bn ($3.3bn) fiscal hole created partly by President Donald Trump’s withdrawal of US funding for HIV/Aids programmes.
Members of junior coalition parties told the Financial Times an agreement had not yet been reached, despite Ramaphosa’s office saying the finance minister and Treasury “are now set to finalise the budget and [introduce] it before parliament” after an emergency cabinet meeting on Monday.
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