CAPE TOWN - Ordinary South Africans have much to cheer in this year’s budget.
Those earning a salary and those receiving social grants will benefit.
There is also good news in that the amount of money the country borrows to make ends meet is falling.
But economic growth once again remains mediocre, with nothing to suggest the economy will get the kickstart it so desperately needs.
The global economy will grow at 3.3 percent this year.
By contrast, the South African economy is crawling along at 1.6 percent growth.
With fewer jobs being created, there are fewer taxpayers to contribute to government’s coffers.
And so, once again, we have to borrow. But less than before.
The most expensive cost in the proposed budget is social grants at R446-billion.
Next is basic education at R445-billion.
The third biggest line item is the cost of repaying South Africa's debt.
It has fallen, but still amounts to R1.8-billion a day.
The police do get an increase but there’s no substantial increase for the SANDF.
Over R400-million has been allocated from existing funds to pay for foot and mouth disease vaccines.
There is also an allocation of R1.1-billion for the local government elections.
That was one piece of good news for ordinary South Africans.
The other was that personal income tax brackets and medical tax credits will be fully adjusted for inflation.
READ | Godongwana scraps R20bn tax hike : 'I am putting money back into your pockets'
For the last two years, this relief was taken away.
For small business owners, VAT registration only kicks in when turnover reaches R2.3-million.
Previously, that threshold sat at R1-million