By Busi Mavuso
South Africa’s fiscal consolidation is delivering real results. The 2026 Budget should confirm the fiscal framework holds, including follow-through on expenditure reviews, Sars funding and a firm no-bailouts position on SOEs.
Business needs an unambiguous signal that tax increases are off the table – and a vision for how fiscal discipline opens the door to future tax cuts.
The IMF has strongly reinforced the message that business has been consistently conveying: South Africa’s structural reform programme has the potential to deliver meaningful economic growth – as long as the country maintains the pace of reform implementation.
In its recent Article IV consultation, the IMF said the economy could gain up to 9% in real output over the medium term, according to Business Day. However, this is not its baseline, and consensus forecasts for 2028 remain at only 1.8% growth.
It is important not to raise expectations; BLSA reemphasises that the
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