Nkomo-Ralehoko: Gauteng economy set to shrink by 8.4%
Gauteng’s economy is expected to shrink by a staggering 8.4% in 2020, according to the province’s Finance MEC Nomantu Nkomo-Ralehoko.
Nkomo-Ralehoko tabled the province’s Mid-Term Budget Policy Statement (MTBPS) on Thursday.
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“Gauteng’s economy is expected to contract by 8.4% in 2020. However, the gradual resumption of most economic activity that begin in the month of August the estimate for 2021 suggests a marginal recovery. In line with South Africa as a whole, Gauteng is expected to recover to 2.6% in 2021.”
Nkomo-Ralehoko confirmed that the province would be allocating R1.3 billion for job creation and job protection foryoung people.
She said the money is meant to stem the tide of job losses due to the Covid-19 pandemic.
“The education sector will get the largest share of this budget, with R1.1 billion allocated for the hiring of education assistants, and to preserve posts in Quintile 4 and 5 public schools and low-income private schools.
“Health receives R47.4 million in additional funding to appoint Enrolled and Assistant/Auxiliary Nurses.
“We have allocated R77.8 million to Social Development to provide salary top-ups for additional compliance support duties and for employment risk support. Roads and Transport has been allocated R45.5 million for job-creation through road maintenance.”
