Honourable Members, an incorrect notion has taken hold that government is “swimming in cash”. Certainly, compared to last October, we are in a better place. But our assessment from the Supplementary Budget in June last year still stands: our public finances are dangerously overstretched.

Our borrowing requirement will remain well above R500 billion in each year of the medium term despite the modest improvements in our fiscal position.

Consequently, gross loan debt will increase from R3.95 trillion in the current fiscal year to R5.2 trillion in 2023/24.

We owe a lot of people a lot of money. These include foreign investors, pension funds, local and foreign banks, unit trusts, financial corporations, insurance companies, the Public Investment Corporation and ordinary South African bondholders.

We must shore up our fiscal position in order to pay back the massive obligations we have incurred over the years.