Finance Minister Sets Date For Third Budget Attempt

The minister announced the new budget date at a briefing on Wednesday in Pretoria.

Godongwana is revising his spending plans after a dispute within the governing coalition over a proposed tax increase forced him to backtrack. That left national treasury with a R75-billion shortfall to plug over the next three years.

The impasse over Godongwana's previous two budget was triggered by objections from the Democratic Alliance - the second biggest group in the coalition - to a planned increase in the VAT rate. That raised investor fears that the business-friendly party might leave the alliance, providing an entry point for leftist parties like the Economic Freedom Fighters to join the government and jeopardise economic reforms.