TLU SA WARNS SOUTH AFRICA IS MOVING CLOSER TO THE VERGE OF ECONOMIC ABYSS

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On the eve of credit ratings agency Moody’s next decision over South Africa’s economic state, it is very clear that the ANC’s policy has finally forced the country into an economic quandary.

“Despite much input and constructive suggestions from knowledgeable persons and institutions, the ANC sticks to its policy,” says Louis Meintjies, the President of TLU SA. “Now the harsh reality is becoming too expensive for the country. The ANC is busy demolishing the future of South Africa.”

TLU SA’s viewpoint has always been that the rules of the economy cannot be changed. When politics enter the game, the economy will always trump it. The cost of such a battle becomes too high when an unrealistic set of policies are created.

A successful economy is based on investor’s confidence. It lead1s to an economically viable environment for entrepreneurs to do business with the goal of financial profit. The success of such a situation is the only solution to establish economic growth.

“The proverbial cake gets bigger and this creates the capacity to solve serious issues,” says Meintjies.

The ANC has, since taking over the reins of a properly functioning country, driven out key expertise with affirmative action, looted and failed to maintain the infrastructure and mechanisms needed to keep it working and in doing so, push South Africa onto the downhill slope to a failed state.
“It is perhaps time to go back to Economics 101,” says Meintjies. “As long as the ANC keeps going on this track, there can not be an outcome to the benefit of the residents of this country.

“Scant capacity is created to take the country to success,” he says. “The inability to govern, a shortage of expertise, corruption on every level of government and blame shifting are only a few of the aspects that have become endemic of the ANC rule.”

What is the solution?

Government should review its economic policy and should in no uncertain terms declare that private ownership and the free market system creates its base.

The ANC’s meddling in the economic process cannot lead to sustainable success, in fact, the opposite is true.

Put an end to the policy of black economic empowerment and rather focus on the economic empowerment of all South Africans, creating the opportunities to apply the expertise so needed to turn this ship around.

“Moody’s is on the verge of downgrading South Africa again,” Meintjies says. “Somewhere the results of talking and promises about the economy should be evaluated against what is happening in reality.

“TLU SA supports the many rationally thinking economists who have for the longest time warned that what the ANC is implementing, along with statements over expropriation without compensation and the nationalisation of the Reserve Bank, is not sending a message of confidence to grading agencies. How can it not influence South Africa’s credit ratings negatively?

“Are South Africa’s voters and the growing group of unemployed citizens finally going to have the insight to realise South Africa can literally not afford the ANC’s policies, in the lead up to the elections on May 8th? It has simply become too expensive.”


Uitgereik deur: TLU SA

Navrae: Mnr Louis Meintjes, President TAU SA,
Cell.: 082 461 7262

Mnr Bennie van Zyl, Hoofbestuurder TLU SA,
Sel.: 082 466 4470

Datum: 27 Maart 2019


Op die vooraand van die kredietgraderingsagentskap Moody’s se volgende besluit oor Suid-Afrika se ekonomiese status, is dit duidelik dat die ANC se beleid die land nou finaal tot in ‘n ekonomiese verknorsing gedwing het.

“Ongeag vele insette en konstruktiewe voorstelle wat oor soveel jare deur die oorgrote meerderheid kundige persone en instansies gemaak is, het die ANC steeds met sy beleid volhard,” sê Louis Meintjies, die President van TLU SA. “Nou is die harde werklikheid van dié beleid besig om te duur te raak vir die land. Die ANC is inderdaad besig om die toekoms van Suid-Afrika te vernietig.”

TLU SA se standpunt was nog altyd dat die reëls van die ekonomiese spel onveranderlik is. Wanneer politiek die spel betree, sal die ekonomie altyd die oorhand kry. Die prys van so ‘n stryd raak later te hoog wanneer ‘n onrealistiese beleidsomgewing geskep word.

Die basis van ‘n suksesvolle ekonomie begin by beleggersvertroue. Dit lei tot ‘n omgewing wat ekonomies gunstig is vir entrepreneurs om in besigheid te doen, met die doel om wins te maak. Die sukses van so ‘n situasie is wat uiteindelik ekonomiese groei teweeg bring.

“Die spreekwoordelike koek word dus groter gemaak en dit skep die kapasiteit om ernstige knelpunte op te los,” sê Meintjies.

Die ANC het sedert hulle die bewind van ‘n funksionerende land oorgeneem het, sleutelkundigheid uitgedryf met regstellende aksie, die infrastruktuur en meganismes wat nodig is om dit te laat werk geplunder en laat verval en sodoende gesorg dat Suid-Afrika vinnig op die afdraande pad na ‘n falende staat beweeg.

“Dit het dalk tyd geraak dat daar teruggekeer word na Ekonomie 101,” sê Meintjies. “Solank die ANC volhard in hierdie rigting sal daar beswaarlik ‘n uitkoms in die belang van die inwoners van die land kan wees.

“Weinig kapasiteit word geskep om die land na sukses te neem,” sê hy. “Die onvermoë om te regeer, gebrek aan kundigheid, korrupsie op elke vlak van die regering en blaamverplasing is maar enkele van die aspekte wat endemies geraak het aan die ANC-bewind.”

Wat is die enigste oplossing?

Die regering moet sy ekonomiese beleid hersien en sonder enige onduidelikheid verklaar dat privaat besitreg en die vryemarkstelsel die basis daarvan vorm.

Die ANC se inmenging met die ekonomiese proses kan geensins tot volhoubare sukses lei nie, die teendeel is eerder waar.

Staak die beleid van swart ekonomiese bemagtiging en fokus eerder op ekonomiese bemagtiging wat alle landsburgers die geleentheid sal gee om onbelemmerd die kundigheid toe te pas wat so dringend nodig is om die skip om te draai.

“Moody’s staan op die punt om Suid-Afrika weer af te gradeer,” meen Meintjies. “Iewers sal die resultate van die praat en beloftes oor die ekonomie deur die regering geëvalueer moet word teenoor dit wat in werklikheid gebeur.

“TLU SA skaar ons by soveel rasioneel-denkende ekonome wat oor tyd heen gewaarsku het dat dit wat die ANC implementeer, tesame met uitsprake oor onteiening sonder vergoeding en die nasionalisering van die Reserwebank nie ‘n boodskap van vertroue aan graderingsagentskappe stuur nie. Hoe kan dit dan anders as om Suid-Afrika se kredietgradering negatief te beïnvloed?

“Gaan Suid-Afrika se kiesers en veral die groeiende groep werkloses in aanloop tot die verkiesing op 8 Mei uiteindelik die nodige insig hê om te besef Suid-Afrika kan letterlik nie die ANC se beleid bekostig nie? Dit het eenvoudig te duur geraak.”


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