Economic Freedom Fighter’s member of parliament, Mbuyiseni Ndlozi is astonished by President Cyril Ramaphosa’s announcement that the National treasury has approached and is working with international finance institutions to secure a package that will meet the shortfall of COVID-19 government budget.
President Ramaphosa announced on Tuesday 21, April 2020 that the impact of COVID-19 requires an extraordinary coronavirus budget of around R500 billion to direct resources towards fighting the pandemic.
“The rest of the funds will be raised from both local resources and global partners and international finance institutions.
To date, the World Bank, International Monetary Fund, BRICS New Development Bank and African Development Bank have been approached are working with the National Treasury on various funding transactions,” said Ramaphosa.
International Monetary Fund(IMF) is an organization of 189 countries, working to foster global monetary cooperation, secure financial stability, promote sustainable economic growth and reduce poverty around the world. It’s headquarters are in Washington D.C., United States.
Ndlozi’s response was pessimistic as it shows he is against the government taking a COVID-19 relief package from the International Monetary Fund.
“IMF? We are dead! said Ndlozi.
Ramaphosa said the international finance institutions have helped other countries with packages to address the coronavirus crisis.
“Some of these institutions have created financing packages that are aimed at assisting countries that are having to address the coronavirus crisis like us,” he said.
President Ramaphosa noted that details will be announced in the adjustment budget tabled by the Minister of Finance.