IMF Encourages South Africa to Adopt Fiscal Rule to Curb Debt

South Africa’s upcoming budget must deliver on debt targets to preserve confidence in public finances and adopting a fiscal anchor would provide key assistance, said the International Monetary Fund.

“Establishing a clear, well-designed fiscal rule — based on prudent debt targets — can help encourage discipline, build trust in policies, and reduce borrowing costs,” the Washington-based lender said in a country focus published on Thursday.