Attention News Editors

For immediate release

It is the NNP that is living in dream world - the DA has a real, bold plan to create jobs, increase investment and move the South African economy to a higher growth path. The NNP has nothing to offer the people of South Africa.

In a statement today, Carol Johnson quotes two economists criticising the DA's economic policy. Dr Azar Jammine claims that the DA's aim of achieving 6% economic growth is "clearly really overly ambitious", but most economists agree that such an increase in economic growth is an unconditional necessity and that it is only way we can alleviate South Africa's unemployment crisis. In fact, Dr Iraj Abedian, also quoted in the NNP statement, was one of the architects of GEAR, a document that set a target of 6.1% economic growth by 2000 as a necessity for reducing unemployment and eradicating poverty.

The Indian economic growth rate is expected to slow to 6.5% from last year's rate of 8.1%. Other developing economies like Chile and Malaysia maintain comparable economic growth rates.

The ANC government's economic policy is preventing the levels of growth reached by similar economies. The DA's alternatives will see the South African economy achieve its true potential.

We have forwarded our Alternative National Budget for 2004 to Dr Jammine and Dr Abedian.

Our Budget explains our plan to accelerate economic growth and shows how we will make the Basic Income Grant (BIG) workable. For example an acceleration of economic growth to the level of similar economies will add R9 billion to tax revenue. This alone will finance 60% of the BIG with the rest coming from cancelling the third tranche of the arms deal, minimising inefficiencies in government structures and consolidating certain departments.

Our Budget contains a practical, costed set of alternative policies that forward our priorities of creating jobs, increasing investment, and fighting crime and HIV/AIDS. The budget deficit will rise slightly to 3.2%, but we feel that this is acceptable given current macroeconomic conditions.

For Information :
Raenette Taljaard
082 450 6810

Media Liaison :
Anthony Hazell
082 787 4002

With acknowledgement to the Democratic Alliance.