Goldman more upbeat on South Africa than its Finance Minister

Goldman Sachs believes South Africa is unlikely to suffer the large revenue shortfall projected by its finance minister and that the nation’s path for fiscal consolidation remains credible. Finance Minister Enoch Godongwana painted a bleaker-than-expected picture when he delivered a medium-term budget update last week with a slightly wider deficit. Despite this caution, South Africa remains on track to stabilise debt and bring if below 70% of gross domestic product by the end of the decade, Goldman economist Andrew Matheny said.