Resignation of Sachs of 'enormous concern' - BLSA

Nov 14 2017 06:30

Cape Town - Business Leadership South Africa (BLSA) on Monday said that the resignation of National Treasury’s long-time budget head Michael Sachs was of “enormous concern”.

“Michael Sachs is another in a line of admirable and competent professionals leaving what is arguably our most important ministry tasked with the economic wellbeing of the country,” it said in a statement on Monday afternoon. 

“His departure, following previous warnings about the interference of the presidency into fiscal and budgetary policymaking decisions within the Treasury, will further undermine the credibility of our institutions and comes right before credit ratings agencies publish their review of our country’s economy on 24 November.”

Earlier on Monday Fin24 obtained independent confirmation from two sources close to Treasury that Sachs, a deputy director general who headed up the budget office, quit last week over interference by the Presidency.

His resignation was later confirmed by Finance Minister Malusi Gigaba, who said he was “saddened” to see Sachs leave. 

In a statement, Gigaba promised to protect "the integrity and transparency of the budget system and process".  

“Both the director general and I are aware of protecting the integrity and transparency of the budget system and process, and ensure that all tax and expenditure decision processes continue to be run by the Treasury and minister of finance, and continues with the consultative process introduced by the first democratic government."

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