MNI China Daily Summary: Tuesday, July 9

CORRECTED-MNI: China H2 Steel Outlook Subdued

MNI BRIEF: Gradual, but Decisive ECB Cuts Needed –Giorgetti

MNI BOK WATCH: Slowing Inflation Puts Q4 Cut In Sight

MNI: PBOC Conducts CNY2 Bln Via OMO Tues; Liquidity Unchanged

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS TUES

Weak May Releases Raise Further Recovery Into Question

EZ/UK T-Bill Calendar: 12-Month BOT Auction On Wednesday

US NFIB JUN SMALL BUSINESS INDEX 91.5

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Barclays Expect Headline Fiscal Deficit to Print as c5.5% of GDP in FY23-24

SOUTH AFRICA
  • Barclays say the borrowing requirement is likely to be higher and believe that the market’s focus will be on how the Treasury intends to fund the additional borrowing of c.ZAR80-110bn (1-1.5% of GDP) per year over the next three years.
  • They expect the Treasury to pursue a diversified approach, where the funding is split between cash (ZAR15-30bn), Treasury Bills (ZAR10-20bn), foreign loans (ZAR5-10bn) and domestic bonds (ZAR40-80bn). This means that domestic debt will make up the chunk of the additional issuance, suggesting that the most pronounced impact is likely to be felt in domestic bonds, and to a lesser extent, the currency.
  • With regards to the fiscal metrics, Barclays look for the headline fiscal deficit to print at c.5.5% of GDP in FY23-24, 5% in FY24-25 and 4.2% in FY25-26. These are all higher than official estimates of 4%, 3.7% and 3.2% of GDP, respectively.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.