Why does this matter to me?

The IMF has sharply lowered global GDP forecasts due to the Trump Administration’s tariff increases, though it stops short of predicting a global recession. It warns that downside risks now far outweigh upside potential. South Africa’s growth outlook was cut in line with the global trend, carrying serious implications for the fiscal balance. The expected R13.5bn from a 0.5% VAT hike is minor compared to the likely tax revenue shortfall against the yet-tobe-ratified 2025/26 Budget.