Government has been on point dealing with the Corona Virus pandemic. They have rallied effectively mobilising South Africans to prepare for the onslaught of this crisis. Social distancing is the plan.
Relief on the way
Government has already unlocked a surplus (R3,6bn) found in the UIF fund and has opened this up to employees of companies who have closed because of the impact of COVID-19.
More can be done.
There are other more drastic measures which could be implemented to provide immediate relief to South Africans:
- Cutting interest rates – to help with debt repayments
- Defer interest on debt – temporary immediate relief
- Cheapen rates on essential services – electricity, water, rates
- Provide free data – to everyone during certain times
- Widen the non VAT items – make more food items cheaper
You will be forced to save
Social distancing and isolating yourself will lead to less spending:
- Entertainment – restaurants, cinemas and bars
- Grooming – Hair, nails and massages
- Transport costs – petrol, taxies, buses and planes
- Holidays – hotels and and lodging
- Bulk buying – cheaper goods items and less visits to stores
The resultant cut back on spending by households drastically affects the economy and the damage will only be assessed once the crisis has turned. The big problem is that we do not know how far the Corona Virus pandemic will deepen. Turn this time into an advantage to save as much as possible.