EFF in parliament - here's why the red berets protested during budget speech

EFF deputy president Floyd Shivambu says the government has no solution to deal decisively with mounting debt and the collapsing economy.

Shivambu was speaking to party supporters outside parliament in Cape Town during finance minister Enoch Godongwana's budget speech this week.

The party protested against what it called the senseless and crippling loans the government takes from the World Bank and International Monetary Fund (IMF).

Godongwana said SA's debt burden was a serious concern. 

Shivambu said there were many ways in which the state could reduce its debt, including maximising production which could help reduce unemployment.

Here are five talking points from Shivambu's address:

To deal with debt, grow the productive forces 

Shivambu said Godongwana's speech, which revealed that SA's debt would mount to more than R5-trillion in the medium-term was worrying and demonstrated that government has no plan to reduce debt. 

“The most dependable solution to deal with debt is to grow the productive forces, industrialise and grow the economy. Government is the biggest buyer of almost everything, it is the single biggest buyer of food.

"Imagine what would happen in the agricultural sector if the government can take a resolution that all that food must be made here in SA,” said Shivambu. 

SA must remove itself from 'global loan sharks' World Bank and IMF 

Shivambu said South Africans must challenge the ANC's borrowing habits that do nothing but sink the country deeper into debt.

He said the November local government elections proved that the ruling party does not enjoy the support of the majority and must be stopped.

“We cannot allow a party that is below 50% to take loans from dangerous institutions on our behalf. We must stand firm, we must be resolute and intensify the struggle.”

SA will be trapped in debt 

Shivambu said SA was at risk of surrendering the country to the IMF and other financial institutions if it failed to service its debt.

“The IMF will take over the country, the economic policy, your sovereignty and dignity. It will not matter what workers say and what they demand. If the IMF says you must stop giving food and electricity to the poor, we will be forced to do so.” 

SA economy works in favour of white people

“The ANC is the puppet of the white capitalist class,” said Shivambu in response to President Cyril Ramaphosa's remarks two weeks ago about the private sector creating more jobs than the government.

He said this notion must be challenged, as it only benefits white people who own the majority of the economy.

“If they believe in that, they must let go of government,” said Shivambu. 

Build state-owned companies 

Shivambu said the government should not look to the private sector to create jobs, saying the state can and must build state-owned companies that will foster job creation. 

“We must take over to build state capacity. Instead of selling off the existing companies, we must build more,” said Shivambu.