The Report of the Franzen Commission and the Rhodesian Budget

Abstract

I want to discuss how the recommendations contained in the Report of the Franzen Commission have been applied in the latest Rhodesian Budget. So much has already been said and written about the Budget that it is surprising that I have any comments to make at all. Numerous articles have appeared in the local Press and the financial papers in South Africa that I find it exceedingly difficult to come up with any original ideas of my own! I am honoured to address you, the members of the Rhodesian Economic Society, but I can lay no claim to being an economist myself. I hold no qualifications for such a claim, I can only describe myself as a practical man and it is in this spirit that I have framed this paper. First of all, what is the Franzen Commission and why should its recommendations be of such interest to Rhodesians at this stage? The Franzen Commission was set up by the Government of the Republic of South Africa and its purpose can best be described by setting out its terms of reference: 1. to inquire into— (a) the present system of taxation; (b) the existing financial structure in South Africa; and (c) the fiscal and monetary policies of the South African authorities; 2. submit recommendations regarding modifications in the above connection which will tend to promote economic growth as well as financial stability in the Republic.