Angry citizen

Thirty years into a stalled economy, South Africa has hit a dangerous "overbend" where national debt is no longer a tool for growth but a trap for survival. In a healthy system, borrowing builds infrastructure that pays for itself through new jobs and more taxpayers. Instead, we have fallen into a debt death spiral, borrowing billions just to keep the lights on and pay civil servant salaries. Because the economy isn't growing, tax revenue can't keep up with the interest, forcing the state to issue new bonds just to pay off the old ones. The scale of this collapse is clearest at Eskom, which is now technically insolvent with liabilities of R633.4 billion outweighing its assets. While the utility claims a R16 billion profit, this is a mask for a core that can't survive without a R254 billion taxpayer bailout. As businesses and homes switch to solar, Eskom’s revenue shrinks, leaving the remaining taxpayers to fund a bloated R43.2 billion wage bill and a "mad tariff" that would hit 300c/kWh if the state stopped the bailouts. We are no longer investing in the future; we are simply borrowing to manage the wreckage of the past. A government bond is a formal contract where the state borrows massive sums of money from commercial banks, pension funds, and external international lenders. When these institutions "buy" a bond, they are essentially giving the government a cash loan to fund the national budget. In return, the government gives them an IOU promising to pay back the full amount by a specific date, along with regular interest payments until then. For banks and pension funds, these bonds are usually seen as safe, reliable investments for your retirement savings. However, the system relies on the government’s ability to collect enough tax to pay that money back. If the state spends more than it earns and the economy stalls, these lenders start to worry. This is where the "death spiral" kicks in: if the lenders lose confidence, they demand higher interest rates to cover the risk, or the government is forced to borrow from one bank just to pay back another, effectively turning your pension fund into a life-support machine for a failing state. I apologies for "man" explaining this but it is important.xitter.cf/libthoughts/status/205…