South Africa aims to raise around $41bn in markets this year - finance minister

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Godongwana made the remarks as he briefed the lawmakers on a recent R11bn World Bank loan granted last month to help protect the poor and bolster a weak economy pummelled by four waves of the global pandemic.

"This year we are likely to raise R630bn, so if (you) look at R11bn in the [big] scheme of things, it is small," he said.

Asked about potentially strict conditions attached to the loan that could harm South Africa's economic prospects, Godongwana said there were none.

"Are there conditions attached? To my knowledge, no," he said of the comparatively less expensive loan that also afforded South Africa a repayment holiday for the first three years.

SA's debt-to-GDP ratio at historical high

Godongwana said unless South Africa, whose debt-to-GDP ratio is hovering around a historically high 80% - managed to urgently solve its debt malaise - the country could struggle to meet its repayment obligations in future.

"Are we likely to meet our obligations? The answer is yes and no. Yes, for now, that is what we are going to be telling you on the 23rd, but ... if we don't change the debt trajectory, we may not be able to solve those obligations," Godongwana said.

Godongwana presents his maiden national budget to parliament on February 23.