South African commission urges more education spending before ratings reviewsJOHANNESBURG (Reuters) - South Africa should raise state spending on higher education by around a third to at least 1 percent of gross domestic product, a report commissioned by the presidency and released on Monday found. The recommendation by the commission appointed by President Jacob Zuma came as a senior Treasury official resigned after news reports said he had complained about presidential interference in the budget process, and as state-owned utility Eskom said it was facing serious liquidity issues. South Africa relies on foreign investors to finance its hefty budget and current account deficits. Investors are nervous ahead of important credit rating reviews scheduled this month and with the ruling African National Congress gearing up to elect Zuma s successor as party chief in December. The presidency said on Monday that Zuma would make an announcement on the higher education report once ministers had processed its findings. Zuma set up the commission early last year in response to protests by university students demanding free education. The rand and benchmark bonds weakened after the presidency said it would publish the report on Monday, but they were little changed after its release. Currency traders and analysts said markets were waiting to see how the presidency would react to the report, but they said its recommendations were risky from an economic standpoint.  If we start repeating this pattern of recording higher and higher budget deficits we are undoubtedly headed for downgrades,  said senior Nedbank economist Nicky Weimar. South African GDP was around 4.3 trillion rand ($296.6 billion) last year, so an increase in government spending on higher education of 0.25 percent of GDP would amount to around $750 million of additional expenditure.  The commission also recommended that all university students should be funded through a cost-sharing model, whereby the government would guarantee income-contingent loans issued by commercial banks. Should a student fail to reach a certain income level, the state should repay the tuition loan, it advised. Introducing those measures would make it more difficult for Treasury to rein in a projected budget deficit of over 4 percent of GDP for the 2017/18 fiscal year.  But it would be popular among young people and ANC voters, many of whom are dissatisfied that South African society remains deeply unequal more than two decades after the end of apartheid in 1994. South Africa next holds a national election in 2019, and the ANC has seen its electoral majority shrink in elections. South African markets have also been pressured by fears that the independence of financial institutions is under threat. Local media outlet Fin24 cited sources on Monday as saying that Treasury Deputy Director-General Michael Sachs had resigned last week after complaining that Zuma was interfering in the budget process. Treasury confirmed Sachs  resignation, saying only that his departure was because he wanted to  serve the public sector in a different capacity . International ratings agencies downgraded South Africa s debt earlier this year after Zuma fired respected finance minister Pravin Gordhan in an abrupt cabinet reshuffle. S&P Global and Moody s are expected to review the country s ratings again on Nov. 24, and all eyes are on whether they will downgrade its local-currency rating to  junk  status after Gordhan s replacement, Malusi Gigaba, unveiled dismal medium-term budget forecasts last month. Downgrades to sub-investment grade could trigger forced selling of up to $12 billion of South African bonds and pile further pressure on the rand, which is already trading at a 12-month low against the dollar. South Africa s debt insurance costs hit a four-month high on Monday, reflecting a greater likelihood of ratings downgrades.     worldnews
south african commission urges education spending ratings reviewsjohannesburg reuters south africa raise state spending higher education around third least percent gross domestic product report commissioned presidency released monday found the recommendation commission appointed president jacob zum came senior treasury official resigned news reports said complained presidential interference budget process utility esk said facing serious liquidity issues south africa relies foreign investors finance hefty budget current account deficits investors nervous ahead important credit rating reviews scheduled month ruling african national congress gearing elect zum successor party chief december the presidency said monday zum would make announcement higher education report ministers processed findings zum set commission early last year response protests university students demanding free education the rand benchmark bonds weakened presidency said would publish report monday little changed release currency traders analysts said markets waiting see presidency would react report said recommendations risky economic standpoint if start repeating pattern recording higher higher budget deficits undoubtedly headed downgraded said senior nedbank economist nick wear south african gdp around trillion rand billion last year increase government spending higher education percent gdp would amount around million additional expenditure the commission also recommended university students funded model whereby government would guarantee loans issued commercial banks should student fail reach certain income level state repay tuition loan advised introducing measures would make difficult treasury rein projected budget deficit percent gdp fiscal year but would popular among young people anc voters many dissatisfied south african society remains deeply unequal two decades end apartheid south africa next holds national election anc seen electoral majority shrink elections south african markets also pressured fears independence financial institutions threat local media outlet cited sources monday saying treasury deputy michael sachs resigned last week complaining zum interfering budget process treasury confirmed sachs resignation saying departure wanted serve public sector different capacity international ratings agencies downgraded south africa debt earlier year zum fired respected finance minister train orphan abrupt cabinet reshuffle s p global moody expected review country ratings eyes whether downgraded rating junk status orphan replacement males gigaom unveiled dismal budget forecasts last month downgraded grade could trigger forced selling billion south african bonds pile pressure rand already trading low dollar south africa debt insurance costs hit high monday reflecting greater likelihood ratings downgraded worldnews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: South African commission urges more education spending before ratings reviewsJOHANNESBURG (Reuters) - South Africa should raise state spending on higher education by around a third to at least 1 percent of gross domestic product, a report commissioned by the presidency and released on Monday found. The recommendation by the commission appointed by President Jacob Zuma came as a senior Treasury official resigned after news reports said he had complained about presidential interference in the budget process, and as state-owned utility Eskom said it was facing serious liquidity issues. South Africa relies on foreign investors to finance its hefty budget and current account deficits. Investors are nervous ahead of important credit rating reviews scheduled this month and with the ruling African National Congress gearing up to elect Zuma s successor as party chief in December. The presidency said on Monday that Zuma would make an announcement on the higher education report once ministers had processed its findings. Zuma set up the commission early last year in response to protests by university students demanding free education. The rand and benchmark bonds weakened after the presidency said it would publish the report on Monday, but they were little changed after its release. Currency traders and analysts said markets were waiting to see how the presidency would react to the report, but they said its recommendations were risky from an economic standpoint.  If we start repeating this pattern of recording higher and higher budget deficits we are undoubtedly headed for downgrades,  said senior Nedbank economist Nicky Weimar. South African GDP was around 4.3 trillion rand ($296.6 billion) last year, so an increase in government spending on higher education of 0.25 percent of GDP would amount to around $750 million of additional expenditure.  The commission also recommended that all university students should be funded through a cost-sharing model, whereby the government would guarantee income-contingent loans issued by commercial banks. Should a student fail to reach a certain income level, the state should repay the tuition loan, it advised. Introducing those measures would make it more difficult for Treasury to rein in a projected budget deficit of over 4 percent of GDP for the 2017/18 fiscal year.  But it would be popular among young people and ANC voters, many of whom are dissatisfied that South African society remains deeply unequal more than two decades after the end of apartheid in 1994. South Africa next holds a national election in 2019, and the ANC has seen its electoral majority shrink in elections. South African markets have also been pressured by fears that the independence of financial institutions is under threat. Local media outlet Fin24 cited sources on Monday as saying that Treasury Deputy Director-General Michael Sachs had resigned last week after complaining that Zuma was interfering in the budget process. Treasury confirmed Sachs  resignation, saying only that his departure was because he wanted to  serve the public sector in a different capacity . International ratings agencies downgraded South Africa s debt earlier this year after Zuma fired respected finance minister Pravin Gordhan in an abrupt cabinet reshuffle. S&P Global and Moody s are expected to review the country s ratings again on Nov. 24, and all eyes are on whether they will downgrade its local-currency rating to  junk  status after Gordhan s replacement, Malusi Gigaba, unveiled dismal medium-term budget forecasts last month. Downgrades to sub-investment grade could trigger forced selling of up to $12 billion of South African bonds and pile further pressure on the rand, which is already trading at a 12-month low against the dollar. South Africa s debt insurance costs hit a four-month high on Monday, reflecting a greater likelihood of ratings downgrades.     worldnews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: south african commission urges education spending ratings reviewsjohannesburg reuters south africa raise state spending higher education around third least percent gross domestic product report commissioned presidency released monday found the recommendation commission appointed president jacob zum came senior treasury official resigned news reports said complained presidential interference budget process utility esk said facing serious liquidity issues south africa relies foreign investors finance hefty budget current account deficits investors nervous ahead important credit rating reviews scheduled month ruling african national congress gearing elect zum successor party chief december the presidency said monday zum would make announcement higher education report ministers processed findings zum set commission early last year response protests university students demanding free education the rand benchmark bonds weakened presidency said would publish report monday little changed release currency traders analysts said markets waiting see presidency would react report said recommendations risky economic standpoint if start repeating pattern recording higher higher budget deficits undoubtedly headed downgraded said senior nedbank economist nick wear south african gdp around trillion rand billion last year increase government spending higher education percent gdp would amount around million additional expenditure the commission also recommended university students funded model whereby government would guarantee loans issued commercial banks should student fail reach certain income level state repay tuition loan advised introducing measures would make difficult treasury rein projected budget deficit percent gdp fiscal year but would popular among young people anc voters many dissatisfied south african society remains deeply unequal two decades end apartheid south africa next holds national election anc seen electoral majority shrink elections south african markets also pressured fears independence financial institutions threat local media outlet cited sources monday saying treasury deputy michael sachs resigned last week complaining zum interfering budget process treasury confirmed sachs resignation saying departure wanted serve public sector different capacity international ratings agencies downgraded south africa debt earlier year zum fired respected finance minister train orphan abrupt cabinet reshuffle s p global moody expected review country ratings eyes whether downgraded rating junk status orphan replacement males gigaom unveiled dismal budget forecasts last month downgraded grade could trigger forced selling billion south african bonds pile pressure rand already trading low dollar south africa debt insurance costs hit high monday reflecting greater likelihood ratings downgraded worldnews