Although there was mixed reaction to Finance Minister Enoch Godongwana’s maiden budget speech, economists and analysts in general say the budget is well balanced, with good news for cash-strapped South Africans.

According to economist Dr Roelof Botha of the Optimum Group, it is a magnificent budget from a macro perspective, and also offers some measure of tax relief.

WATCH: Economist Dr Roelof Botha tells Izak du Plessis why he has given the nation budget a thumbs up.

Income tax brackets have been adjusted for the second consecutive year, in line with the expected inflation rate of 4.5%. This means that if a person receives a salary increase in line with inflation, they will not go into a new tax bracket.

Godongwana cut corporate tax from 28% to 27%, effective from the end of March, while VAT and personal income tax have not been raised.

This was possible because government’s fiscal position has improved, with tax revenues R181b more than what was predicted.

For the first time since 1990, there will be no increase in the fuel or Road Accident Fund levy. This will provide tax relief of R3.5b to South Africans.

Furthermore, Godongwana announced that he and Mineral Resources and Energy Minister Gwede Mantashe are looking at ways to change the fuel price structure to reduce the price paid at the pumps.

Increases in sin taxes were kept between 4.5% and 6.5%, in line with inflation.

Cigarettes will cost R1.03c more for a packet of 20. Spirits will cost R4.83 per 750ml more, and beer 11c more. Wine will increase by 17c.