Long-Suffering Durban Residents Could Wait Years for End to Water Crisis
Finance Minister on Wednesday said construction of Mkhomazi Water Project, which includes a new dam, will only start in November 2027
Budget Speech
Government determined to tackle economic challenges
Government determined to tackle economic challenges
Deputy President Paul Mashatile has stressed the urgent need to tackle the nation’s pressing challenges in light of sluggish economic growth and has called for a collective effort to improve the quality of life for all citizens.
“As we embark on this journey, we must have a full appreciation that the first 15 years of democracy were characterised by high economic growth. However, the last decade and a half has been characterised by stagnant growth,” he said on Thursday.
According to the Deputy President, the stagnant growth of the past decade and a half has led to calls for immediate action to initiate structural reforms that would bolster gross domestic product (GDP) growth and create job opportunities.
“I must state from the onset that the responsibility of guiding South Africa to greater prosperity is not solely on the shoulders of the government. It is a shared responsibility among the business community, NGOs [non-governmental organisations], civil society and all those who aspire to see our country prosper.”
The Deputy President was speaking at the 7th BizNews Conference (BNC#7) at the Hermanus Municipal Auditorium in the Western Cape.
The BizNews Conference is an annual event focused on investment, business, and political issues.
The country’s second-in-command opened the dialogue with a reflection on South Africa’s democratic journey.
Mashatile underscored the issues plaguing the nation, including poverty, inequality, unemployment and corruption, which he believes threaten the fabric of South Africa’s democracy.
“They keep us, and if I may say so myself, awake at night because if we do not swiftly overcome these systemic economic issues, we shall experience perpetual unrest.”
Commitment to cooperation
He said the recent Budget Speech by the Minister of Finance highlights a step toward addressing these dilemmas.
According to the Deputy President, yesterday’s Budget was the product of a consensus reached within the Government of National Unity (GNU) following last month’s postponement.
“As I have indicated on several occasions, having a GNU Cabinet does not imply that we will agree on everything. There will be times when we do not view things the same way, but this does not spell the end of the GNU.”
However, Mashatile stressed GNU’s commitment to prioritising the needs of its citizens.
He also took the time to reinforce the credibility of the GNU amid scepticism about its longevity and effectiveness.
“Several coalition governments around the world have collapsed as a consequence of misunderstandings about the country’s Budget; this is but a reflection of democracy at work.”
The Deputy President assured attendees that the focus was on inclusive growth, job creation and addressing the high cost of living, while striving to build a capable and ethical State.
“We must do this to find solutions to the challenges that confront our nation,” he said. – SAnews.gov.za
Gabisile
Thu, 03/13/2025 - 13:30
273 views
How Much Does Our HIV Response Depend on US Funding?
Critical services in some high-burden districts have collapsed
Government expenditure to reach R2.59 trillion in 2025/26
Government expenditure to reach R2.59 trillion in 2025/26
Consolidated government spending is expected to increase from R2.4 trillion in 2024/25 to R2.83 trillion in 2027/28, at an annual average of 5.6%.
Consolidated expenditure will reach R2.59 trillion in 2025/26.
This according to National Treasury’s 2025 Budget Review document.
The majority of that spend will fund the social wage, which includes spend on health, education, social protection (grants), community development and employment programmes.
“Over the medium-term, economic development is the fastest-growing function at an annual average rate of 8.1%, driven by higher allocations to infrastructure projects.
“Spending is highly redistributive, with the social wage making up 61% of total consolidated non-interest spending over the next three years,” the Budget Review read.
Consolidated government expenditure by function is as follows:
- Learning and Culture: R508.7 billion
- Health: R298.9 billion
- Social Development: R422.3 billion
- Community Development: R286.6 billion
- Economic Development: R289.8 billion
- Peace and Security: R266.1 billion
- General Public Services: R78.7 billion
- Contingency Reserve: R5 billion
Spending pressures
The 2025 Budget will fund spending pressures of R232.6 billion over the Medium-Term Expenditure Framework (MTEF) period, including “provisional allocations for frontline service delivery departments amounting to R70.7 billion”.
“These spending additions are partially offset by drawdowns on provisional allocations and contingency reserves, resulting in a net increase in non-interest expenditure of R142 billion.
“The main spending additions are for critical infrastructure investments, social protection and a higher-than-anticipated public-service wage agreement, alongside provisional allocations for critical frontline services,” the Budget Review said.
Spending additions over the medium-term are attributed mainly to:
- R46.7 billion for infrastructure investments.
- R35.2 billion to extend the COVID-19 social relief of distress grant until March 2026.
- R23.4 billion for the costs of the 2025 public service wage agreement.
- R8.2 billion to increase the value of social grants by more than inflation.
- R11 billion to implement early retirement measures in 2025/26 and 2026/27.
- R5 billion for the carry-through costs for the deployment of South African National Defence Force (SANDF) troops in the Democratic Republic of Congo.
- R4.6 billion in 2025/26 for public employment programmes.
- R3.2 billion in 2025/26 for national government’s share of the debt repayment for the South African National Roads Agency Limited (SANRAL). Gauteng province will pay R13.4 billion for its share of the debt repayment to SANRAL.
Addressing government debt
During the Budget Speech on Wednesday, Finance Minister Enoch Godongwana said government debt is expected to stabilise at 76.2% of gross domestic product in 2025/26, with the consolidated budget deficit expected to narrow to some 3.5% by 2027/28.
“[As] debt stabilises, a growing primary surplus will enable government to reduce debt-service costs as a proportion of revenue.
“Debt service costs will amount to R389.6 billion in the current financial year. This translates to 22 cents of every rand we raise in revenue. It is more than what we spend on health, the police and basic education.
“We must reverse this trend and prevent the cost of debt from taking away resources that could otherwise be spent on our pressing social needs, or to invest in growth. In this regard, our fiscal strategy stabilises debt service costs as a percentage of revenue in 2024/25 by maintaining a primary budget surplus,” he said. – SAnews.gov.za
NeoB
Wed, 03/12/2025 - 13:54
483 views
Government’s three-year plan to spend R1 trillion on infrastructure
Government’s three-year plan to spend R1 trillion on infrastructure
The South African government will spend more than R1 trillion over the next three years on public infrastructure in a show of government’s commitment to driving economic growth.
This is according to Minister of Finance Enoch Godongwana who delivered the 2025 Budget speech in Parliament on Wednesday.
“[Infrastructure] is a key pillar of our growth strategy. It is the bedrock for economic development, a key source of jobs, and an avenue to scale-up service delivery.
“This budget reflects that understanding. Allocations towards capital payments are the fastest growing area of spending by economic classification. Public infrastructure spending over the next three years will amount to more than R1 trillion,” Godongwana said.
Current infrastructure focus is geared towards:
• R402 billion on roads infrastructure
• R219.2 billion on energy infrastructure
• R156.3 billion on water and sanitation infrastructure
The Minister highlighted some of the key projects that will be underway.
“In transport, the South African National Roads Agency will spend R100 billion over the medium term to keep the national road network in good condition. Provincial roads departments will reseal over 16 000 lane-kilometres of roads in their areas of authority.
“The Passenger Rail Agency of South Africa is making steady progress to rebuild infrastructure to provide affordable commuter rail services.
“In water, we are investing in several large-scale dam projects that are ramping up or entering construction. The Mkhomazi Project is expected to commence construction in November 2027, transferring water to the Mngeni Water Supply System. This will increase the total capacity of the system to 5 million households in eThekwini and 4 district municipalities in KwaZulu Natal,” Godongwana said.
In the 2025 Budget Review, National Treasury explained that investment in economic infrastructure – mainly by state owned entities – accounts for some 81.5% of the medium-term estimate.
“These funds are used to expand power-generation capacity, upgrade and expand the transport network and improve sanitation and water services. Social services infrastructure accounts for 15.5% of the total, with the two largest sectors, health and education, contributing 4.4 % and 5.5% respectively,” the review read.
Public-Private Partnerships
The department explained that infrastructure reforms are “underpinned by a commitment to significantly increase partnerships with the private sector”.
Some of these measures and reforms include:
• From June 2025, projects below a total value of R2 billion will no longer have to clear onerous approval processes intended for large projects before proceeding.
• A clear framework is being established to receive and process unsolicited PPP proposals or bids from the private sector.
• New legislative amendments and regulations for municipal PPPs will also be introduced in 2025
• Revised manuals and guidelines on PPPs are being produced and will be made available to the public
“During 2025/26, a single structure overseen by the National Treasury will be established to coordinate state participation in project preparation and planning, public-private partnerships (PPPs), funding and credit guarantees.
“It will be established by merging two units currently in the Government Technical Advisory Centre that coordinate PPPs and capital appraisals with the Infrastructure Fund in the Development Bank of Southern Africa,” Treasury said. – SAnews.gov.za
NeoB
Wed, 03/12/2025 - 13:56
394 views
Social grants set to increase in April
Social grants set to increase in April
All social grants, barring the Social Relief of Distress (SRD) grant, are expected to increase from April this year.
Delivering the 2025 Budget Speech in Parliament on Wednesday, Finance Minister Enoch Godongwana said the number of social grant beneficiaries – excluding those receiving the SRD grant – is expected to rise to some 19 million in 2025/26 and 19.3 million in 2027/28 due to a growing population of older persons.
Godongwana said for 2025/26, social grants will be allocated some RR284.7 billion.
“As announced by the President in the State of the Nation Address, the SRD will be used as a basis for the introduction of a sustainable form of income support for unemployed people.
“The future form and nature of the SRD will be informed by the outcome of the review of active labour market programmes. This is expected to be completed by September 2025.
“The truth is that ours is one of the most comprehensive social safety nets among emerging economies. This reflects our commitment to addressing poverty and inequality, while keeping our spending sustainable,” he said.
The grant increases this year include:
- Old age grant will increase from R2185 to R2315
- War veterans grant will increase from R2205 to R2335
- Disability grant will go up from R2185 to R2315
- Foster care grant rises from R1180 to R1250
- Care dependency grant will increase from R2185 to R2315
- Child support grant will go up from R530 to R560
- The grant-in-aid will increase from R530 to R560
In the Budget Review, National Treasury said the budget for social grants is “increased by R8.2 billion over the medium term to account for higher costs of living”.
“An amount of R35.2 billion is allocated to extend the payment at the current [SRD] R370 per month per beneficiary, including administration costs,” the department said.
The Department of Social Development, which administers social grants, has been allocated R422.3 billion in 2025/26, which is expected to increase to R452.7 billion in 2027/28, at an average annual growth rate of 4.5%.
“This funding supports poverty reduction through social grants, the provision of risk benefits through social insurance and the delivery of welfare services, development initiatives, empowerment programmes, gender equality initiatives and advocacy for children, women, youth, the elderly and individuals with disabilities.
“Social grant spending makes up 81 percent of the allocation for this function. At an average annual growth rate of 5.3 percent, social protection spending increases above inflation over the medium term; however, social grant reform and efficiency savings will be necessary to ensure the sustainability of the social security system.
“[The] sector’s operational budget will be subject to conditions, including the need to improve biometric verification of recipients to achieve savings,” the National Treasury said. – SAnews.gov.za
NeoB
Wed, 03/12/2025 - 13:57
1791 views
Government allocates R19.1 billion for teachers over the medium term
Government allocates R19.1 billion for teachers over the medium term
The government has added R19.1 billion over the medium term to keep approximately 11 000 teachers in classrooms.
“Our learner-teacher ratios remain higher than we would like, meaning that we still need more teachers in classrooms,” Minister of Finance Enoch Godongwana said on Wednesday in Parliament.
According to the Minister, paying salaries constitute 76% of provincial education budgets.
“This means that only R24 out of every R100 of their budget is left for funding school infrastructure, meals for learners from poor backgrounds, and stationery and textbooks, amongst others.
“To prevent compensation of employees from crowding out other equally important areas of spending, R19.1 billion is added over the medium term to keep approximately 11 000 teachers in classrooms,” the Minister said during the Budget Speech.
He said the foundation to building the next generation of citizens who contribute economically and socially to the nation is in early childhood development (ECD).
“Despite this, the subsidy for ECD has not increased from the 2019 level of R17 per day, per child. To remedy this, an additional R10 billion over the medium term is allocated to increase the subsidy to R24 per day per child. The extra funding will also support increased access to ECD for approximately 700 000 more children, up to the age of four years old.”
Meanwhile, the Department of Higher Education is implementing a pilot student funding model for the “missing middle”, which refers to students from families with annual incomes ranging from R350 000 to R600 000.
The National Student Financial Aid Scheme will manage these loans using funds provided by the National Skills Fund, amounting to R1.5 billion in 2024/25 and R3 billion over the Medium-Term Expenditure Framework (MTEF) period.
“The apprenticeship and skills development levy systems will be reviewed. The goal, in collaboration with the private sector, is to double the number of artisans completing trade tests in the next three years through increased work-based learning opportunities.
“The arts, culture, sport and recreation sector is allocated R38.4 billion over the medium term to support school sports, national recreation events and selected sporting codes, as well as to preserve and promote the cultural, heritage and linguistic diversity of South Africa,” Treasury’s 2025 Budget Review document noted.
Health
Health spending will grow from R277 billion in 2024/25 to R329 billion in 2027/28 to support the equitable provision of public health services, including free primary healthcare.
“Like in provincial education, a significant portion of the provincial health budget is spent on the salaries and wages. R28.9 billion is added to the health budget, mainly to keep about 9 300 healthcare workers in our hospitals and clinics.
“It will also be used to employ 800 post-community service doctors, and to ensure that our pharmacies do not run out of medicines,” the Minister said.
National Health Insurance (NHI) policy
As part of strengthening the health system and preparing for the National Health Insurance (NHI) policy, the Department of Health will fund the development of a patient information system, a centralised chronic medicine dispensing and distribution system, and a facility medicine stock surveillance system.
Over the MTEF period, the indirect and direct conditional grants for NHI are allocated R8.5 billion and R1.4 billion respectively.
“Sustained allocations for direct and indirect infrastructure grants, including potential additional funding through the Budget Facility for Infrastructure (BFI), as outlined in the 2024 MTBPS, will focus on new or replacement buildings, upgrades, rehabilitation and maintenance.
“The total infrastructure allocation is R37.4 billion over the MTEF period, including provisional allocations from the BFI and new allocations for Siloam District Hospital and Tygerberg Hospital equipment through a public-private partnership in 2027/28,” National Treasury said. -SAnews.gov.za
nosihle
Wed, 03/12/2025 - 14:23
403 views
Operation Vulindlela records notable progress
Operation Vulindlela records notable progress
Minister of Finance Enoch Godongwana has highlighted the real progress achieved by implementing structural reforms through Operation Vulindlela, which is a joint initiative between the Treasury and the Presidency.
Operation Vulindlela is aimed at stabilising the supply of electricity; creating a competitive and efficient freight logistics system; reducing the cost and improving the quality of digital communication; ensuring a stable, quality supply of water; and reforming the visa regime to facilitate skilled immigration and support tourism.
Since its establishment in 2020, Operation Vulindlela has made real progress in achieving these objectives.
“The energy reforms have created a 22 500 mega-watt pipeline of projects. More than 10 000 mega-watts are formally registered with NERSA [National Energy Regulator of South Africa], which is one of the last steps in the regulatory process. These projects will contribute to reducing power cuts.
“The Freight Logistics Roadmap was approved. The roadmap allows private sector participation and gives third-party access to any operator without discrimination in accordance with the network statement.
“The cost of a 1.5GB data bundle has declined by 51%, allowing individuals and small businesses to access more affordable data,” Godongwana said on Wednesday during his Budget Speech.
He noted that the water-use licenses backlog has been cleared, unlocking billions in investment and freeing projects that had stalled because of the backlog.
The water quality regulatory system was reinstated for the first time since 2014.
“This is the Green Drop, Blue Drop and No Drop certification that enables effective intervention in supporting failing municipalities to provide clean water to citizens. e-Visas for travellers from 34 countries have been introduced to significantly boost tourism. The trusted employer scheme has been established to fast-track visa process for major investors,” the Minister said.
These achievements have eased economic bottlenecks.
Building on the successes of the initiative, Phase 2 of Operation Vulindlela will focus on:
- Following through on existing reforms in energy, water, logistics and visa systems;
- Strengthening local government and improving the delivery of basic services;
- Harnessing digital public infrastructure as a driver of growth and inclusion; and
- Creating efficient, productive and inclusive cities. - SAnews.gov.za
nosihle
Wed, 03/12/2025 - 14:43
189 views
Budget: Social Grants to Increase and VAT Goes Up
Finance minister announces above-inflation grant increases
Government allocates R19.2 billion to upgrade PRASA signalling
Government allocates R19.2 billion to upgrade PRASA signalling
Government has provisionally allocated an additional R19.2 billion over the medium term for the Passenger Rail Agency of South Africa’s (PRASA) critical signalling upgrades.
Tabling the 2025 Budget Speech on Wednesday, Minister of Finance Enoch Godongwana, said the agency was making steady progress towards rebuilding infrastructure to provide affordable commuter rail services.
“To sustain this progress, we have provisionally allocated an additional R19.2 billion over the medium term for critical signalling upgrades. This will enable commuters from areas like Mamelodi, Kwa-Mashu, Motherwell and Khayelitsha to catch a train every 10 minutes, to get to and from work and significantly reduce the money that low-income households spend on transport.
“The allocation will also allow PRASA to maximise the potential of the 241 new trains delivered through the rolling stock renewal programme,” the Minister said in Parliament.
Despite the progress made, Godongwana said PRASA’s procurement system needed strengthening.
“The management of the entity is already instituting measures to strengthen their procurement weaknesses. This includes getting support from the National Treasury to build capacity and mitigate risks and undertaking live audits for large procurement projects,” the Minister said. - SAnews.gov.za
nosihle
Wed, 03/12/2025 - 14:53
131 views
Government funds SARS to improve tax compliance
Government funds SARS to improve tax compliance
The South African Revenue Service (SARS) has been allocated R3.5 billion in the current financial year and an additional R4 billion over the medium term.
Tabling the 2025 Budget Speech on Wednesday, Minister of Finance Enoch Godongwana said broadening the tax base and improving the administrative efficiency of SARS allows government over time, to spread the tax burden more evenly and equitably.
With this budget allocation, SARS will focus on leveraging technology, data science and artificial intelligence to foster efficiency and transparency in tax administration while combating exploitation by criminal syndicates.
“By the end of February this year, SARS reported a significant increase in undisputed debt. This means billions of Rands are owed to the State. The revenue collector has also detected 156 000 taxpayers who are not registered or have not filed despite their substantial economic activity.
“I call on all South Africans to comply with the law and support SARS in its endeavour to collect the revenues that enable government to fund and provide critical services. I also want to emphasise the importance of tax compliance.
“I thank all compliant taxpayers who pay their fair share of taxes. I also encourage those that are not compliant to do the right thing. The rewards of higher tax compliance and efficiency take time. Once again, the investments we make today in SARS will allow the collector the time to make improvements,” Godongwana said in Parliament.
Over the past five years, SARS has made significant progress in rebuilding and modernising its systems by shifting to online services and automating many of its processes to improve service, detect fraud and enhance compliance.
“In 2025/26, SARS will focus on addressing the tax gap to improve revenue collection. This will be done by improving taxpayer compliance and trade facilitation by leveraging artificial intelligence and data science.
“SARS is deploying technologies to simplify its processes and enhance the single window platform to improve taxpayer and trader service. Adopting scanning technologies and intelligent image analysis will significantly reduce inspection times through ports of entry,” according to the 2025 National Treasury Budget Review document.
The traveller declaration system is being modernised to provide digital services to cross border travellers and state entities, reducing illicit financial flows and other risks. -SAnews.gov.za
nosihle
Wed, 03/12/2025 - 14:01
19 views
Finance Minister to deliver Budget Speech 2025
Finance Minister to deliver Budget Speech 2025
Minister of Finance, Enoch Godongwana, is expected to deliver the 2025 Budget Speech in Parliament today.
The Budget Speech seeks to strike a balance between fostering economic growth and providing support for the most vulnerable in society, even with constrained resources.
Additionally, the Minister will present the Appropriation Bill and submit the 2025 Division of Revenue Bill, both of which Parliament will review and process in the coming months.
“Minister Godongwana will also introduce the Appropriation Bill and table the 2025 Division of Revenue Bill, which Parliament is expected to process in the following months. During the Budget Speech, the Finance Minister indicates the allocation of financial resources to the national government’s priorities outlined by President Cyril Ramaphosa in the State of the Nation Address.
“Mr Godongwana will outline all the financial, economic and social commitments the government will prioritise in its planned expenditure. He will provide a detailed plan for 2025 spending, including proposals for revenue collection to help fund the government’s planned interventions and commitments,” Parliament said in a statement.
The speech was initially scheduled for 19 February but was postponed to allow Cabinet to further deliberate on the best possible ways to fund the budget.
In a weekly newsletter, President Ramaphosa acknowledged the concerns raised following the postponement,
“The last-minute postponement was unfortunate. It gave rise to concern and uncertainty among South Africans, investors and the financial markets, who look to the budget for important signals about the state and direction of our economy.
“Decisions on how to spend public funds have implications for every South African. It is therefore essential that the concerns raised by different parties around the budget are properly addressed, in the interests of accountability, transparency and consensus-building,” the President said.
Members of the public are encouraged to follow the proceedings on Parliament TV (DSTV Channel 408), through a live stream on Parliament’s website, Parliament’s YouTube channel, and X page on following links:
- X (Twitter): https://twitter.com/ParliamentofRSA
- Facebook: https://facebook.com/ParliamentofRSA
- YouTube: https://www.youtube.com/ParliamentofRSA
A day after the Minister delivers the speech, the Deputy Director-General of the National Treasury Budget Office, Edgar Sishi, with National Treasury officials, are expected to visit Athlone High School in Cape Town to engage learners on the 2025 National Budget.
“The aim of this outreach programme is to raise awareness and educate the learners about national budget information. It will also outline the budget process and encourage engagement.
“Public participation in the budget process is essential for promoting transparency and accountability in governance. In February each year, the Minister of Finance tables the National Budget, which outlines budget allocations for national and provincial departments.
“By engaging the public, particularly the youth, this initiative promotes inclusive development, fosters trust in resource allocation and ensures the budget information is accessible to broader members of society,” National Treasury said in a statement. – SAnews.gov.za
NeoB
Wed, 03/12/2025 - 07:00
87 views
We Cannot Afford to Scrap R10-Billion Budget for ECD
February’s postponed budget speech would have announced increased ECD subsidies
Investors urged to join Global Investor Call
Investors urged to join Global Investor Call
National Treasury has encouraged investors, who are interested in participating in the upcoming Global Investor Call (GIC) after the tabling of the Budget, to submit questions through the respective Goldman Sachs or Investec representatives.
The Minister of Finance, Enoch Godongwana, will table the 2025 Budget to Parliament on Wednesday, 12 March 2025.
“The Republic of South Africa, rated Ba2 (stable) by Moody’s Investors Service Incorporated, BB- (positive) by S&P Global Ratings and BB- (stable) by Fitch Ratings (Hong Kong) Limited, has mandated Goldman Sachs International and Investec Bank Limited, alongside their empowerment partners, Vunani Capital Partners and Cinga Capital, to arrange a non-deal Global Investor Call (“GIC”) scheduled for Wednesday, 12 March 2025 at 16:00 SAST / 14:00 GMT / 09:00 EST,” National Treasury said on Friday.
The GIC will be led by National Treasury Director-General, Dr Duncan Pieterse, and will be supported by senior National Treasury officials.
It said the GIC will be followed by a series of in-person fixed income investor update meetings in Cape Town on Thursday, 13 March 2025, and Friday, 14 March 2025, and in Johannesburg on Friday, 28 March 2025.
“Investec will be arranging logistics. Details of in-person fixed income investor update meetings internationally will be communicated to the market in due course.
“There will be an open Q&A session during the GIC, and the Republic of South Africa also welcomes the pre-submission of questions through the respective Goldman Sachs or Investec representatives,” National Treasury said.
Representatives can be contacted as follows:
Goldman Sachs International:
- Name: Rumbi Wasterfall
- Email Address: rumbi.wasterfall@gs.com
- Contact details: +44 207 774 6671
Investec Bank Limited:
- Name: Leanne Large
- Email address: Leanne.Large@investec.com
- Contact details: +27 82 494 8804
Link to pre-register (Recommended):
https://www.netroadshow.com/events/login?show=367d0b60&confId=78851
Link for the audio replay (only available following the GIC): https://www.netroadshow.com/events/login?show=367d0b60&confId=78851
Following the tabling of the 2025 Budget, a presentation will be available on National Treasury's website:
During the Budget the Finance Minister will to outline the financial, economic and social commitments that government would prioritise in its planned expenditure as part of the 2025 Budget Speech.
He will indicate the allocation of financial resources to the national government’s priorities outlined by President Cyril Ramaphosa in the State of the Nation Address. - SAnews.gov.za
nosihle
Fri, 03/07/2025 - 13:28
274 views
Lesotho HIV Programmes Collapse After USAID Decision
Fear of a surge in new infections as antiretroviral medicines become harder to get
Budget Speech delay a result of “funding challenges”
Budget Speech delay a result of "funding challenges"
Cabinet has reiterated that the postponement of the tabling of the National Budget from 19 February to 12 March is a result of efforts by Cabinet to collectively address the nation’s funding challenges within a constrained fiscal environment.
Cabinet on Thursday assured South Africans that deliberations within Cabinet on the 2025 National Budget are continuing to determine the best ways to fund the national priorities and ensure that the budget reflects the aspirations of all South Africans.
“The postponement, while it is the first in the history of South Africa, but not out of the norm in other jurisdictions, is still within the provisions of the Public Finance Management Act (PFMA),” Cabinet said in a statement after it met on Wednesday.
Finance Minister Enoch Godongwana was scheduled to outline the financial, economic and social commitments that government would prioritise in its planned expenditure as part of the 2025 Budget Speech.
However, in an unprecedented move, it was postponed for further deliberation.
“The annual budget is tabled by the Minister of Finance but it requires the deliberation of the Cabinet before it is tabled in the National Assembly.
“Cabinet considered that although the tabling of the 2025 budget was scheduled for release at 2pm on 19 February 2025, a postponement is needed to allow for further deliberations to take place on the budget. Cabinet is united in the view that the budget must strike a balance between the interests of the public, economic growth and fiscal sustainability,” Godongwana said at a media briefing after the postponement.
Furthermore, the budget is produced and presented before the National Assembly according to the rules outlined in the Public Finance Management Act.
During the Budget Speech, the Finance Minister indicates the allocation of financial resources to the national government’s priorities outlined by President Cyril Ramaphosa in the State of the Nation Address.
Quarterly Labour Force Survey
Meanwhile, Cabinet welcomed the upward trajectory in employment creation following the second consecutive drop in the unemployment rate, which marks the lowest rate since the third quarter of 2023.
“The country’s unemployment rate decreased to 31.9% in the fourth quarter of 2024 from 32.1% in the previous quarter. The number of employed people increased by 132 000 to 17.1 million, while the number of unemployed persons decreased by 20 000 to eight million during the same quarter,” Cabinet said.
Employment over the quarter increased in four of the 10 industries surveyed by Statistics South Africa, including finance (232 000), manufacturing (41 000), private households (18 000) and transport (17 000).
“Cabinet affirmed government’s commitment to create jobs with a special focus on youth employment programmes. Through the Presidential Employment Stimulus Programme, almost 2.2 million work opportunities have been created for young people,” Cabinet said. – SAnews.gov.za
Edwin
Thu, 02/27/2025 - 13:19
327 views
Traditional leaders urged to help build a better SA
Traditional leaders urged to help build a better SA
President Cyril Ramaphosa has called on traditional leaders to work alongside the Government of National Unity (GNU) in shaping a prosperous and inclusive future for South Africa.
Addressing the annual opening of the National House of Traditional and Khoi-San Leaders (NHTKL) at the Good Hope Centre in Cape Town, the President reaffirmed the vital role of traditional leadership in the country’s development.
“As the Government of National Unity, I once again call on Amakhosi to join hands with us as we embark on a new, glorious future for South Africa and its people,” said President Ramaphosa said on Tuesday.
The National House of Traditional and Khoi-San Leaders comprises traditional leaders who are delegates from the Provincial Houses of Traditional Leaders of South Africa and represent the Provincial Houses at national level.
He highlighted the historical significance of traditional leadership, noting that traditional leaders support governance in many rural and peri-urban communities, often facing the harshest conditions of poverty, inequality, and climate change.
The President expressed concern over the recent devastating floods in KwaZulu-Natal, which led to loss of life and destruction of property and infrastructure. He urged Amakhosi to work with disaster management teams to protect rural communities from extreme weather events.
“The recent floods in parts of KwaZulu-Natal have led to loss of life, damage to farming land, and the destruction of property and infrastructure. Our thoughts and prayers are with all the affected communities.
“I want to use this opportunity to call on you as Amakhosi to work with the disaster management response teams in our provinces and support the work that is being done to protect our rural communities against extreme weather,” he said.
READ | Level 2 heavy rain warning issued for KwaZulu-Natal
Killings
President Ramaphosa strongly condemned the increasing assassinations of traditional leaders, calling the attacks an “affront to our nation".
He referenced the recent killing of Contralesa NEC member and Ndzundza-Fene Traditional Council Chairperson, Kosi Thugwana, in Mpumalanga, stressing that such violence must be rooted out.
“Even one killing is one too many. Be assured that our law enforcement agencies are working around the clock to ensure that the perpetrators of these heinous crime are brought to book.”
Shared prosperity
The President reiterated the government’s commitment to working with traditional and Khoi-San leaders to foster unity and development. He also emphasised the importance of their participation in the upcoming National Dialogue, a platform aimed at fostering inclusivity and shaping the country’s future.
He said that government will rely on the traditional leaders’ guidance to rally people towards a future of shared prosperity and inclusivity.
“It will be important that traditional leaders and the communities they lead [to] participate in the National Dialogue so that the process produces a plan that reflects the interests and aspirations of everyone.
“The Medium Term Development Plan that we have adopted as the Government of National Unity intends to advance three strategic priorities: to drive inclusive growth and job creation, to reduce poverty and tackle the high cost of living and to build a capable, ethical and developmental state,” the President explained.
He also highlighted ongoing consultations to review the White Paper on Local Government and emphasised the role of Amakhosi in shaping policies that affect rural communities.
The Deputy President has been mandated to facilitate dialogues with traditional leaders, further strengthening collaboration between government and traditional institutions.
Legislative developments
Following the Constitutional Court’s ruling that declared the Traditional and Khoi-San Leadership Act unconstitutional, the President confirmed that steps were being taken to reintroduce a revised bill in Parliament.
He urged traditional leaders to actively participate in consultations to ensure their interests are reflected in the legislation.
In addition, President Ramaphosa addressed the longstanding issue of customary initiation practices, particularly in the Eastern Cape, where fatalities and injuries continue to be a concern.
The government has gazetted regulations for public comment and is working towards drafting guidelines to regulate initiation school fees and prevent exploitation.
READ | Hlabisa and traditional leaders discuss safer customary initiation plan
Turning to the issue of land reform and economic development, the President reaffirmed the government’s commitment to land reform, noting the passage of the Expropriation Act as part of efforts to ensure that land is equitably shared.
The Department of Land Reform and Rural Development has completed its work on the Communal Land Tenure Bill and is set to conduct public consultations.
Tackling gender-based violence and Forum of Majesties
The President urged Amakhosi to take a stand against gender-based violence and femicide, emphasising that such crimes have no place in African culture. He commended the House for its existing initiatives and called for greater involvement in protecting women and children.
“We know that such violence is not part of any culture. Violence against women and children is not part of the nation we want to build.”
Turning to traditional leadership, President Ramaphosa welcomed the launch of the Forum of South Africa’s Majesties, chaired by His Majesty King Makhosonke II, and acknowledged efforts to establish a similar platform for Queens.
He also encouraged traditional leaders to continue engaging with government ministries, particularly in sectors such as mineral resources, to ensure communities benefit from the country’s natural wealth.
G20 and National Budget
With South Africa set to host the G20 Summit for the first time later this year, the President urged traditional leaders to use the opportunity to showcase the nation’s diverse cultural heritage.
He also addressed the postponement of the Budget Speech, explaining that further discussions were necessary to align the priorities of the multi-party GNU.
READ | Government continues working for the people, despite Budget postponement
“In the interests of consensus-building, we are undertaking further discussions so that we can arrive at a budget that everyone can have confidence in a budget that promotes inclusive growth, supports job creation and that tackles poverty and inequality,” he said.
The President further emphasised that despite many challenges, it is through cooperation and partnership that a better South Africa can be built in which everyone enjoys equal opportunity and can lead lives of dignity. – SAnews.gov.za
DikelediM
Tue, 02/25/2025 - 13:17
7 views
Government continues working for the people, despite Budget postponement
Government continues working for the people, despite Budget postponement
President Cyril Ramaphosa says the events of last week present an opportunity to raise the level of understanding among South Africans around the budget and what it means for them.
This as the annual Budget Speech by the Minister of Finance was postponed last week for the first time in the nation’s democratic history.
“As GNU [Government of National Unity] partners, we will continue working for the South African people. As we have done in the past to overcome differences, we will once again find one another.
“The considerable public interest around the Budget Speech, including from young people and on social media platforms, was greatly encouraging. It is our hope that this sparks a necessary national conversation on how we will fund our national priorities and the trade-offs that will need to be made,” the President said in his weekly newsletter on Monday.
Cabinet decided to postpone the presentation of the budget to allow further discussion on areas of disagreement among parties in the GNU. The budget will now be tabled in Parliament on 12 March 2025.
READ | Budget postponed for further deliberations
“The last-minute postponement was unfortunate. It gave rise to concern and uncertainty among South Africans, investors and the financial markets, who look to the Budget for important signals about the state and direction of our economy,” the President said.
He further highlighted that the budget reflects government’s choices and priorities for the country’s development.
“Decisions on how to spend public funds have implications for every South African. It is therefore essential that the concerns raised by different parties around the budget are properly addressed, in the interests of accountability, transparency and consensus-building,” he said.
President Ramaphosa noted that this is the first time that the budget is being presented by the Government of National Unity. He said that it is understandable that this new arrangement would require a different approach in some respects.
He told the nation that the process of forging agreement among the political parties in the GNU is still work in progress.
“Disagreements, contradictions and policy divergence are inherent in governments made up of several political parties.
“It has been more than six months since the formation of the GNU. Despite disagreement between parties on a range of matters, the centre holds. It is a sign of a healthy and robust democracy that such differences may emerge from time to time and be ventilated in public.
“Such differences don’t mean that the GNU is in crisis. It means that democracy is working. A Government of National Unity by definition infers consensus-building. No one party can impose its will. There needs to be thorough deliberation and meaningful engagement,” the President explained.
Public confidence
He added that the decision to postpone the Budget Speech and to continue discussions should engender public confidence in the GNU. It should reassure citizens that despite differences of opinion, government is pulling in the same direction.
He further added that the reality is that government strives to implement national priorities in a context of slow growth, limited revenue, high unemployment and a large social wage. The state is simply not able to fund every priority and ambition.
The President emphasised that the critical issue of the public purse must be a subject of discussion and debate not just among political parties, but among all South Africans who aspire to lead lives of dignity.
“The social contract between government and the citizenry relies heavily on accountability and transparency. These have been features of our budgetary process since the advent of democracy.
“The formation of the GNU was the result of the desire by the South African people that political parties work together to move the country forward.
“As we continue to do so, we are adapting and strengthening our existing frameworks for cooperation, partnership and building consensus. We are learning, we are adjusting to new circumstances and we are moving forward,” the President said. – SAnews.gov.za
DikelediM
Mon, 02/24/2025 - 10:16
68 views
Cabinet deliberations will deliver a budget that “works for all”
Cabinet deliberations will deliver a budget that “works for all”
President Cyril Ramaphosa has in a statement on Wednesday evening moved to assure the nation that Cabinet’s continuing deliberations on the 2025 Budget will deliver outcomes that will protect vulnerable citizens and lay a platform for economic growth.
This as Cabinet on Wednesday postponed the tabling of the 2025 Budget Speech by the Minister of Finance Enoch Godongwana to 12 March 2025.
The Minister was scheduled to outline the financial, economic, and social commitments that the government would prioritise in its planned expenditure as part of the 2025 Budget Speech in the National Assembly at 2pm.
However, in an unprecedented move, it was postponed for further deliberation.
President Ramaphosa said the postponement of the tabling of the Budget in Parliament “was the result of disagreement but also collegial and mature consensus within Cabinet that Budget proposals be worked through comprehensively and productively to secure the wellbeing of the economy and individual citizens”.
“We are called upon as the national leadership to pursue all initiatives aimed at growth in order for us to increase employment and alleviate the effects of poverty.
“The Government of National Unity will in the coming days and week intensify our efforts to balance the imperatives that drive the fundamental growth objectives of this administration with the realities of a constrained fiscal environment.
“We are working as partners to ensure that the Budget is one that works for individuals and investors alike,” said the President in the statement.
During the Budget Speech, the Finance Minister indicates the allocation of financial resources to the national government’s priorities outlined by President Cyril Ramaphosa in the State of the Nation Address.
He provides a detailed plan for 2025 spending, including proposals for revenue collection to help fund the government’s planned interventions and commitments.
The Budget Speech, among others, aims to balance economic growth and support for the vulnerable in our society despite limited resources. – SAnews.gov.za
Janine
Wed, 02/19/2025 - 19:26
149 views
2025 Budget: Close out period extended to 12 March
2025 Budget: Close out period extended to 12 March
National Treasury says the embargo on budget documents made available to certain members of the media and economists during the budget lock-up until the Minister was to start his Budget Speech on 19 February 2025, is lifted and reporting thereon is allowed.
“However, officials of the National Treasury will not be providing comments or responding to queries related to the budget documents originally scheduled for release on 19 February 2025,” said Treasury in a statement.
This comes after the Minister in The Presidency Khumbudzo Ntshavheniand the Minister of Finance Enoch Godongwana announced that the tabling of the 2025/26 annual budget, scheduled for 19 February 2025, was postponed to 12 March 2025.
The Minister was scheduled to outline the financial, economic, and social commitments that the government would prioritise in its planned expenditure as part of the 2025 Budget Speech in the National Assembly at 2pm.
“The close out period that was expected to end on 19 February 2025 is extended until 12 March 2025 in line with the National Treasury’s investor engagement strategy.”
Treasury said during this period, there would be no senior officials available as preparation of the publication of the 2025 budget will be underway.
In a statement, President Cyril Ramaphosa said Cabinet’s continuing deliberations on the 2025 Budget would deliver outcomes that will protect vulnerable citizens and lay a platform for economic growth. – SAnews.gov.za
Janine
Wed, 02/19/2025 - 19:39
22 views
Budget postponed for further deliberations
Budget postponed for further deliberations
Cabinet has postponed the tabling of the 2025 Budget Speech by the Minister of Finance Enoch Godongwana to 12 March 2025.
The Minister was scheduled to outline the financial, economic, and social commitments that the government would prioritise in its planned expenditure as part of the 2025 Budget Speech in the National Assembly, on Wednesday.
However, in an unprecedented move, it was postponed for further deliberation.
“The annual budget is tabled by the Minister of Finance but it requires the deliberation of the Cabinet before it is tabled in the National Assembly.
“Cabinet considered that although the tabling of the 2025 budget was scheduled for release at 2pm on 19 February 2025, a postponement is needed to allow for further deliberations to take place on the budget. Cabinet is united in the view that the budget must strike a balance between the interests of the public, economic growth and fiscal sustainability,” Godongwana said in a media briefing on Wednesday afternoon.
Furthermore, the budget is produced and presented before the National Assembly according to the rules outlined in the Public Finance Management Act.
“Section 27 of the Public Finance Management Act requires that the annual budget be tabled prior to the start of the financial year or in exceptional circumstances on a date as soon as possible after the start of the financial year as the Minister of Finance may determine
“Therefore, further discussions in Cabinet will take place in preparation for a new amended or a new budget to be tabled on 12 March 2025,” the Minister said.
Minister in the Presidency Khumbudzo Ntshavheni said the request for a postponement was a Cabinet decision.
During the Budget Speech, the Finance Minister indicates the allocation of financial resources to the national government’s priorities outlined by President Cyril Ramaphosa in the State of the Nation Address.
He provides a detailed plan for 2025 spending, including proposals for revenue collection to help fund the government’s planned interventions and commitments.
The Budget Speech, among others, aims to balance economic growth and support for the vulnerable in our society despite limited resources. - SAnews.gov.za
nosihle
Wed, 02/19/2025 - 16:32
54 views
Budget Postponement Is a “Blessing in Disguise” Says COSATU
Hundreds marched in Cape Town ahead of budget announcement
Budget speech postponed
Budget speech postponed
In an unprecedented moment for the South African Parliament and the country, National Assembly Speaker Thoko Didiza announced this afternoon, that the tabling of the Budget Speech for 2025/26 has been postponed to a later date.
Finance Minister Enoch Godongwana was due to deliver the budget speech in Parliament on Wednesday afternoon.
“I have just had a consultation with all the Whips of parties following a consultation with the leader of government business. In terms of rule 48 sub-section 2, we have decided to adjourn proceedings for a date to be determined by the programming committee. This is in accordance with rule 10.
“Before we started the session, we were informed by the leader of government business…that while we have gathered here to have the Minister of Finance presenting the budget to this august House, there has not been agreement in terms of parties in the executive to actually find one another in proposals of the budget…about where there are possible increases.
“Cabinet therefore decided not to come and do a presentation of the budget and allow themselves enough time to relook at the budget and come back to this House in March at the time at which they will inform us,” she said.
Didiza explained the Chief Whips of the political parties in Parliament met to discuss the way forward.
“It is something that is unprecedented, but I do think it is correct that when such situations happen, we need to collectively think on the best way forward,” she said. – SAnews.gov.za
NeoB
Wed, 02/19/2025 - 14:45
10 views
Citizens outline expectations for Budget 2025
Citizens outline expectations for Budget 2025
Reducing red tape for business and tackling the funding gap for higher education are among the items on the wishlist of ordinary South Africans ahead of Finance Minister Enoch Godongwana’s 2025 Budget Speech, this afternoon.
Michael Mokwena, a small business owner in Garankuwa, north of Pretoria, told SAnews he hopes the government will make it easier to small business people to access loans from banks.
“We small business owners find it hard to access loans to expand our businesses. The laws and the requirements make it difficult for us to access funds,” Mokwena said.
Speaking ahead of the Budget which the Minister will table at 2pm, Mokwena said government must set aside funds to boost small businesses in the townships.
“Township businesses are playing a big role in the country’s economy and they are playing a role in job creation. We can’t all get employed. Some of us must create job opportunities for others. For that to happen, we need support from government. We need funding so we can play an active role in growing our economy,” Mokwena explained on Wednesday.
Meanwhile, Elvis Montoedi from Hamanskraal, told SAnews that government must create more job opportunities for young graduates and importantly, government must prioritise funding for students.
“Government must set aside more money for education. It is sad to see some young people being unable to continue with their studies because of lack of funding. Government must also assist with job placement for those who have completed their studies,” Montoedi who is a final year Bachelor of Commerce (BCom) student at the University of South Africa (UNISA) said.
Godongwana’s Budget Speech will provide a detailed plan for 2025 spending, including proposals for revenue collection to help fund the government’s planned interventions and commitments.
READ | All eyes on the Budget: Godongwana to chart SA’s financial future
The Budget Speech, among other things, aims to balance economic growth and support for the vulnerable in our society, despite limited resources.
READ | Minister of Finance to deliver 2025 Budget Speech
This as senior lecturer at UNISA Ndou Eliphas said he expects the Minister will deliver a budget that caters for the poor - to infuse business optimism; to send a message to the public that government is working on raising economic growth and that government wants to eradicate poverty and inequality.
“The Minister of Finance should focus more on raising economic growth, [the] implementations of reforms that support economic growth, explaining how to reduce the debt servicing costs and stabilising debt to GDP ratio,” said Ndou.
Ndou is of the view that the Minister will deliver a budget that will give an optimistic outlook at a time of global economic uncertainty.
For those eager to follow the financial roadmap firsthand, the Budget Speech will be broadcast live on Parliament TV (DStv Channel 408) and streamed across Parliament’s digital platforms. South Africans can tune in to see how the numbers stack up and what lies ahead for the economy in 2025, across various TV channels and Government platforms, including on www.SAnews.gov.za .
Wednesday’s budget will be the first budget to be tabled under the Government of National Unity (GNU). - SAnews.gov.za
Edwin
Wed, 02/19/2025 - 11:53
344 views