Finance Minister Enoch Godongwana, who is set to deliver the revised budget speech today, has received backlash for claiming that he is in trouble because of the COVID-19 social relief grant. He will deliver the 2025 Budget Speech in the National Assembly this afternoon at the Nieuwmeester Parking Dome in Johannesburg.

REJECTED BUDGET

The February 2025 budget had to be postponed after it was rejected due to a proposed 2 percentage point increase in VAT aimed at financing an increase in non-interest spending. The National Treasury estimates that a 2-point VAT increase could generate R60.0bn, R63.7bn, and R67.3bn over the next three years, totalling R191bn.

THE POOR GET POORER

Godwana has suggested that the grant R350 SRD be reduced. Black Sash executive director Rachel Rukasa emphasised that it is a known fact that millions of South Africans depend on the SRD grant, which is already not enough, so for the minister to even suggest that it should be reduced is another problem. "To say the SRD grant is the reason he is in trouble now is shocking. Honestly, as a society, we should be wary of the minister's language. "I need this, I need that." The minister does not live in a dictatorship. He is a democratically elected official who must consult not only ANC leadership but also the broader coalition about how these decisions are made. Rukasa said Godongwana's personal dislike of the SRD grant should not be the reason behind such actions. To pit poor people against each other?" It's either the grant that gives dignity or higher bread prices. This is dangerous, and he should be called out for it."