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Parliament's finance committee approves fiscal framework, revenue proposals underpinning budget

Parliament's finance committee approves fiscal framework, revenue proposals underpinning budget

Eyewitness News2 days ago

CAPE TOWN - Parliament's standing committee on finance has approved the fiscal framework and revenue proposals that underpin the 2025 budget, setting the scene for the less contentious adoption of its report in the National Assembly than was the case in March.
Following two days of deliberations, the African National Congress (ANC), Democratic Alliance (DA) and ActionSA voted in favour of the report.
However, the uMkhonto weSizwe (MK) Party and Economic Freedom Fighters (EFF) dug in their heels saying the fuel levy is an unnecessary inclusion that will impact the poor.
Wednesday's joint meeting of the finance committees of both houses was far less tense than when it considered an earlier version of the budget framework, which contained a value-added tax (VAT) increase that split the Government of National Unity (GNU).
ALSO READ: Main opposition parties reject Treasury's assertion of pro-poor budget
However, opposition parties took issue with the increase in the fuel levy, which was included in this third version of the budget tabled by the finance minister two weeks ago.
The MK Party's Brian Molefe said other means could have been found to raise R4 billion in a R2 trillion budget.
"The fuel levy is regressive and it is not pro-growth, because the fuel levy dampens consumption, expenditure, and it is inflationary as well."
After losing Tuesday's court case on the matter, the EFF's Omphile Maotwe made one last appeal for the committee to retract the increase.
"If we can stand up and say we reject the fuel levy, that's something we can give the people of South Africa."
But with no support to force the finance minister's hand again, both opposition parties rejected the fiscal framework and the committee's report, which will be put to a house vote next Wednesday.

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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ He did not flinch at the first sound of public outrage. He did not rush to satisfy the noise of social media or the murmurs of political insiders. No. Zuma sat still. He waited for the moment when he, not the nation, was ready. Then he acted. 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It may appear, for now, that members of the MK Party are content with these purges. That they clap as Comrades are fired. But don't be fooled. That is fear, not approval. That is survivalism, not loyalty. Zuma's Stalinist approach is unsustainable and will inevitably face a serious internal ideological offensive, as there are tried and tested Communists within the MK Party. If they surrender their ideological discipline just to stay in Zuma's good graces, then they are betraying more than themselves. They are betraying the memory of the Communist International. They are betraying a generation. And if that is the path the MK Party takes, then history will not be kind. As I conclude, it is imperative to surface what might well be the most consequential development regarding the MK Party: it now finds itself, by sheer electoral outcome and political reconfiguration, as the Official Opposition Party. 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