Appropriation Bill to pass in crucial step for SA's R1.2-trillion Budget allocation

Daily Maverick

23-07-2025

Finally, South Africa is one step closer to passing this year's Budget. But that hasn't stopped the GNU partners from their usual politicking.
South Africa almost has a Budget as Government of National Unity (GNU) parties supported the first reading of the Appropriation Bill in Parliament on Wednesday, 23 July 2025.
While parties united to support the bill, the political jabs between GNU members continued.
Things began in Parliament, sitting at the Cape Town International Convention Centre, with Kingsley Wakelin from the DA taking a jab at the ANC, MK party and the EFF.
'In the meantime, internal conflicts within the ANC are distracting them from the real issues facing the country. The MK is undermining the very same Constitution that pays their salaries and the EFF is losing members and disabusing them — and the nation is suffering.'
In order to pass the Appropriation Bill, all departmental budget votes need to be passed, and the bill needs 201 of 400 votes.
On Tuesday, the DA said it would support the budget votes, and thus the Appropriation Bill, after Higher Education Minister Nobuhle Nkabane was fired on Monday night. The party had also called for the removal of Human Settlements Minister Thembi Simelane.
On Wednesday, Wakelin continued: 'In last year's election, the voters sent a clear message about what they want. They no longer trust the ANC to govern on their own. They want jobs, not handouts.'
The DA would not support the National Dialogue, Wakelin said.
'People want action. The people do not want to see R700-million wasted on another expensive dialogue.'
Patriotic Alliance MP Ashley Sauls took a jab at the DA and said the party supported this Budget because it was now part of the governing coalition, even though 'it is the same Budget that was tabled in the past'.
'Principles have been sold for posts and blue lights,' he claimed.
Money running out
It was Deputy Finance Minister David Masondo who explained what would happen if the bill was not passed on Wednesday.
'Let me restate that the passing of this bill by Parliament will grant the national government to spend R1.2-trillion to deliver services, to protect the vulnerable and invest in our shared future.
'This R1.2-trillion, it's not just a number,' he said, giving examples of funding for hospitals, social grants and infrastructure projects.
Masondo said the bill must be passed without delay or else there would be two big consequences.
'Without passing this bill, the government will be without authority for permission to spend beyond last year's allocation. As a result, the government will not fully provide services, including public servants.'
He added: 'In the absence of the Appropriation Act, the government may only spend 45% of the previous year's Budget until the end of July, which is next week, and thereafter the government can only spend 10% a month of the previous appropriated Budget. Our estimation is that overall, by October 2025, the government will be without authority when we reach 100% of last year's appropriation.'
The second implication of the delay of the Budget, Masondo said, was that 'critical priorities, new priorities can't be funded'. This included funding for passenger rail transport and essential health services, 'which is meant to facilitate the employment of 800 doctors in the public service'.
'This government won't be able to spend the R470-million for the digitisation project in home affairs,' said Masondo and made a point about visa reforms, something that has been a project for its minister, Leon Schreiber (DA).
'This project predates the year and we appreciate the energy, the zeal and the commitment by Minister Schreiber to continue to implement the reports… Without legal appropriation, those provisionally allocated funds cannot be dispersed,' said Masondo.
Ultimately, Masondo said the Bill must be passed, because 'it is the most vulnerable members' who depend on public services such as grants and public schooling.
After the bill is passed within the National Assembly, it will go to the National Council of Provinces for concurrence.
The process continued on Wednesday as parties discussed budgets for each department. By 1pm, the budget vote for the Presidency had been approved, despite objections from the MK party, EFF and others. DM