Budget 3. 0 will be supported, confirms Mashatile
Deputy President Mashatile assures Parliament of budget 3.0's passage
Image: GCIS
Deputy President Paul Mashatile has announced that the partners of the Government of National Unity (GNU) have reached a consensus to coalesce around budget 3.0, affirming its imminent support in Parliament.
sion, which took place at the Sefako Makgatho Presidential Guesthouse in Pretoria on Friday. The high-profile assembly featured an array of stakeholders, including ministers, deputy ministers, premiers, and director-generals.
'In the Government of National Unity (GNU), we all agreed to support the budget, so there won't be a problem. The budget will go through as presented,' asserted Mashatile, reflecting an optimistic outlook for the budget's acceptance.
Last week, Finance Minister Enoch Godongwana presented his budget speech in the National Assembly, marking the third attempt to establish the Fiscal Policy Framework for 2025 after two previous failures to deliver a balanced budget.
This year's financial overview transcends the mere presentation of figures; it critically illustrates South Africa's developmental priorities, financial prudence, and the state of political stability within the nation.
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The backdrop to this agreement has been fraught with challenges, particularly following the controversial reversal of a planned 0.5% increase in Value Added Tax (VAT).
Godongwana has faced considerable pressure since this retraction, especially as the initial VAT hike, though supported by Parliament, was met with fierce opposition from political parties such as the Democratic Alliance (DA) and the Economic Freedom Fighters (EFF), who contested the decision in court.
With this reversed policy, South Africa's national budget now grapples with a troubling R75 billion deficit. As the Minister for Finance, Godongwana is tasked with bridging this fiscal gap without resorting to additional borrowing or igniting further political disputes.
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