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The case for a Universal Basic Income Grant

The Covid pandemic has greatly exacerbated existing poverty and unemployment in South Africa. What are the best policies to alleviate it? Targeted social grants may aim to reach the poorest of the poor but there are many inefficiencies in the targeting method. A Universal Basic Income Guarantee is more costly, yet simpler to implement, will reach those in need more quickly, and is financially feasible. The Covid Social Relief of Distress (SRD) grant is set to end in March 2022, and with it, the only source of income support for more than 9 million people. The burning question is what, if anything, will replace it? The recent Medium Term Budget Policy Speech (MTBPS) has given us no answer. Instead, Finance Minister Enoch Godonwanga has stated that, while this may be reconsidered by Cabinet, no decision has been taken regarding potential replacements, nor any budget allocation made for its extension currently. ....

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Budget doesn't support economic growth, says PBO

Budget doesn t support economic growth, says PBO
The PBO’s Seeraj Mohamed said that the spending cuts the government was planning over the next three years did not – as Treasury has argued - strike a balance between immediate support for the economy and shoring up the country’s public finances.
FILE: Finance Minister Tito Mboweni delivers his Medium-Term Budget Policy Speech in Parliament on 28 October 2020 in Cape Town. Picture: GCIS.
38 days ago
CAPE TOWN - The Parliamentary Budget Office said that the Budget unveiled by Finance Minister Tito Mboweni last week did not support economic growth, nor the recovery and reconstruction of the economy. ....

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Tax hike would be detrimental for battling S. Africans, warn opposition parties

Tax hike would be detrimental for battling S. Africans, warn opposition parties
Opposition parties said that all indications were that Finance Minister Tito Mboweni would slap South Africans with a tax increase.
FILE: Finance Minister Tito Mboweni delivers his Medium-Term Budget Policy Speech in Parliament on 28 October 2020 in Cape Town. Picture: GCIS.
CAPE TOWN - No tax increases, vaccine rollout spending details and no costly bailouts of state-owned enterprises.
These were just some of the issues raised by opposition parties who wanted Finance Minister Tito Mboweni to include them, when he tables his budget on Wednesday afternoon.
Mboweni will deliver his Budget speech this afternoon and is expected to give details of finance for the vaccine rollout and economic recovery. ....

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Alcohol, tobacco, hospitality industries look to Mboweni to ease struggles

Alcohol, tobacco, hospitality industries look to Mboweni to ease struggles
The alcohol industry recently reported that it lost R36.3 billion in sales revenue as a result of the three lockdown-related bans.
FILE: Finance Minister Tito Mboweni delivers his Medium-Term Budget Policy Speech in Parliament on 28 October 2020 in Cape Town. Picture: GCIS
36 days ago
CAPE TOWN – South Africa s alcohol and tobacco industries are hoping that Finance Minister Tito Mboweni will not increase excise taxes in the coming Budget speech, following huge losses as a result of the COVID-19 lockdowns.
Industries and companies will be looking to the minister on Wednesday afternoon, hoping for further government interventions to help them turn things around. ....

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