Picture: The Minister of Finance, Enoch Godongwana
By BAKANG MOKOTO
1 May 2025- The Speaker of the National Assembly (NA), Thoko Didiza reiterated Parliament’s readiness to process and adopt the revised Budget and Fiscal Framework swiftly and responsibly within the legally prescribed timeframe and in full compliance with its constitutional and legislative obligations.
Chairing the National Assembly’s Programme Committee, Didiza confirmed that the Minister of Finance, Enoch Godongwana, will table the revised Budget and Fiscal Framework in the NA on 21 May 2025.
The National Assembly (NA) spokesperson, Moloto Mothapo said the committee agreed that the sitting would be a physical meeting. Mothapo said Didiza reaffirmed the timeframes for budget approval prescribed in the Money Bills Amendment Procedure and Related Matters Act and emphasised that every effort will be made to ensure that government operations continue seamlessly and that the principles of accountability and sound financial governance are upheld.
“She assured the public that the process in Parliament will be transparent and in full compliance with the law as the institution fulfils its constitutional mandate,” he said.
Meanwhile, the www.sanews.gov.za reported that Minister Enoch Godongwana will table the new budget proposals on 21 May 2025. The website said this after the National Treasury announced that it has withdrawn the proposed 0.5% Value-Added Tax (VAT) increase which was to be implemented on 1 May 2025.
Godongwana announced the date of the new budget review during a media briefing in Pretoria, on Wednesday. He further described the ensuing debate following the announcement of the budget tabled on 12 March 2025 as “rigorous, as is right in a healthy democracy”.
“Today, there’s a clarity [that] VAT will remain at 15%. This decision was shaped not only by political debates but importantly, by the voices of South Africans. When people speak, we must also listen and I’m encouraged by the passion shown.
“It reflects the seriousness with which we approach the hard choices needed to place our finances on a sustainable path, protect the vulnerable and accelerate growth. I was pleased that, the budget will be balanced “without raising VAT, while protecting vital services like education, health and social grants,” said Godongwana.
He added that going forward, National Treasury’s focus will be threefold starting with balancing the budget by managing costs better. Godongwana said raising other taxes besides VAT was not an option [as] it would harm growth, savings and jobs.
“Borrowing more would worsen our debt crisis. We already spend more than R1 billion servicing debt. We must do more with less, review government spending critically, root out waste, every cent of public money must be spent wisely.
“The second issue, we must strengthen revenue collection. In the [March] budget, we made provisions for SARS [the South African Revenue Service] to collect more particularly for those who still owe SARS and to deal with illicit trading,” he said.
Godongwana said the third area that Treasury will home in on is laying “strong foundations for economic growth”. He said job creation is the number one priority.
“We must remove barriers to investment, unlock private sector capital and expand opportunities for all South Africans. Through Operation Vulindlela, we have already seen what focused collaboration can achieve and we will now accelerate these reforms.
“The challenges ahead are serious but not insurmountable. If we work together, stay focused and persevere, we can chart a better course for our economy and our people. That is my commitment to South Africans and that is what we aim to achieve when we table the new Budget on the 21st of May 2025,” said Godongwana.
*Additional reporting – SAnews.gov.za
The Guardian 