Budget reflects ‘strategic priorities of the GNU’ –Ramaphosa

President Cyril Ramaphosa has highlighted Finance Minister Enoch Godongwana’s recently passed budget, saying it reflects the strategic priorities of the government of national unity (GNU).

The GNU faces challenges after the DA and FF+ voted against Godongwana’s budget in parliament last week.

The DA has also launched a legal challenge against implementing the VAT hike.

Furious ANC NEC members are calling for the party to eject the DA and FF+ from the GNU after accusing them of “betraying them during the passing of the 2025 fiscal framework”.

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‘Growing the economy’

However, in his weekly newsletter on Monday, Ramaphosa painted the budget as an instrument for “growing the economy and supporting the livelihoods of our people”.

Ramaphosa said the budget advances the government’s commitment to uplift the material conditions of South Africans.

“It is a critical instrument to drive development, eradicate poverty and narrow inequality. At a time of constrained economic growth and narrow fiscal space, the budget must direct sufficient resources to activities that encourage inclusive growth and lay the groundwork for sustained economic recovery.

“It reflects the strategic priorities of the government of national unity: inclusive growth and job creation, reducing poverty and tackling the high cost of living and building a capable, ethical and developmental state,” Ramaphosa said.

‘Common good’

Ramaphosa said that in a challenging economic environment — locally and globally — this year’s budget supports measures to “drive growth and alleviate the effects of poverty”.

“At the same time, it aims to stabilise public finances and continue to reduce our national debt. The budget reflects the priorities of government’s Medium Term Development Plan, a five-year programme of action that prioritises rapid, inclusive growth, creating a more just society and building state capacity.

“At a time when our singular focus must be the South African people, we need to use the limited resources we have to work together for the common good,” Ramaphosa said.

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