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Budget Speech: Government increasing social grants

Government will be increasing social grants for citizens, Finance Minister Tito Mboweni announced in his 2020 Budget Speech.

“We are a caring society. We are a caring government. More than 18 million people receive a grant, which is a lifeline for many,” Mboweni said.

“Grants reduce inequality and protect the most vulnerable in society,” the minister told Parliament before breaking down the increase for each category of social grant.

Mboweni said that grants are adjusted as follows:

  • R80 increase for the old age, disability and care dependency grants to R1,860 per month.
  • R80 increase in the war veterans grant to R1,880.
  • R40 increase for the foster care grant to R1,040 per month.
  • The child support grant will increase by R20 to R445 per month.

“Changing the way we provide social grants has generated about R1 billion per annum in efficiency savings, which will be partly used to raise the daily subsidy per child,” Mboweni said.

Mboweni’s Budget was decidedly slimmer with moves to have reductions of over R261 billion. This included the proposal to cut of R160.2 billion of the public service wage bill over three years. But, the minister managed to slightly increase the social grants allocations.

 

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