
Fiscal framework, revenue proposals underpinning national budget set to be debated by parties
Godongwana tabled a new budget in May after the first budget was nixed before it could be tabled, and the second was taken to court after the Democratic Alliance (DA) refused to accept an increase in the standard value-added tax (VAT) rate.
While the budget is still expected to face fierce objection from opposition parties when it's debated on Wednesday, it's less likely to be rejected by coalition partners in the Government of National Unity (GNU).
Last week, the third version of Budget 2025 passed the crucial first test of meeting the approval of Parliament's finance committees, although not all parties are represented in these structures.
ALSO READ:
• Parliament's Standing Committee on Finance chair Maswanganyi says debate on fuel levy hike not over
• Parliament's finance committee approves fiscal framework, revenue proposals underpinning budget
• Main opposition parties reject Treasury's assertion of pro-poor budget
The uMkhonto weSizwe (MK) Party and Economic Freedom Fighters (EFF), however, still vehemently oppose this version of the budget, saying it's one of austerity and not pro-poor.
The EFF last week lost a bid to get the minister to scrap the fuel levy increase, which is expected to generate R4 billion in revenue to fund the more than R2 trillion budget.
Both houses will sit in separate sessions on Wednesday to approve the fiscal framework and revenue proposals, paving the way for the Division of Revenue and Appropriation Bills to be tabled before the relevant finance committees for consideration.
State departments will then also have to appear before Parliament's portfolio committees to detail their expenditure plans for the next year before the Appropriation Bill is considered for approval at the end of July.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


eNCA
4 hours ago
- eNCA
David Mabuza Made Modern South Africa, His Choice Changed Everything
Yesterday, South Africa learnt of the passing of Former Deputy President David Mabuza. An ANC political stalwart, not many South Africans know his name but all have been affected by his actions. His impact has been changed the trajectory of Cyril Ramaphosa, the MK Party, the EFF, the DA and politics at large. Let's get in to it.

IOL News
8 hours ago
- IOL News
SAPS Budget 2025: Mchunu targets GBV, corruption, and high-crime zones with R120 billion plan
Police Minister Senzo announces sweeping reforms to strengthen visible policing, invest in digital tools, and tackle gender-based violence, signalling a bold shift in SAPS strategy for the 2025/26 financial year Image: Tumi Pakkies/Independent Newspapers Police Minister Senzo Mchunu says South Africa's policing system is undergoing a strategic overhaul aimed at improving crime prevention, restoring public trust, and modernising police operations. Tabling the Budget Vote for the 2025/26 financial year in Parliament, Mchunu laid out a R120.89 billion allocation for the South African Police Service (SAPS), Civilian Secretariat for Police Service, and the Independent Police Investigative Directorate (IPID). ''While we welcome and appreciate the allocation, we are under no illusion about the scale of the task ahead. Crime is adaptive, dynamic, and, in many cases, well-financed — and so must our response be.' Mchunu outlined nine key crime-fighting priorities, including reducing the murder rate, fighting gender-based violence, tackling illegal firearms and drugs, and rooting out corruption within the SAPS. "Our commitment is to lead a police service that protects the vulnerable, disrupts criminality, and restores trust," he said. Mchunu noted that four provinces, Gauteng, KwaZulu-Natal, Western Cape, and Eastern Cape, remain the primary focus due to high crime levels. ''It is clear that identified high crime zones in all four provinces require intelligence-led targeted deployment of specialised units to combat criminality.' He also confirmed that 225 hotspot police stations have been identified for synchronised interventions. Mchunu said visible Policing will receive over 53% of the total budget, while Detective Services will account for nearly 20%. Compensation of employees remains the largest cost driver, making up more than 80% of the budget. He also confirmed that 5,500 new police trainees will be enlisted in January 2026 to maintain the personnel complement of 188,000. A total of R219.2 million has been allocated for securing the G20 conference in November 2025, R400 million for the 2026 Local Government Elections, and R34.8 million for costs related to the appointment of an additional Deputy Minister. Furthermore, R150 million is being shifted to the Directorate for Priority Crime Investigation (DPCI) to support its anti-corruption partnerships. Community policing is also getting a boost, with R28 million allocated to Community Policing Forums and R8.5 million for public awareness campaigns, he said. To address Gender-Based Violence and Femicide (GBV+F), a total of R1.6 billion will be spent, including R1.5 billion for Family Violence, Child Protection and Sexual Offences (FCS) Units. Mchunu said, 'The country is gripped and aggrieved by GBV+F, as its prevalence has reached distressing levels.' Moreover, Mchunu said to modernise operations, R670 million will be invested in building and upgrading police stations, while R20 million will fund mobile Community Service Centres. and R45 million on police station maintenance. Mchunu highlighted the role of partnerships with the private sector, particularly with Business Against Crime South Africa. Projects include piloting automated police stations, expanding forensic labs, and integrating SAPS systems with private sector technologies. SAPS will also roll out drones, body-worn cameras, and digital tools to enhance public safety and investigative capacity, he said. Mchunu highlighted the role of partnerships with the private sector, particularly with Business Against Crime South Africa. Projects include piloting automated police stations, expanding forensic labs, and integrating SAPS systems with private sector technologies. "The SAPS continues to advance its modernisation agenda through the deployment of strategic technology solutions aimed at improving operational efficiency, situational awareness, and public safety," Mchunu said. Addressing corruption within police ranks, Mchunu confirmed, 'We have taken a defined stance against corruption within the SAPS and we unequivocally state that there is no tolerance for corruption.' This includes recent arrests of senior officials in Crime Intelligence. Human resources are being restructured, with new recruitment strategies, leadership development, and incentives. A new Detective Critical Skills Allowance of R1,000 per month will be introduced from October 2025 to retain skilled investigators. Additionally, 200 former detectives will be re-enlisted and more contract appointments made, said Mchunu. Furthermore, the DPCI will ramp up efforts against corruption, cybercrime, and unresolved Truth and Reconciliation Commission cases.

The Herald
10 hours ago
- The Herald
Parties support Nkabane's education vote, staying out of ANC/DA spat
The DA was warned against diverting attention away from the crucial matters of the higher education sector, with parties saying they refuse to be "swindled" into the DA's spat with the ANC. This follows a recent announcement that the DA intends to boycott the budget votes in departments led by controversial ANC ministers such as Dr Nobuhle Nkabane and Thembi Simelane, who leads human settlements. The DA has called for their axing. The fury of the GNU's second-biggest party was prompted by the ousting of their former deputy minister of trade, industry and competition, Andrew Whitfield, last week. However, parties say they will not allow the budget vote to stand in the way of the department's ability to continue with its functions. EFF MP Sihle Lonzi led the charge, saying that while they do not see eye to eye with Nkabane, they will not be hoodwinked by GNU's trouble in paradise. 'We are perplexed that the DA only discovered corruption when their deputy minister was fired. Before the firing, they were singing praises about the GNU, today they want to behave like an opposition. The people of South Africa are not stupid and can see through your lies. We are not going to waste time on this fake fight between the DA and the ANC. 'The DA will vote for this budget which funds each and every department, including the department of higher education and human settlements. The DA's narrative is a deliberate distortion at best and sheer ignorance at worst. The EFF has been at the forefront of confronting the crisis at higher education even when those who are making the most noise now stood on the sidelines.' The highly anticipated higher education budget vote took place in the mini plenary of the National Assembly on Thursday. Lonzi told the plenary the EFF will not fall for the propaganda of the DA that it can support certain budgets and not other departments, clarifying that the DA's stance is not going to be effective. 'There are four key budget votes in parliament. The first is the fiscal framework and revenue proposals which gives budget bills the blueprint and sets the economic policy direction, which the DA voted in support of. "The second is the division of revenue bill which deals with the appropriation of national and provincial government, the DA voted in support and it passed. "We are now dealing with the appropriations bill which allocates funds to government departments and programmes — the DA cannot cherry pick. Voting for the appropriation bill means approving the entire budget inclusive of all the departments.' Lonzi gave the minister seven steps to turn around the embattled education sector, which included the 'fixing' of NSFAS or complete removal of the controversial institution. 'You must rescue higher education from the collapse. There should be no reason NSFAS still struggles to pay students. We have about 19-million people on SASSA and an additional 9-million people receiving the R350 grant every single month. NSFAS only deals with an odd one-million students, why is there no efficient payment system that will pay students, institutions and accommodation directly?' He added that the minister ought to blacklist corrupt board members. 'You must clean up the SETAs. You must blacklist corrupt board members and CEOs, not this thing you are doing now where when someone is suspended in one SETA, you take them [into] another SETA,' he said. DA MP Karabo Khakhau who led the charge against Nkabane said she was not surprised by Nkabane's actions, saying that it is a result of the culture of the political party that has deployed her. 'To them, corruption is their daily bread. Living in a corruption-free South Africa is a threat against the very core of their existence. Unlike the other political parties who have today pledged their support to this budget under Nkabane, the DA has not forgotten about the people of this country. 'Our loyalty remains to nothing but the people. South Africa can count on the DA to fight for them and for justice against corruption. The real enemy of progress against young people is Nkabane - it is the ANC for protecting her and corruption, it is President Ramaphosa for refusing to fire her, it is the political parties that think R142bn is safe in the hands of Dr Nkabane.' She told Nkabane that she should voluntarily vacate office if she feels strongly about serving the young people of this country. 'Committing fraud under statutory offence under section 26 of the Powers, Privileges and Immunities of Parliament Act is not only spitting on the graves of the forefathers of this democracy, but it is spitting in the faces if the young people whom you've failed to lead. It is a spit in the face of your DHET staff that you have sacrificed at the altar of your own protection. 'You said that you are dedicating this budget to the memory of the fallen heroes and heroines of the PSET sector. So I dare you, do the right thing in honour of them and resign! Detox the department of the toxicity of your poor leadership, arrogance, effective allergy to honesty and commitment to no-one but yourself. You don't need to wait for President Ramaphosa to fire you, if you mean it that you are a servant of the leadership of the people, serve and be honest and resign.' Build One South Africa's Mmusi Maimane argued that the sector had bigger problems, adding that the starting point was to clear the air around Nkabane's alleged wrongdoing. 'On leadership, we can debate whether this is the right minister or not the right minister. The issue of whether the minister misled parliament needs to be brought to a parliamentary committee and an investigation must be sought so we can get to the bottom of this. It's not a violation of anyone's feelings, it's about a constitutional obligation which must be followed.' He added that the bigger picture is to understand that the ambition of freedom could not be delinked to the sector overseen by Nkabane. 'You cannot delink the ambition of freedom from the ambition of higher education. We focused on the intrinsic nature of education but we've never linked it to our economic outputs. When we derive a plan for what South Africa needs to look like in the future, we become clear about the kind of graduates that we want to produce. 'This department progressively oversees the number of black students declining who go into higher education, but students who are Asian and Indian are increasing. It tells you that our empowerment story has been delinked from higher education.' He urged the ministry to prioritise access to higher education to fully commit to the transformation of the country. 'From a capacity point of view, it's clear that infrastructure build in higher education is poor. We are talking about a shortage of 500,000 beds in this country. If we are going to see the doors of learning open, as is the ambition, we need to fund the capacity thereof. 'It's now common cause that NSFAS is not an efficient institution for managing how many students we want to get in. It's either we reform NSFAS or we shut out the middle man.' Rise Mzansi's Makashule Gana told the committee that he refuses to take part in the scandal and spectacle that has brought attention to the ministry. 'Education, especially higher education, is not a luxury, it is a path out of poverty and is the foundation of a prosperous nation. The department's R142bn budget is substantial but not enough, because our crisis is not just funding — its spatial, access, and a system that is failing the poor. "Nowhere is that failure more glaring than in NSFAS. I'm a product of it, many of us are, but what we see today is heartbreaking because hyenas and tenderpreneurs are circling what should be a lifeline for our students. That R95bn for NSFAS has to go to students, not middlemen.' Despite the minister conceding that there is a R1.4bn deficit in the universities' budget, she vowed that the NSFAS budget would 'not be sufficient to meet the growing demand for access to higher education". NSFAS funding sits at R48.7bn this year, with further increases planned in the coming years. Nkabane's budget covered key higher education sectors, detailing that TVET colleges are to receive R14bn, up from R13.1bn last year. The combined allocation for Sector Education and Training Authorities and the National Skills Fund is R26bn. Meanwhile, university education rises from R91.7bn in 2024 to R96bn this year alone. Nkabane said he will not dignify direct attacks and will focus on the task at hand: serving the people of South Africa.