Social Development Budget: South Africa needs a permanent basic income grant, not more hurdles to jump over

17 July 2024

The GOOD party welcomes the Minister of Social Development’s commitment to a new Basic Income Support policy expected to be tabled this financial year, according to the Minister’s Budget Vote speech.

However, we caution against yet another temporary extension of the so-called SRD grant. It is an indignity for those dependent on the meagre R370 per month to live without the assurance that they will not be deprived of their basic income from April 2025.

In her budget speech on Wednesday, the Minister of Social Development announced the extension of the R370 until March 2025, stating that this would allow adequate time to finalise the Draft Policy on Basic Income Support, which will be tabled in Cabinet this financial year. 

This is unrealistic when about 9 million people rely on this for their mere basics to survive and places a heavy burden on South Africans who are trapped in poverty by no choice of their own. 

South Africa needs at least 5% - 6% economic growth to create employment that will meaningfully reduce the extreme poverty facing the country. What are people expected to do in the meantime while South Africa’s economy and job creation efforts fail to grow at the pace of population growth? 

Moreover, the department must urgently clarify the inference, made by the Deputy Minister in his Budget Vote speech, that it intends to link the SRD grant, or a new poverty alleviation grant, to some form of work-seeking conditions. 

The application process for a meagre R370 is already so burdensome, that it excludes millions who are in dire need and are entitled to social security. 

Any additional hurdle to accessing basic income support must be rejected. 

Providing for people’s basic needs is a Constitutional imperative. With the economy failing to generate jobs to provide peoples’ basic needs, this becomes the State’s responsibility. 

South Africans deserve the full social security overhaul promised by the leaders they depend on and as envisioned in the National Development Plan. Not annual extensions of R370 to survive on - topped with layers of promises of a better future. 

This responsibility rings especially true when South Africa is celebrating Nelson Mandela Day. While we as a nation give 67 minutes to those in need, our government must give meaning to Madiba's legacy and fulfill its duty to give 365 days a year to addressing the plight of the poor.

Issued by Brett Herron, GOOD Secretary-General, 18 July 2024