Deputy President Paul Mashatile has defended the controversial National Budget approval, declaring that any fiscal plan ignoring marginalised communities “is not a budget that is for the people and must therefore be rejected.”
Speaking virtually at the Gauteng Investment Conference in Melrose Arch Thursday, Mashatile responded to critics a day after Parliament narrowly passed the fiscal framework with 194 votes for and 182 against.
“Fundamentally, ours is a commitment to enriching and transforming not only our economy but the lives of our people as well,” Mashatile said, arguing that the contentious budget process demonstrated South Africa’s functioning democracy.
The ANC-led Government of National Unity secured the budget’s passage without support from the Democratic Alliance, instead relying on smaller coalition parties including ActionSA, IFP, PA, GOOD, Rise Mzansi, UDM, PAC, Al-Jamah, and BOSA.
DA leader John Steenhuisen announced plans to challenge the budget in the Western Cape High Court, calling the parliamentary process “both unlawful and unconstitutional.”
“This VAT hike budget will make life more expensive for everyone, and the DA will go to court to fight for the interests of all South Africans,” Steenhuisen said, specifically criticizing ActionSA for supporting what he termed a “VAT hike to the ANC on a platter.”
The future of the Government of National Unity hangs in doubt following the budget division, with the DA’s continued participation uncertain after this major policy split.
The Deputy President maintained that South Africa remains “determined to achieve growth and provide a quality of life for all South Africans” despite the political tension surrounding the fiscal plan.
The budget controversy centers around proposed VAT increases that critics argue would disproportionately impact poorer citizens, while supporters contend the fiscal framework includes necessary compromises to fund essential government services.
