South Africa\'s GNU Budget Passes With Slim Majority After Marathon Session

SA Budget Passes

Finance Minister Enoch Godongwana's budget passed by 219 votes to 207 in a joint sitting of parliament that lasted until 03:00 this morning, following intensive behind-the-scenes negotiations within the Government of National Unity.

The budget maintains a R54 billion social relief grant extension, raises the VAT rate to 16% from May, and allocates R280 billion over three years to infrastructure spending.

Rating agencies Moody's and Fitch have both signalled that the fiscal discipline shown could support a return to investment-grade status within 24 months.

This article was reported by the AfriDevMonitor editorial team. Additional reporting contributed by our correspondents in Addis Ababa, Nairobi, Lagos, Johannesburg, and Cairo.