R350 grant is staying
Finance Minister Enoch Godongwana has indicated that the government would not drop the R350 social relief of distress grant without providing a replacement for it.
“We are under no illusion that you can drop the SRD without a fundamental replacement – hence we are discussing a comprehensive social security system.
“The elements of that are social assistance, social insurance and active labour market policies,” Godongwana said.
The minister said that for the comprehensive social security system to happen, careful consideration should be given of the various trade-offs, reports IOL.
“As things stand, there is a bucket of interventions we are making for the poor,” he said, adding that when consolidated it amounted to R200 billion.
“Those are to be trade-offs we are going to talk about,” he added.
Godongwana made the statement during a debate in the National Assembly on Wednesday when this year’s fiscal framework and revenue proposals, as well as the report of the standing committee on finance, were considered.
Responding to questions about when they would implement the ANC resolution on a basic income grant after the disappointment of not increasing the SRD grant, Social Development Minister Lindiwe Zulu said her department was working with Godongwana and the National Treasury to ensure the grant was increased.
She added that it would be better for the country to have the basic income grant, so that people had something to rely on.