But the budget also provides more money for social welfare payments -- a key component of the ANC's policies and popularity. This expenditure will increase by 42 billion rand ($2.2 billion) over the next three years to keep pace with inflation and increase access for the eligible population, the treasury said. Excluding interest payments, about 60 percent of the budget went to fund social services, including public employees' salaries, he said. "Government is making the most out of very limited resources," he said, announcing tax hikes for 15 billion rand. In Cape Town, hundreds of people protested against expected budget cuts ahead of Godongwana's speech.

Source: Daily Nation February 22, 2024 04:00 UTC