The EFF, uMkhonto weSizwe Party (MK Party), the African Transformation Movement (ATM), Congress of South African Trade Unions (COSATU), and the Federation of Unions of South Africa (FEDUSA) have all expressed strong dissatisfaction with the 2025 National Budget, dubbed Budget 3.0, whic was tabled by Finance Minister Enoch Godongwana on Wednesday. 

The organisations, excluding COSATU, have vowed not to support the passing of the Budget in parliament. 

This after they criticised the Budget for its failure to address the country’s pressing issues, including unemployment, poverty, and inequality.

Godongwana tabled the reviewed Budget for the third time on Wednesday, confirming that Value Added Tax was scrapped, but announcing an increase in fuel levies for motorists. 

The EFF rejected the budget outright, describing it as “weak, misguided, and utterly disconnected from the lived reality of South Africans”.

The party’s concerns center around the massive expenditure cuts, particularly in essential sectors such as education, health, and social development. These cuts, the EFF argues, demonstrate a deliberate weakening of the state’s ability to deliver basic services.

The MK Party has gone a step further, filing a Motion of Censure against Godongwana and a Vote of No Confidence in President Cyril Ramaphosa. 

The party’s spokesperson, Nhlamulo Ndhlela, said the budget does not serve the poor and is a betrayal of the working class. 

“This budget is another exercise in political theatre, a desperate attempt to repackage failure,” Ndhlela said.

 The ATM said they regarded it as a compromise budget, lacking a meaningful strategy to uplift the over 30.3 million South Africans living in abject poverty. 

“This budget fails to address the urgent needs of the majority of our citizens and does little to improve their material conditions…It is evident that this budget prioritises the interests of the GNU partners, aimed primarily at appeasing their political allies rather than advancing the welfare of the most vulnerable in our society.”

COSATU, which is an ally to the ANC that leads the Government of National Unity (GNU) welcomed some progressive allocations in the budget but expressed concerns that it may not provide the necessary stimulatory effect for the economy. 

The federation also criticised the lack of adjustment in Personal Income Tax brackets for inflation, which could lead to workers paying higher taxes. 

FEDUSA, on the other hand, described the budget as “contractionary, disproportionately regressive, and structurally unjust,” arguing that it reproduces the same fiscal posture that has failed to create jobs and drive inclusive growth.

Parties inclusive of the GNU also raised concerns on the tabled Budget

The Inkatha Freedom Party (IFP) offered a mixed assessment of the budget, acknowledging the continued investment in frontline social services and infrastructure development.

 However, the party also noted serious shortcomings, particularly regarding the impact on the cost of living for the poor and working class. 

The IFP emphasised the need for a fiscally responsible, pro-poor, and jobs-focused approach to economic recovery.

Rise Mzantsi leader Songezo Zibi said that budgets were meant to solve problems. 

“The debate around budgets is supposed to be about the order of those priorities, and whether these allocations are sufficient or to be spent in an efficient manner. We never got a chance to have that discussion,” he said.

He said South Africa had a problem of the composition of expenditure with over R820 billion in salaries, over R440 billion in social grants and over R424 billion in debt service costs at R1.2 billion per day.

mashudu.sadike@inl.co.za

Source link