Unions have welcomed the proposed budget allocation for the Department of Health.

During his Budget Speech on Wednesday, Finance Miniter Enoch Godongwana said health spending will increase from R277 billion to R329 billion by the 2027/2028 financial year.

An additional R28.9 billion will go towards retaining the 9 300 healthcare workers and employing 800 post-community service doctors.

The South African Medical Association Trade Union (SAMATU) had taken its grievances to the Finance Minister earlier this year as over 1 500 newly graduated healthcare professionals were unable to find employment.

SAMATU President Dr. Cedric Sihlangu says although approximately 800 of the 1 500 unemployed doctors will be absorbed in the system, they are afforded an opportunity and there still remains hope for the others.

“We are particularly happy with the R28.9 billion to the healthcare budget to address the ongoing unemployment crisis faced by many. We believe it’s a step in the right direction. SAMATU has been very vocal on the unemployment while the health care system of these skills. This the beginning of the turning tide of the healthcare. This is necessary intervention given governments intention to implement NHI.”

The South African Medical Association Trade Union (Samatu) has welcomed the budget allocated for the Department of Health. https://t.co/d4Twmugvuo pic.twitter.com/uR3nQA1pa6

— SABC News (@SABCNews) March 14, 2025

The Islamic Medical Association says while it welcomes the proposed budget allocation for health, it will be crucial that these funds are used in a manner that will improve the lives of the poor.

Islamic Medical Association’s Dr. Faisal Suliman says, “We understand the constraints on the budget given the expenditure and limited income and the fact that government also has to make up the shortfall that previously it was part of the United States in the terms of soft power and political leverage in terms of funding HIV and other health care programmes.

The fact that this now has to be funded is putting a lot of strain on the health budget but we also know that management is crucial in ensuring that the funds are allocated in and used in a way that it will deliver to the poor,” says Suliman

This is how Godongwana’s allocated money should be spent.

#Budget2025 | BUDGET SPEECH HIGHLIGHTS: HEALTH AND EDUCATION

During the budget speech on Wednesday (12 March 2025), the Minister of Finance, Enoch Godongwana made several proposals to enhance inclusive economic growth and to further repair and strengthen state capacity to… pic.twitter.com/GTPyqteq9p

— South African Government (@GovernmentZA) March 14, 2025

“Health spending will grow from R277 billion in 2024/25 to R329 billion in 2027/28 to support the equitable provision of public health services, including free primary healthcare. Like in provincial education, a significant portion of the provincial health budget is spent on the salaries and wages. R28.9 billion is added to the health budget, mainly to keep about 9 300 healthcare workers in our hospitals and clinics. It will also be used to employ 800 post-community service doctors, and to ensure that our pharmacies do not run out of medicines.”

Meanwhile, critics have raised concern that that financial mismanagement continues to divert resources away from frontline medical staff.

Budget Speech 2025