Cabinet has affirmed its support for the 2025 National Budget tabled by the Minister of Finance on Wednesday, 21 May 2025, which details key spending priorities over the next three years within the country’s fiscal envelope.
Speaking during a post-cabinet briefing, Minister in The Presidency Khumbudzo Ntshavheni said the National Budget has demonstrated government’s commitment to fiscal discipline.
“We have shown that we are steering the economy in a way that looks after the most vulnerable in our society, while investing in economic activity through investment of R1 trillion towards infrastructure over the coming three years.
“This pro-poor budget, means on every Rand, 61 cents of consolidated, non-interest expenditure funds will be spent on free basic services like electricity, water, education, healthcare, affordable housing, as well as social grants for those in need,” the Minister said in Cape Town.
Finance Minister, Enoch Godongwana, returned to Parliament last week to re-table the 2025 Budget Review.
This decision follows the Minister’s recent announcement and subsequent request to the Speaker of the National Assembly to maintain the Value-Added Tax rate at its current level of 15 percent, reversing the previously proposed 0.5 percentage point increase presented in the 12 March budget.
The National Treasury previously said that the revised budget will adhere to all established technical processes and consultations as set out in the Money Bills and Related Matters Act.
This includes formal consultations with the Financial and Fiscal Commission, thorough consultations with all political parties within the Government of National Unity as well as Cabinet approval before presentation to Parliament. – SAnews.gov.za
