Basic Income Grant Downloading, ANC Mulling Over Plans for More Support for the Poor, Treasury Has Final Say

• Plans to introduce a basic income grant similar to the one the government provided during Covid19 are at an advanced stage
• The surge in inflation has driven up the cost of basic essentials such as food and transport placing South Africans under increasing pressure
• However, questions are still being asked about how the government plans to fund a basic income grant on the scale required

JOHANNESBURG - During the Covid19 lockdown the government moved quickly to provide people with a R350 grant to help them when the country ground to a halt.

Now a new crisis is facing South Africans as consumer inflation explodes driving up the cost of basic necessities such as food and transport.

The ANC’s social transformation subcommittee, chaired by Lindiwe Sisulu, has said that they are ready to implement basic income grants to help the poor.

Read also

Cosatu calls for ruling party to pay its staff during ANC policy conference, says it supports striking workers

Sisulu said that her committee is just waiting for the treasury to give its verdict on the plan. The committee and treasury have had several meetings about how to roll out the grants.

The idea behind the grant is to be able to give those people who are unable to support themselves some assistance from the government according to eNCA.

The Daily Maverick reported that the grant is not meant to provide a decent lifestyle but to provide some basic assistance. However, Business Unity South Africa (Busa) and Business Leadership South Africa (BLSA) believe that the planned grant is unaffordable.

Social media users took to the internet to share their ideas on the basic income grant

@regoworld:

"Increase VAT to fund the basic income grant. Someone at treasury proposed this as a solution? Tax the poor more to give them grants…did people in the room clap and acknowledge it as a great idea? ."

Read also

ANC unpaid workers disrupt "pricey" Nasrec conference, Pule Mabe says funds were not cleared on time

@kaseke_lazarus:

"There is a talk of a basic income grant for people from 16 to 60(5) years of age.

Where will the money come from? More tax would have to be paid by you on me either through VAT or tax on the wealthy."

@markcarolissen:

"Dear @ANC your plans are backward and really stupid. Your lack of thinking shows. Instead of working to grow our economy to make it competitive you come up with antiquated ideas. #ANC revives plans for wealth tax to fund basic income grant."

"A ticking time bomb": SA dismayed as unemployment rate rises to 35.3 per cent

Earlier, Briefly News reported that South Africans are facing a bleak reality following Statistics South Africa's (Stats SA) announcement that the unemployment rate has reason yet again in the fourth quarter of 2021.

The rate of joblessness went from 34.9% to 35.3% from October to December 2021. This translates to 7.9 million in South Africa who are without work.

Read also

Smart Mzansi man capitalizes off long Home Affairs lines, rents out plastic chairs to people for the day

The latest Quarterly Labour Force Survey was released on Tuesday, 29 March and shows that an additional 270 000 individuals became jobless in the last quarter, according to SABC News. On the bright side 262 000 people found employment in the fourth quarter and that brought the employment stats to 14.5 million employed individuals in South Africa.

Source: Briefly News