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Jeff Radebe on the latest income study

The minister believes policymakers & academics should use the data to help govt invest & eradicate poverty.

Minister in the Presidency, Jeff Radebe. Picture: GCIS.

JOHANNESBURG - Minister in the Presidency Jeff Radebe says policymakers and academics must use data available from the latest National Income Dynamic Study to help government invest wisely and eradicate poverty.

Radebe released the findings in Pretoria yesterday, which form part of government's initiative to provide an enhanced understanding of the socio-economic dynamic in South Africa.

One of the main findings from the National Income Dynamic Study is that 75 percent of the poor people surveyed in 2008 remain in that position, the rest are either exiting poverty or now living in severe poverty.

Radebe says what they've learnt is that income from government grants act as the main trigger for an exit from poverty.

But the majority of people who were tracked seven years later, again appear to be trapped in poverty and policy interventions are needed to address the structural issues within the economy.

At the same time, the study shows that the middle class in South Africa now makes up only about 15 percent of the total population, with black people now outnumbering whites by about two to one.