Cosatu calls on Treasury to expedite R39bn fiscal relief package

On Wednesday, Treasury announced that the relief measures would cost about R39 billion, which would not require borrowing.

Finance Minister Tito Mboweni delivers his Budget speech in Parliament on 24 February 2021. Picture: GCIS.

JOHANNESBURG - Trade union federation Cosatu has called on the National Treasury to expedite the R39 billion fiscal relief package meant to assist workers and businesses affected by the recent looting and the COVID-19 pandemic.

The organisation, which has been critical of Finance Minister Tito Mboweni for years now, has also praised the interventions outlined by the finance department.

On Wednesday, Treasury announced that the relief measures would cost about R39 billion, which would not require borrowing.

Cosatu has expressed satisfaction with the package, which comprises proposals it sponsored at the National Economic Development and Labour Council (Nedlac), among others.

National Treasury on Wednesday announced that R36.2 billion of the total package would be funded through new spending by Treasury as a result of higher-than-expected tax collections.

South African Revenue Service (Sars) Commissioner Edward Kieswetter: "We have had the best first quarter revenue collections over the last three years, which means that better than last year but also the preceding first quarter of the year which augurs very well for us in terms of beginning to gain the momentum of revenue collections activities."

The funds will go towards the R350 social relief grant, support for non-insured businesses, additional budgets of R700 million and R250 million for the army and police respectively among others.

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