IFP & UDM highlight points Godongwana 'missed' in his Budget

Several relief measures were also included in the budget – this will see no increases in personal tax – the fuel and the road accident fund levies.

Image: Screengrab of Finance Minister Enoch Godongwana delivering the Budget Speech from SABC feed on YouTube, 23 February 2022

JOHANNESBURG - Opposition parties praise Finance Minister Enoch Gondongwana’s Budget Speech but said he missed an opportunity to decisively deal with state-owned enterprises that were crippling the economy.

Gondogwana, in his maiden speech on Wednesday, announced that most of the government’s spending would be allocated towards social spending, which would include social development and basic education.

Several relief measures were also included in the Budget, this will see no increases in personal tax, and the fuel and the Road Accident Fund levies.

The IFP said Gondongwana had matched some of its expectations when it came to the division of local government revenue as the minister allocated R30.7 billion to municipalities.

The party’s deputy president Inkosi Mzamo Buthelezi has raised questions about the government’s continued commitment to assist Eskom.

"As much as he pronounced that we would no longer bail them out, he failed to mention that Eskom will continue to get some allocation until 2025. And we were expecting him to announce a very bold decision of the government to begin a process of selling these underperforming entities."

Meanwhile, the UDM’s Nqabayomzi Kwankwa said the minister touched on all the relevant issues but that his party disagreed with the government’s decision to reduce corporate tax.

Kwankwa also shared his thoughts on the government’s commitments to its own ideas of using infrastructure to grow the economy.

"I'm not too sure if they have actually put a plan forward here to talk about infrastructure growth and how that is going to be done in the next couple of years, especially when the private sector continues with its investment where it doesn't invest in the economy."