CAPE TOWN – Finance Minister Enoch Godongwana’s Medium Term Budget Policy Statement (MTBPS) has sparked a fierce political backlash, with opposition parties slamming the government’s downward revision of South Africa’s economic growth forecasts.
Delivering the budget update in Parliament on Wednesday, Minister Godongwana revealed that the national economic growth forecast for 2026 has been downgraded from 1.6% to a sluggish 1.2%. The announcement immediately drew fire from the Democratic Alliance (DA), which argued that the current trajectory is insufficient to address the country’s deepening unemployment crisis.
DA Member of Parliament Kingsley Wakelin labeled the growth figures “a non-starter” for job creation. “The DA believes that faster and more far-reaching growth reforms are now urgent,” Wakelin stated. “This is not enough to move the needle on unemployment. We need to implement bold reforms that extend beyond the National Treasury to reach a growth target of at least 3.5%.”
However, the criticism was not limited to growth targets; opposition benches accused the Government of National Unity (GNU) of weaponizing fiscal policy for electoral gain. The Economic Freedom Fighters (EFF) expressed strong skepticism regarding the timing of adjustments to the fuel levy. EFF MP Sinawo Thambo accused the Minister of manipulating the levy to boost the African National Congress’s electoral prospects ahead of local government elections scheduled for November 4.
“He is using it to ensure that he enhances his political party’s chances at the polls,” Thambo asserted. “Why wait until November 4 to adjust the levy downwards? It is a clear abuse of state power for electoral gain, and it is something that must be frowned upon.”
The uMkhonto weSizwe Party (MKP) joined the chorus of dissent, dismissing the entire budget speech as “rhetorical and a waste of time.” MKP MP Thulani Gamede suggested the Minister’s performance was less about governance and more about political survival. “The Minister was actually here to campaign for his own organization and their GNU,” Gamede said. “They don’t care about the livelihood of our people; they only care about winning in their corner so they can govern.”
Beyond political maneuvering, the budget also faced scrutiny for its perceived failure to address the rising cost of living. Dr. Wonderboy Mahlatsi, leader of the United African Transformation (UAT), argued that the statement lacked a comprehensive strategy to lower food prices for millions of struggling South Africans.
“While temporary fuel levy relief may reduce transport costs in the short term, there is no plan to strengthen local food production or expand land-based economic opportunities,” Mahlatsi noted. He argued that the budget fails to prioritize land reform, leaving disadvantaged communities without the structural support needed to achieve true economic transformation.
As the political fallout continues, the government faces mounting pressure to deliver a concrete plan that goes beyond macroeconomic adjustments to provide tangible relief for the average citizen.
Disclaimer: This content is auto-generated for informational purposes only.
Source: Read Original News
