South Africans cannot be force-fed a status quo budget when Finance Minister Enoch Godongwana tables the 2025 National Budget before Parliament tomorrow.
Build One South Africa (BOSA) today calls on Minister Godongwana to resist a budget that signals no positive change, and instead boldly prioritize economic growth, job creation, and fiscal responsibility to kickstart progress and change.
It would be irresponsible of the Minister – and the government – to ignore or misread the national mood. It is one of struggle and a great thirst for change. Some South Africans are barely getting by, others are not. The cost of living is soaring. Whether it be food, transport, electricity, school fees, or bond repayments and rent, citizens are in a tight bind.
The April 2025 Household Affordability Index reports that the basic food basket now costs R5,420.30, while a third of petrol prices are made up of government taxes and levies. Household debt is rising, inflation is driving up bond and rental costs, and economic growth remains stagnant.
The choices made in this budget must reflect the urgent realities of our people. Our fiscal and spending priorities must not serve political convenience but the fundamental task of economic transformation, job creation, and social justice.
Budget to the People Initiative
Last week BOSA launched the “Budget to the People” initiative, a national mobilisation effort to bring the voices of South Africans to the centre of the 2025 National Budget process.
The primary tool for South Africans to make their inputs, submissions and suggestions was an online portal, asking citizens what they want to see in the national budget and providing space for detailed submissions.
The first results of this effort reveal a deep public hunger for real change, effective service delivery, and responsible governance.
- 71% of respondents want more funding for frontline services such as policing, basic education, public health infrastructure and municipal infrastructure.
- 69% of respondents want cost cutting in size and scale of government, including cuts to size of Cabinet, capping ministerial perks and reducing VIP expenditure, and merging or eliminating underperforming departments.
- 89% of respondents want the budget to focus heavily on job creation and economic growth, including linking budgets to performance outcomes in departments.
- 93% of respondents do not want an increase in VAT, income tax, or fuel levies, with a strong call to strengthen SARS to curb tax evasion.
BOSA’s Budget Expectations
Considering these responses, BOSA today sets out our expectations for tomorrow’s budget:
Fund economic growth that reaches at least 5% per year.
The President’s target of 3% is simply not enough. South Africa’s economy is currently shrinking at -0.3% per year, and investor confidence is at an all-time low. If we do not restore confidence, support businesses, and create real jobs, then no budget will save us from economic decline.
Last year, job creation was barely an afterthought. Only R22.2 billion, less than 1% of the budget, was allocated to it. This is woefully inadequate.
We are calling for a R100 billion Jobs and Justice Fund and the declaration of all townships as Special Economic Zones (SEZs) to unlock investment, grow small businesses, and provide real economic opportunities where people live.
Increase spending on infrastructure-led growth.
Infrastructure investment stands at only 14% of GDP, far below the 30% target set by the National Development Plan. Without strategic investment in roads, transport networks, energy, and water systems, we are choking economic expansion before it even begins.
You cannot run a business that creates jobs without water, roads, ports and transport infrastructure. This is centred around cities, which are the heartbeat of economic activity and growth, and includes the township economy.
Johannesburg paints the story of a city floating above crumbling infrastructure that makes conducting business near impossible. A government that does not invest in growth is a government that chooses decline.
No new taxes or tax increases.
South Africans are already overburdened by the high cost of living, rising fuel prices, and stagnant wages. Introducing additional taxes – whether VAT, income tax hikes or fuel levies – would place an insupportable strain on households and small businesses alike. Instead, government must focus on strengthening the South African Revenue Service (SARS) to improve tax compliance and curb rampant tax evasion.
Cut the national debt.
Debt is spiralling at R5.21 trillion -74% of GDP -and rising. The debt-to-GDP ratio has skyrocketed from 23.6% in 2008/09 to a projected 74.7% in 2024/25. This is a ticking time bomb that, if ignored, will condemn future generations to economic servitude. Government must learn to live within its means, not borrow recklessly at the expense of the people.
Cut Cabinet and all of its thrills and frills.
Cost-cutting measures in the size and scale of government are long overdue. This includes a drastic reduction in the size of the bloated Cabinet, the capping of ministerial perks, and a significant cut to wasteful VIP expenditure. We also propose merging or eliminating underperforming departments that have failed to deliver value to the public
Resist the urge to extend the Social Distress Grant indefinitely.
Social spending already consumes 60% of the budget. While short-term relief is necessary, long-term reliance is a trap. The best poverty reduction strategy is jobs, not endless grants.
Train and hire the personnel needed to deliver essential services.
This includes 120,000 additional police officers to strengthen ground capacity and ensure vital resources like vehicles, firearms, and forensic tools are well-managed and available where needed.
At the same time, government must prioritise employing the thousands of qualified but unemployed teachers and doctors. It is unacceptable that young South Africans dedicate years to training, only to find no available posts, while hospitals remain understaffed and classrooms overcrowded.
Conclusion
Tomorrow’s budget is a defining moment. Will it be business as usual, or will government finally make the tough calls. South Africans are watching closely, hoping for a turning point.
This is an opportunity to move away from the mismanagement of the past and chart a new course toward fiscal responsibility, economic growth, and a government that prioritizes the needs of its people.
Roger Solomons – BOSA Acting Spokesperson – 072 299 3551