Cape Town - Opposition parties tore into the Appropriation Bill for the 2022/23 financial year when it was tabled in the National Assembly on Tuesday.
In its report, the standing committee on appropriation said the consolidated government expenditure amounted to R2.2 trillion in 2022/23, R2.2 trillion in 2023-24 and R2.3 trillion in 2024/25.
The committee noted that additional allocations were made for several priorities that could not be funded through reprioritisation.
It said it was encouraged that the government was able to fund some of the priorities like the extension of the special Covid-19 social relief of distress grant, the continuation of bursaries for students benefiting from the Student Financial Aid Scheme, and to fund the presidential employment initiative.
Speaking during the debate, ANC MP Sfiso Buthelezi said: “This budget is redistributive and is pro-poor.”
DA MP Dion George said the budgetary process was fundamentally flawed and did not ensure the people’s money was spent in the best possible way.
“The Financial and Fiscal Commission has advised that their recommendations were not properly taken into consideration especially in the rapid rising debt, endless bailout to SOEs and systematic corruption in the public financial system,” George said.
He charged that the national government did not have the R1 billion relief it promised after the KwaZulu-Natal floods and that the R350 grants had not been paid to the most vulnerable.
“The government has run out of money and no amount of borrowing can fix what the ANC has broken.”
George took a swipe at the ANC-led government saying it believed a broken, incapable and bankrupt state could create jobs and economic growth.
“Are you really so far out of touch with reality?” he asked.
EFF’s Nazier Paulsen said the National Treasury’s austerity programme was not sustainable.
“All these budget cuts have an impact on the lives of our people,” Paulsen said.
He listed areas where he claimed there were budget cuts in various departments.
“We need to do away with rubber stamping the Treasury's budget and look at the needs of our people to pass an Appropriation Bill that will change the lives of our people,” Paulsen said.
But IFP chief whip Narend Singh said it was telling that austerity was not written in the budget.
“It appears our government is unable to trim the fat when it comes to superficial items that do not serve the greater population. What is even more telling is the fact that development priorities and building a capable state, eradicating poverty and closing the gap of inequality is not embedded within this Appropriation Bill,” Singh said.
Freedom Front Plus’ Wouter Wessel said the budget was not geared towards a developmental state.
Wessels said the VIP services budget has increased by 8% but that of the SAPS increased by 4.5%.
“How is that the correct priority? R3.5bn spent on VIP while people are murdered and hungry. That is why we reject this budget,” he said.
ACDP chief whip Steve Swart said of great concern was that two-thirds of the municipalities were in financial distress and required assistance from the National Treasury.
“Out of the 357 municipalities in the county, about 170 are in dire financial distress and need the Treasury’s involvement,” Swart said.
Acting Finance Minister Mondli Gungubele said it was their agreement that spending by the government should be to the benefit of all South Africans and protect the most vulnerable.
Gungubele said there have been budget votes where departments outlined how their spending plans would realise their priorities.
“We now stand ready to approve this Appropriation Bill. What is proposed is appropriation of money from the National Revenue Fund for the requirements of the state,” he said.
He took a swipe at the parties for saying the government had no clue what it was trying to do and listed some of the interventions that have been undertaken.
Gungubele dismissed that the budget has austerity measures and insisted more than 52% of the budget went to social wages.
Cape Times