South Africa’s Budget Crisis: A Deepening Divide in the Government of National Unity
South Africa’s budget crisis has led to a rift within its Government of National Unity, with the ANC seeking to raise taxes on the poor for social services and the DA pushing for public spending cuts. The situation reflects a failure to adapt to economic realities and a stark contradiction in policy direction, leading to protests and calls for better taxation methods that do not burden the working class further.
On March 1, 2025, in New Delhi, Pavan Kulkarni reports that South Africa’s Government of National Unity (GNU) is facing a budget crisis, with the African National Congress (ANC) advocating for increased taxes on the economically disadvantaged to fund social programs, while the Democratic Alliance (DA) favors reductions in public expenditure. This discord highlights a significant issue as the government failed to present its inaugural budget since the end of apartheid, revealing serious contradictions in their economic policies.
The budget crisis in South Africa has uncovered the deep ideological divide within the Government of National Unity, showcasing the ANC’s reliance on neoliberal approaches and its shifting alliances with the DA. There is increasing pressure from various stakeholders, including labor unions and political factions, advocating for alternatives that align better with the needs of the working class. Ultimately, the situation underscores the necessity for a united effort to address economic disparities and uphold social responsibilities.
Original Source: indepthnews.net
