DA leader John Steenhuisen has revealed that cabinet has not reached an agreement on the new budget.
Image: File
Democratic Alliance (DA) leader John Steenhuisen has revealed that no agreement has been reached on the budget between the key partners of the Government of National Unity (GNU), despite Cabinet green-lighting the new budget.
In a post on X on Tuesday, Steenhuisen said "Good afternoon, South Africa. Constructive discussions on the budget are ongoing. There is no agreement yet, but we are working towards a resolution by 12 March."
His statement came hours after the Cabinet released a statement on Tuesday that it was approved after a team led by Deputy President Paul Mashatile, with support from the National Treasury, tabled various options that led to them agreeing to it.
“With the conclusion of the Cabinet input process into the Budget, the Minister of Finance and National Treasury are now set to finalise the budget and table it before Parliament on March 12," their statement read.
Cabinet reportedly rejected the reworked Budget, this time without the 2% VAT increase. It argued that it would not work for the people.
The DA and other political parties in the GNU rejected the proposed VAT increase, saying this would worsen people's financial situation.
The budget was postponed last month after parties in the GNU failed to reach an agreement on the proposed VAT increase.
This led to several cabinet meetings called by President Cyril Ramaphosa in a bid to reach an agreement on the budget.
But Cabinet spokesperson Khumbudzo Ntshavheni has since responded to critics, saying the postponement of the budget was not because of party politics but rather a chance to allow further discussions on the matter.
IOL has sent a question to the DA. The story will be updated.
kamogelo.moichela@iol.co.za
IOL Politics
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