News

LIVE | Ramaphosa responds to budget debate amid Phala Phala row

Simon Majadibodu|Updated
President Cyril Ramaphosa is set to respond in Parliament after MPs used the Presidency’s budget debate to intensify criticism over the Phala Phala scandal.

President Cyril Ramaphosa is set to respond in Parliament after MPs used the Presidency’s budget debate to intensify criticism over the Phala Phala scandal.

Image: File / Presidency ZA / X / Supplied

President Cyril Ramaphosa is currently responding to the debate of the Presidency’s budget vote, after MPs heavily criticised him on Tuesday over the Phala Phala scandal, with some saying he still owes the public answers.

On Tuesday afternoon, Ramaphosa delivered the Presidency’s Budget Vote in the National Assembly.

Among other things, he said the government will invest R1 trillion over the next three years to drive economic growth and create jobs.

This comes as South Africa’s unemployment rate rose to 32.7% in the first quarter of 2026, up from 31.4% in the previous quarter.

“Over the next three years, the state will be investing R1 trillion in building and refurbishing roads, dams, schools, hospitals and clinics, as well as energy, logistics and transportation infrastructure,” he said.

Ramaphosa also issued a stern warning to corrupt public servants, saying their days are numbered and there will be no tolerance for officials who abuse public resources for personal gain, regardless of their rank or political affiliation.

He said a key focus area is the South African Police Service (SAPS) and the Madlanga Commission 

“We look forward to receiving the final report of the commission of enquiry into criminality, political interference and corruption in the criminal justice system, which is chaired by Judge Mbuyiseli Madanga.”

The commission resumed its public hearings on Monday after a two-week recess to prepare its second interim report.

Ramaphosa received the commission’s second interim report on Friday, May 29, 2026, and is studying its findings while the inquiry continues its hearings.

“Those who abuse public resources for private gain betray our constitution. They undermine development and steal from the poor in our country.”

“There will be no tolerance for corruption, regardless of position, status or political affiliation,” he told MPs.

He also issued a stern warning to corrupt public servants saying their days are numbered, and there will be no tolerance for officials who abuse public resources for personal gain, regardless of their rank or political affiliation.

Ramaphosa who also serves as ANC president, recently dismissed one of his party colleagues and Cabinet ministers.

He dismissed Sisisi Tolashe as Minister of Social Development following allegations linked to the receipt of luxury vehicles from Chinese officials intended for the ANC Women’s League, the extension of a director-general’s contract, the appointment of a 22-year-old acting chief of staff, and claims that a state-funded food aide worked at her private residence in the Eastern Cape rather than at official government residences.

He also said illegal immigration places pressure on public services and undermines efforts to create decent work for all, adding that the government is cracking down on violations of immigration laws.

These remarks come amid ongoing protests targeting illegal foreigners in parts of the country, particularly in KwaZulu-Natal and Gauteng.

“As we work to build a safer, more stable and more prosperous society, we do need to address the challenge of migration.”

“When it is well managed and regulated, migration can help to drive economic growth and opportunity for all. However, we need to deal with illegal migration.”

He said illegal immigration places strain on government services.

“We have seen how illegal immigration into our country can put pressure on our public services and undermine our efforts to create decent work for all.”

“As announced in the State of the Nation Address, the government is taking decisive action to address this challenge. We are cracking down on violations of immigration laws.”

After Ramaphosa concluded the budget speech, MPs debated his address, with tensions flaring as much of the discussion centred on the Phala Phala matter.

The Section 89 impeachment inquiry is also expected to feature prominently in parliamentary proceedings. The committee will be chaired by Rise Mzansi MP Makashule Gana.

It will examine issues relating to the theft of $580,000 allegedly hidden in a sofa at Ramaphosa’s Phala Phala farm in Limpopo in February 2020.

The 31-member committee will reassess the Phala Phala report and scrutinise allegations against the president. It includes members from 16 political parties represented in Parliament.

Ramaphosa has recently approached the Western Cape High Court to challenge the independent panel report, which found he may have violated the Constitution and abused his position. He is seeking to set aside the report, particularly the section recommending that Parliament consider impeachment proceedings against him.

The report, compiled in 2022 by an independent panel chaired by former Chief Justice Sandile Ngcobo, found there was prima facie evidence that Ramaphosa may have committed serious misconduct linked to the Phala Phala scandal.

Debate on the Presidency’s budget vote was dominated by accusations over the Phala Phala scandal, calls for accountability, and concerns about unemployment.

Debate on the Presidency’s budget vote was dominated by accusations over the Phala Phala scandal, calls for accountability, and concerns about unemployment.

Image: IOL

African Transformation Movement (ATM) leader Vuyo Zungula, who has been vocal on the matter, said the budget speech repeated promises made since 2018 that have not delivered results.

“Instead the country's worse off when it comes to unemployment, crime, economic growth and other indicators.”

Turning to Phala Phala, Zungula said the president owes the nation answers on the controversy.

“You claim to be innocent on Phala Phala, yet you don't want an inquiry where you can clear your name with evidence. Mr. President, you've always said you are a student of the great Tata (Nelson) Mandela.

“The Palapala scandal broke out in 2022 and it was not by your doing. It took a whistleblower to inform the South African citizens about what transpired. From 2022 up until now, there are more questions than answers. Surely, Mr. President, you owe the people of South Africa answers.

“Let me tell you why we want the truth and answers on Palapala. You are the head of state with powers over the entire state. Whatever bills that are passed in Parliament need your signature to be law.

“You appoint judges that adjudicate on judicial matters concerning the people. You appoint ministers that preside over the affairs of the people. You represent the country in international engagements.

“If enemies attack South Africa, you are the only person that can declare war on those enemies. We want to satisfy ourselves that, as you hold that powerful office of being head of state, you are not under any foreign, corrupt or criminal network influence.”

He said the public needs assurance that the president acts solely in the national interest.

“Having undeclared foreign currency to the tune of millions for buffaloes that were never collected and having a wrong investigation when those dollars are stolen raises questions which have never been answered.”

Build One South Africa (BOSA) leader Dr Mmusi Maimane said Parliament should not spend excessive time in courts on the Phala Phala matter.

“I believe Parliament has a job and Mr. President, in your innocence, I believe you need to appear before the committee and set the record straight. When President Zuma was fighting the state, we spent 30 million rands.”

“And I would say, Mr. President, if you want to go to court, which is your right, then maybe pay for the legal fees yourself.”

MK Party MP Andile Mngxitama also weighed in, questioning the origins of the foreign currency found at the Phala Phala farm.

“President, you must still tell the nation how American dollars arrived in the country. Did they come through OR Tambo International Airport or did they jump the Limpopo River on the back of a crocodile?" he asked.

He further alleged that Ramaphosa was implicated in criminal conduct and said he would not survive the impeachment process.

“Mr Ramaphosa, you will not survive the impeachment committee. There is no safety in the so-called GNU numbers. The GNU will not provide protection. It will be you standing alone before the committee, answering for the wrongdoings committed in your name," he said.

Ramaphosa is expected to reply to the debate in Parliament at 2pm on Wednesday.

simon.majadibodu@iol.co.za

IOL Politics