By Thapelo Molefe
The uMkhonto weSizwe Party (MK Party) has filed a Motion of No Confidence against Finance Minister Enoch Godongwana, citing what it describes as his “reckless mishandling” of the Value Added Tax (VAT) matter.
In a media statement on Friday night, the MK Party announced it had submitted the motion to the Speaker of the National Assembly, following what it called “decisive” calls from its leadership for Godongwana’s resignation.
The MK Party criticised Godongwana for failing to provide leadership and clarity on VAT, accusing him of causing confusion in financial markets and hardship among poor and working-class South Africans.
The party condemned the minister’s preference for a VAT increase over alternative measures such as wealth taxes or taxes on luxury consumption, describing the VAT hike as “the most regressive and anti-poor option.”
“Minister Godongwana’s decision has entrenched uncertainty in an already fragile economy,” said the party’s national spokesperson, Nhlamulo Ndhlela.
“It disproportionately punishes the working class, the unemployed, and the poor majority.”
Ndhlela further accused the minister of making contradictory public statements and showing a “lack of transparency” as well as a “disconnection from the lived experiences” of ordinary South Africans.
“The Finance Ministry cannot be entrusted to an individual and his GNU deputies, who demonstrate such disregard for progressive fiscal alternatives that ought to address the socioeconomic realities faced by our people,” Ndhlela said.
Ndhlela also asserted that the MK Party had previously halted a VAT increase since its emergence on the political scene, claiming it played a part in reducing the ANC’s dominance below 40% in Parliament, thereby weakening the ruling party’s ability to pass “punitive budgets” without broader consensus.
Calling on all Members of Parliament to support its motion, Ndhlela said the MK Party is “the only political force truly representing the interests of South Africa’s economically marginalised communities.”
“South Africa deserves a Finance Minister who prioritizes the interests of the people over those of capital interests,” Ndhlela added.
The move against Godongwana comes shortly after the Finance Minister, speaking from Washington during the International Monetary Fund and World Bank spring meetings, stated that he would not resign despite mounting pressure.
Godongwana had announced a U-turn on a planned VAT hike, originally proposed to increase state revenue by raising VAT by 1% over two years.
The about-turn was seen as necessary to preserve the stability of the ruling coalition, but it also left a R75 billion hole in the country’s medium-term budget.
Godongwana defended his position, telling Reuters: “My job is to introduce money bills – nothing says they must be popular,” and acknowledged that reversing the VAT increase would have significant fiscal consequences.
The date for the debate on the Motion of No Confidence is yet to be announced.
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