By Simon Nare
Minister in The Presidency Khumbudzo Ntshavheni has accused the Democratic Alliance of using its position in the Government of National Unity to wage a war to reverse transformation gains.
Ntshavheni told journalists in a post-Cabinet media briefing in Cape Town that DA ministers were part of the executive that signed off on the budget options, which all gave Finance Minister Enoch Godongwana the go ahead to hike value-added tax to raise funds.
She said in the last Cabinet meeting on 3 March, all ministers were satisfied with the final budget that removed the initial two percentage point increase, and introduced mitigating factors such as no fuel levy increase as well as a focus on economic growth.
“All of us, with no exception, we agreed on the options that were being tabled. And the options that were being tabled there was no option that did not have some sort of VAT increase.
“And we said, given that all the options have the VAT increase, we are then mandating National Treasury to consider what is then the best option that does three things,” said Ntshavheni.
These three areas focused on maintaining fiscal discipline and the fiscal framework, funding economic growth and mitigating the impact on the poor and the middle class
The minister said that DA leader John Steenhuisen was now raising issues that had nothing to do with the budget.
She was reacting to reports that Steenhuisen said the DA was not supporting the budget to hit back at the ANC for the signing off on the Expropriation Act.
She said that even during discussions around the budget, the DA brought up matters that were not related to it. However, she did not specify what issues were raised by the DA.
“You cannot hold the country at ransom on the budget because you have got other political things to deal with. And we have tabled the budget as the Cabinet as we are required by the PFMA (Public Finance Management Act) to the National Assembly,” she said.
She added that as National Assembly Speaker Thoko Didiza has indicated, the budget would now be referred to various committees to deliberate on it before it is brought back for debate in the house.
She revealed that should the budget be rejected by the National Assembly, the government could use the budget from the previous financial year until a new budget was passed as provided by the PFMA.
But Ntshavheni stressed that the DA’s rejection of the budget had sinister motives that had nothing to with the budget.
“Their (DA) issue with VAT has nothing to do with their interests in protecting the poor. Their issue with VAT is because they are always interested in making sure that we don’t achieve the transformation gains this country has set themselves to,” she said.
She added that the DA held grudges on the Basic Education Laws Amendment Act, the National Health Insurance Act and the Expropriation Act, all of which she said were progressive laws aimed at transformation.
“It’s about those gains that have been registered that they want to reverse and to reverse those gains they will start with the Expropriation Act. So South Africans should not be fooled that when the DA says that they are opposing the VAT increase. Everybody had signed on the VAT increase and said let’s mitigate and let’s get those growth things.
“And those things that we said must be done had been done, but now the DA wants to hold the country at ransom because they want to reverse the Expropriation Act that reverses the fundamental sin to the struggle for free South Africa,” she said.
Ntshavheni said the DA was fully aware that the implementation of the Act would be in line with the Constitution because South African always abided to the rule of law.
“So, the DA opposition to the budget is not about VAT increases, it’s about reversing the gains of transformation, it’s about anti-poor, it’s about anti-middle class, it’s about the Expropriation Act.,” she said.
Ntshavheni said that in a meeting on Wednesday, Cabinet, which included DA ministers, welcomed the budget, with the executive noting that it maintained a balance between the fiscal framework and funding the priorities of the 7th administration.
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