MPs approve 2025 budget despite fuel levy hike
Parliament has passed the 2025 fiscal framework and revenue proposals following the budget speech by Finance Minister Enoch Godongwana last month.
At the centre of the debate on the budget was the increase of the fuel levy by 16 cents per litre on petrol, and 15 cents a litre on diesel.
The consideration in the National Assembly was passed with 268 votes from the ANC, DA and other national government of unity partners.
The MK Party and the EFF, with combined votes of 87, voted against the framework, saying the budget is not pro-poor.
All the nine provinces also voted in favour of the budget on Wednesday.
EFF MP Omphile Maotwe rejected the proposal and said the fuel levy hike should first be approved in parliament.
"The framework, adopted through procedural violations, seeks to increase the tax burden on the poor through a fuel levy hike and silent personal income tax increases.
"We will not accept taxation without representation."
Chairperson of the Standing Committee on Finance and ANC MP, Joe Maswanganyi, said the factors that led to the attempts of retabling of the budget were inevitable given the complexities that come with the coalition governments.
"For anyone calling for the minister’s head for the budget delay, is out of tune with coalition government dynamics all over the world.
"The committee notes the challenges presented by the 2025 budget in a constrained economic context marked by global risks stagnant growth and domestic structural issues.
"The budget priorities economic development and addresses the needs of the poor and vulnerable, all while promoting fiscal discipline and accountability."
The MK Party's Des Van Rooyen said Godongwana should have imposed a wealth tax instead of hiking fuel levy that will put more pressure on the poor.
ActionSA MP Alan Beesley said it voted in favour of the budget for the country to move forward.
"This fiscal framework is a GNU budget, and every party in the GNU must be held accountable if jobs continue to disappear and growth fails to materialise.
"ActionSA, as a pragmatic, constructive, consistent party, will support this fiscal framework, not because it is perfect, but because, as a country, we cannot afford any further delays,” he said.
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