WC govt to fund its budget shortfall for next 3 years from its reserves

CAPE TOWN - The Western Cape government said that its doors will remain open irrespective of whether the national government passed its budget or not.
 
Government of National Unity (GNU) partners have not reached a consensus on the national budget, which was tabled two weeks ago.
 
The budget, which was initially scheduled for 19 February, was postponed after some parties in the GNU disagreed over raising the value-added tax (VAT).
 
Opposition parties have also criticised National Treasury for hiking VAT by two consecutive increases of half a percentage point.
 
While tabling the Western Cape budget on Thursday, Finance MEC Deidré Baartman, reiterated the DA's position that increasing VAT was not a solution.
 
"Our focus must remain on accelerating economic reforms, eliminating wasteful expenditure and reprioritising spending, especially as provinces collectively are bearing the burden of sustaining critical frontline services like health, education, and social support without over burdening residents."
  
Baartman added that the province would need to fund the budget shortfall for the next three years from its own money.
 
"In order to maintain stability and service delivery while navigating fiscal pressures, the Western Cape government will step up and will supplement our budget with R3.215 billion in 2025/26, R1.584 billion in 2026/27, and R796.832 million 2027/28 from our provincial reserves."