Parliament gives Fiscal Framework and Revenue Proposals underpinning budget green light

CAPE TOWN - Finance Minister Enoch Godongwana has described the first budget cycle of the Government of National Unity (GNU) as a painful journey. 

But he’s standing by the second version of the budget he presented to Parliament three weeks ago, saying he believes he’s delivered an expenditure-and-revenue raising plan that is fiscally sustainable.

While opposition parties on Wednesday rejected the Fiscal Framework and Revenue Proposals that underpin the 2025 budget, GNU parties have come out in support of the revised budget, saying it is a product of compromises to achieve much-needed economic growth. 

This is a relief for Godongwana as his budget blueprint for 2025 has finally passed political muster. 

Godongwana has acknowledged it’s been a tough road that’s been paved by political contestation and legal challenges.

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“We’ve had a painful journey to arrive at this date, where the fiscal framework is being approved. Definitely from the Treasury perspective, we’ve drawn a number of lessons.”

Godongwana has rejected claims from the opposition that this is an austerity budget that’s not pro-poor. 

“If you look over the last four months, what we’ve been fighting about is not by how much we cut the budget, it’s about how much we are going to increase the budget and how we are going to fund that increase.”

The Fiscal Framework has been passed with 268 votes to 88.

Parliament's finance committees can now get to work scrutinising the money bills which apportion funding to municipalities, provincial governments and State departments.