GNU expected to give 2026 Budget Speech the nod

Experts at auditing firm Deloitte expect less infighting in the Government of National Unity (GNU) ahead of this week's national budget.

This comes as concerns mount over how the GNU parties can agree on fiscal priorities this year after a tough start to the 2025 budget.

Last year's budget was marked by disagreement over Treasury’s proposal to increase VAT initially by two percentage points and then by one percentage point over two years.

Deloitte Africa Government and Public Services Leader Greg Rammego said the Medium-Term Budget Policy Statement in November was a sign of better times ahead, proving to be a milestone in a year marred by economic uncertainty.

"The GNU, as much as they started wobbly with Budget 2025, had to find each other and I think indeed, they have found each other."

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Between the 2025 national budget and mini-budget, numerous initiatives were placed in the spotlight, including Operation Vulindlela, which is meant to accelerate the implementation of structural reforms and support economic recovery in multiple key sectors.

The energy and logistics sectors have seen some of the biggest wins, rebounding on the back of partnerships between the private and public sectors.

Rammego said the question is no longer whether reform is happening, but whether the country can sustain the momentum required to turn early gains into lasting progress.

"The reforms that they've been busy with are probably also going to help us with their economic goals the reforms in the fiscal strategy and so on. The fact that there's alignment on inflation, the fact that there's there has to be more expenditure around direct expenditure around, capital investment, there has to be much concerted effort around savings and dealing with inefficiency through this targeted initiative they have around reducing inefficiency, and so on."

Finance Minister Enoch Godongwana will deliver Budget 2026 on Wednesday.