President Cyril Ramaphosa has reaffirmed his support for Finance Minister Enoch Godongwana despite recent criticism over the budget impasse. Speaking at the Workers’ Day rally in Mpumalanga on Thursday, Ramaphosa acknowledged that valuable lessons had been learned from the situation but made it clear that this did not warrant the minister stepping down.
Godongwana has faced mounting calls for his resignation from political parties such as the Economic Freedom Fighters (EFF) and the uMkhonto weSizwe (MK) Party, who argue that he has failed to manage the country’s finances effectively. However, the president has defended the minister’s position and confirmed that he would remain in office.
Last week, Godongwana reversed a proposed 0.5% increase in value-added tax (VAT), deciding to maintain the current rate at 15%. He is now expected to present a revised 2025 national budget on May 21, a decision he confirmed during a media briefing on Wednesday.
The finance minister also indicated that he has no intention of resigning, noting that such a decision would ultimately rest with the president.
In response to the ongoing criticism, Ramaphosa emphasised the importance of using the experience as a learning opportunity to improve the country’s budgetary processes, rather than placing blame on a single individual.
Looking ahead, Godongwana is expected to initiate a new round of budget consultations. These efforts come amid ongoing fiscal challenges, including declining revenue, escalating expenditure, high debt servicing costs, and increased political scrutiny.
Facebook Comments