Transparency is key, says ANC Secretary-General as election-year fiscal debates intensify
South Africa, May 5, 2025 β ANC Secretary-General Fikile Mbalula has stressed the ruling partyβs stance on delivering a pro-poor national budget, warning against any unexpected increases in Value-Added Tax (VAT) that could burden vulnerable South Africans.
Speaking ahead of crucial budget and policy deliberations, Mbalula made it clear that the African National Congress (ANC) does not support surprise tax changes, especially those that directly impact the cost of living for low-income households.
βIf VAT has to change, it must be through open discussion β not something that shocks people at the till,β Mbalula said, adding that the ANC remains focused on fiscal justice and inclusive economic recovery.
The statement comes amid growing public concern over rising food and transport prices, with many urging the government to shield the poor from economic strain. South Africa last raised VAT in 2018 β from 14% to 15% β a move that drew widespread criticism at the time.
With elections on the horizon, the ANC is under pressure to demonstrate that its economic policies prioritise the poor, particularly as unemployment and inequality remain critical issues.