Minister of Communications and Digital Technologies Solly Malatsi unveiled a bold financial lifeline for two struggling state giants in his 2025/26 budget, allocating R704 million to the South African Broadcasting Corporation (SABC) and a hefty R1.8 billion to the South African Post Office (SAPO). These allocations come from a broader R7.8 billion departmental budget presented to Parliament on July 11, 2025, aimed at stabilizing ailing institutions while pushing forward South Africaโs digital connectivity ambitions.
Breaking down the SABCโs share, R43 million is earmarked for program production, R464 million for core public broadcasting, and R197 million for Channel Africaโa key tool for projecting South Africaโs voice across the continent. Malatsi stressed the urgent need to rethink the broadcasterโs funding model, as TV licence revenue plunged from R815 million in 2022 to R687 million in 2024, all while operational costs climb.
This financial reshuffle follows Malatsiโs controversial withdrawal of the SABC Bill in November 2024, which he said failed to solve funding challenges and gave the Minister too much power over board appointments. In response, his department has issued a request for proposals to explore sustainable solutions.
The budget has sparked mixed reactions. Ian Cameron of the Democratic Alliance welcomed the funding but called for forensic audits to ensure transparency. Meanwhile, the Economic Freedom Fighters criticized the government for โpropping up failing entitiesโ instead of reforming them.
As the fiscal year unfolds, all eyes will be on whether this injection can rescue these iconic institutions or if deeper reforms are still desperately needed.