Government Considers Extending Basic Income Relief

President Cyril Ramaphosa once again mentioned Basic Income Relief for vulnerable South Africans. This further motivates vulnerable South Africans that they will receive additional financial support, possibly in the form of a Basic Income Grant.

President Cyril Ramaphosa once again mentioned Basic Income Relief for vulnerable South Africans. This further motivates vulnerable South Africans that they will receive additional financial support, possibly in the form of a Basic Income Grant.

During his speech at the ANC national executive committee (NEC) virtual lekgotla over the weekend, the President said the following:

The lekgotla has agreed that, in the context of the continuing COVID pandemic, we need to consider the extension of basic income relief to unemployed people who do not receive any other form of state assistance.

There have been many bits and pieces on the possibility of a Basic Income Grant being introduced given by Government. The President along with Minister of Social Development, Lindiwe Zulu, have previously spoken optimistically about the grant. 

Zulu stated, "the BIG will result in most of the poorer individuals continuing to access the CoVID-19 SRD grant benefits."

Cyril Ramaphosa raised some hopes earlier this month speaking at the 109th anniversary celebrations of the African National Congress (ANC) where he said:

This year the ANC government, and broader society, will need to continue discussions on the desirability and the viability of a basic income grant to provide a social safety net to poor people in our country.

Whether this Basic Income will be in the form of an extension of the SASSA R350 grant or a completely new type of grant has not been made clear yet.

Should it be a completely new grant, the following was proposed:

  • This grant will be available to those aged between 18 and 59 who receive no income. 
  • The first groups who they will be targeting will be youth aged between 18 and 24 and the elderly aged between 50 and 59 as they were found to be the most vulnerable in the country. 
  • The Basic Income Grant could be set at a total of R500 per person who qualifies.

On other ways Government plans to improve the economy, Ramaphosa said that they will place the creation of jobs at the centre of their economic reconstruction and recovery plan as this is the, "most direct and effective way to respond to the hardship that many families are today facing".

 

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