New Grants to Replace R350?

By: Zilungile Mkhize

Finance minister Enoch Godongwana’s plans to propose the replacement of the Covid-19 social relief of distress grant of R350 with a family grant, is reportedly causing ructions in government.

Godongwana will present his first medium-term budget policy statement to Parliament on 11 November.

Media reports indicate that sharp differences regarding the proposal are said be the real reason for the postponement of the mini budget speech by a week, instead of proximity to the local government election date.

It also suggests that implementing this new grant has allegedly caused contention between the minister and president Cyril Ramaphosa.

If implemented, the family grant would do away with the R350 grant, a temporary provision of assistance for the unemployed and only be given to the head of the household for their basic needs.

At least 25% of the population live below the food poverty line of R561 per person per month, and depend on the social relief of distress grant.