A GOVERNMENT THAT LISTENS AND ACTS: PROGRESS ON BASIC INCOME SUPPORT POLICY

By Cuma Pantshwa

• The Department of Social Development is well on its way to realising the Basic Income Support policy.
• The department outlined the progress being made in tackling poverty and inequality through sustainable social protection in a briefing of the parliamentary portfolio committee on 19 February 2025.
• The policy is moving toward Cabinet approval in the new financial year, paving the way for a future where millions of vulnerable South Africans gain access to guaranteed income support.

The Department of Social Development is making significant strides and is well on its way to realising the Basic Income Support policy, bringing South Africa one step closer to a permanent solution for income security.

In a crucial update to the portfolio committee this morning, 19 February 2025, the department outlined the progress made, reaffirming its commitment to tackling poverty and inequality through sustainable social protection.

Giving the presentation, Acting Deputy Director General Comprehensive Social Security Anthony Makwiramiti confirmed that with all the extensive research, stakeholder consultations, and policy refinements underway, the Basic Income Support policy is moving toward Cabinet approval in the new financial year, paving the way for a future where millions of vulnerable South Africans gain access to guaranteed income support.

A long journey toward social protection

The idea of a Basic Income Grant was first introduced at the Jobs Summit in 1998, with further technical proposals developed by the Taylor Committee in 2002.

However, these efforts did not initially gain Cabinet support. Over the years, various strategies have been explored to address adult poverty, leading to the establishment of an Inter-Ministerial Committee and an Inter-Departmental Technical Task Team in 2007.

Momentum picked up in 2016 when the Minister of Social Development tabled a Comprehensive Social Security Discussion Paper, sparking calls from stakeholders to prioritise the Basic Income Grant.

In response, the department appointed a panel of experts in 2021 and 2022 to assess the feasibility of a Basic Income Support grant for income-compromised adults aged 18 to 59.

Shaping the policy: Public consultation and policy development

To ensure that the policy reflects the needs and aspirations of South Africans, the Department of Social Development undertook extensive consultations across all provinces. Based on these engagements, the draft policy was developed and submitted for Cabinet approval, paving the way for its public release and consultation by October 2024.

At the same time, the National Treasury has been requested to extend Social Relief of Distress for two more years while the Basic Income Support policy framework is finalised.

The president’s recent State of the Nation Address has already confirmed the Social Relief of Distress programme’s extension for another year, reinforcing government’s commitment to social protection.

Recognising the need for a comprehensive anti-poverty strategy, the government has established a task team led by the Minister of Social Development and the Presidency.

A sub-team focusing specifically on Basic Income Support has been formed to assess its affordability, with economic modelling affirming that the policy is financially viable. However, consensus must still be reached with National Treasury on the funding mechanisms.

The road ahead: Strengthening the draft policy

To ensure alignment across government, the department has begun further consultations with key departments to refine the policy. The Social Protection, Community and Human Development Cabinet Committee has emphasised the importance of addressing affordability concerns and linking the grant to employment opportunities.

As part of this process, the department aims to:

•       Finalise internal consultations to strengthen the draft policy.
•       Address concerns on affordability and employment linkages.
•       Present a revised policy in the 2025/26 financial year for further deliberation.

Members of parliament welcomed the progress made by the department, highlighting that the Basic Income Grant policy underscores government’s unwavering commitment to creating a fair, just, and inclusive society.

By expanding social assistance and fostering economic inclusion, the Department of Social Development and the South African government are proving that they are a government for the people – one that prioritises dignity, economic security, and the wellbeing of all.

With continued collaboration and stakeholder engagement, South Africa moves closer to a future where no one is left behind.

Portfolio committee chairperson, Bridgette Masango, emphasised this sentiment, stating: “If we ignite hope in the people and tell them that there is a policy for them, we cannot leave them in the lurch.”

As the committee engaged in discussions, grant funding and poverty alleviation took centre stage.

Addressing concerns about dependency on grants, Acting Director-General Peter Netshipale emphasised: “There is a lot that needs to be done to promote economic development and sustainable livelihoods.”

This statement came in response to a question on the department’s Programme 5: Poverty alleviation, sustainable livelihoods, and food security.

The department remains committed to ensuring that income support measures are not just handouts but are linked to economic empowerment and sustainable development.

Following the completion of the consultation process and policy review, the department intends to approach the committee in the 2025/26 financial year for further deliberation.

The road ahead requires careful planning, fiscal responsibility, and political will, but one thing remains clear – South Africa is taking concrete steps toward a future where economic justice is a reality for all.