Budget 3.0: Godongwana’s Make-or-Break Moment.

Finance Minister Enoch Godongwana is returning to Parliament to table his third attempt at a national budget this year. His first two efforts failed, largely due to a proposed VAT increase that triggered legal action, political revolt, and nearly collapsed the coalition government. Now, with VAT hikes officially scrapped, all eyes are on how he plans to plug a R75 billion budget hole without triggering economic or political meltdown.

 

If Budget 3.0 fails again, automatic spending ceilings could kick in, slashing funding to
critical services like health, education, and struggling SOEs like Eskom and Transnet. That could stall service delivery, spark protests, and deepen distrust in the government of national unity (GNU).