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  • DA to challenge Employment Equity Amendment Act in court
    The Democratic Alliance's (DA's) case challenging Section 15A of the Employment Equity Amendment Act will be heard in the North Gauteng High Court on May 6.
    The party has launched a constitutional challenge to what it argues is the introduction rigid national race quotas in the workplace.
    The DA said it will be taking Minister of Employment and Labour Nomakhosazana Meth to court, over Section 15A's alleged violation of Section 9 of the Constitution, representing a "radical and harmful" departure from previous employment equity law.
    DA spokesperson on Employment and Labour Michael Bagraim said these quotas will "destroy jobs, undermine the economy, and violate the constitutional rights of all South Africans".
    "The DA believes that real redress does not mean implementing policies that bring more division. We believe that true transformation can only be achieved by focusing on inclusive economic growth that creates opportunity for all.
    "A law that forces employers to fire or refuse to hire people based on race, whether they are black, coloured, Indian, or white, is not redress. It is unconstitutional discrimination," explained Bagraim.
    He said the Minister's powers under Section 15A were "vague, unchecked, and dangerously broad," stating that the "targets" were not guidelines but rather binding quotas, enforceable under threat of penalties of up to 10% of a company's turnover.
    "The law empowers the Minister to impose these quotas with no clear criteria, violating the Dawood principle, which says public officials must be guided by intelligible and clear legal standards," he added.
    Bagraim said its court case was not out of a theoretical concern, claiming that the final quotas published last week made it almost impossible for some, particularly coloured workers in the Western Cape and Indian workers in KwaZulu-Natal, to find or keep jobs.
    This, he said was not transformation, but "racial exclusion under a new name".
    "The government itself tacitly admits how damaging these quotas are. Why else would it exempt small businesses with fewer than 50 employees? Why else would it settle the Solidarity case with a promise not to use the law in a way that leads to job losses?" he questioned.
    He believes the party's court action will expose the "real issue".
    "…the problem is not the quotas themselves but the law that enables them. That is why we are challenging Section 15A directly, not just quotas that flow from it.
    "The DA's position is clear: every law must be judged on whether it grows the economy and creates jobs. These quotas fail that test spectacularly," he said.
    3 min
  • Ramaphosa agrees to establish commission into Apartheid crimes
    President Cyril Ramaphosa has agreed to establish a commission of inquiry into alleged political interference in the prosecution of crimes committed during the apartheid era by security forces.
    Ramaphosa made the concession after he and several government agencies were sued by 20 victims or representatives of families impacted by the murder, torture and abductions meted out by apartheid security forces, the Foundation for Human Rights said in a statement on Tuesday. The Foundation is backing the case.
    Still, the foundation said, the plaintiffs have rejected the suggestion by the president's team that the commission deal with a claim for R167-million in damages as the commission "has no power to determine rights and remedies" and can only offer advice.
    A spokesperson for Ramaphosa didn't immediately answer a call for comment.
    1 min
  • Mashatile warns of rising costs of living owing to trade tensions, encourages multilateralism
    Deputy President Paul Mashatile said on Tuesday that a "fair, transparent, equitable, and inclusive" international order is essential for economic stability and sustained growth, noting that current global economic growth is subdued, with many economies, particularly in Africa, burdened by unsustainable debt levels, while billions are affected by underdevelopment, inequality, poverty, and unemployment.
    Mashatile was speaking during the Think 20 (T20) Africa High-Level Dialogue, in Pretoria, where he explained that in pursuit of strengthening African agency within the G20 framework, African countries must re-emphasise the importance of collaboration, open dialogue, and collective action.
    "I truly believe that a fair, inclusive global order is possible, but it requires leadership grounded in equity, responsibility, and cooperation. The G20 should form part of this as we seek to unite as country States and develop policies that are progressive for the interest of all," he said.
    He added that this would not only empower African States but also increase the credibility and efficacy of global governance.
    Mashatile highlighted South Africa's intention to work with "like-minded countries" and progressive institutions for a more equitable, representative, and just international order.
    "As African nations, we have to come together and speak with one voice. We have to combine our strengths to guide policies and decisions that align with our interests and aspirations.
    "Furthermore, we must engage constructively with our global partners within the G20, cultivating partnerships founded on mutual respect, understanding, and reciprocity. We can construct a more equal and inclusive global order that benefits all countries by bridging gaps and forging partnerships," he explained.
    Meanwhile, he pointed out that South Africa's G20 Presidency had encountered significant changes in the landscape of global affairs, noting challenges facing multilateralism as a significant factor that was reshaping global dynamics and relationships.
    He said South Africa should take a dim view and strongly discourage the erosion of multilateralism, as it posed a potential threat to global growth and stability.
    Mashatile noted ongoing trade tensions, which he said may result in rising cost of living, owing to increased prices, particularly for manufactured goods, potentially exacerbating the sluggish economic growth across the continent.
    "…it is necessary that we respond collectively and decisively as Africans while increasing capacity and capability to reduce dependency," he said.
    He highlighted that South Africa was acutely aware that war and conflict were innately detrimental to a nation's economy and its people, as evidenced by the country's experience during the Apartheid era.
    "Devastation of infrastructure, loss of life and labour, and disruption of trade networks significantly impact economic stability.
    "Hence during our G20 Presidency, South Africa will persist in promoting constructive and peaceful resolutions, engaging in inclusive dialogue, which stands as the primary assurance for achieving sustainable and enduring peace," he stated.
    Mashatile said South Africa called for deeper G20-African Union collaboration in peace-building on the continent, including sustainable funding for AU peace operations and mechanisms aligned to the Silencing the Guns initiative.
    "Strong institutions, regional integration and democratic accountability must guide our response to instability across the Sahel, DRC, and Horn of Africa," he added.
    He noted that South Africa had demonstrated a strong commitment in its foreign policy to principles such as justice, solidarity, equality, peace, and respect, all grounded in its dedication to human dignity.
    He said South Africa's G20 Presidency was poised to advocate for reforms within the global financial framework, emphasising the need for equitable credit rating systems, accessible climate financing, and substantial debt relief for n...
    5 min
  • South Africa 2025 economic growth forecast cut to 1.5% on tariff worries: Reuters poll
    South African economic growth will be a bit weaker this year than thought a month ago partly due to trade tensions, with US President Donald Trump having paused a 31% tariff for 90 days imposed on imports from Africa's most industrialised nation.
    Economists polled by Reuters April 16-24 trimmed their forecasts by a median 0.2 percentage point to 1.5% for this year. Forecasts were in a 1.0%-2.1% range compared with 1.3%-2.3% in a March poll. But the forecast for 2026 was unchanged at 1.8%.
    The latest 2025 consensus from the survey of 25 economists was much more optimistic than the International Monetary Fund's latest view of 1.0%, cut from 1.5% in January.
    Nicky Weimar, chief economist at Nedbank, lowered her GDP forecast for 2025 to 1.1%, 0.3 percentage point lower than her previous view.
    She said that was based on expectations for higher global tariff barriers, although she expects them to be ultimately less extreme than what the White House proposed on April 2.
    "Another reason for our downward revision is that the production side of the economy fared poorly in Q1. So, even before the tariff chaos hit, local producers and exporters were struggling," said Weimar.
    South Africa currently benefits from the African Growth and Opportunity Act, US legislation that gives preferential tariff-free access to its markets to some countries. But renewal of the legislation, which expires later this year, is unlikely, according to analysts.
    In better news for South Africans struggling with the cost of living, inflation fell for the first time in five months in March to its lowest since June 2020, due to a drop in fuel costs and softer price rises for tuition.
    Price pressures got a further reprieve on Thursday after the government scrapped plans to raise value-added tax following a political backlash that threatened the stability of its ruling coalition.
    The proposal to raise VAT by 1 percentage point over two years, intended to boost state revenue, met resistance as Africa's biggest economy grapples with sluggish growth and public discontent over rising living costs.
    Inflation is now expected to average 3.7% this year, lower than the 4.0% forecast in the previous poll. The 4.5% consensus for 2026 inflation, however, was unchanged.
    That near-term reprieve has reignited debate around more interest rate cuts from the South African Reserve Bank, which targets inflation between 3%-6%.
    Rates were held steady last month.
    South Africa's repo rate, currently 7.50%, is expected to hold steady in May, the survey found, with policymakers waiting until either July or September for the next cut to 7.25%.
    The SARB will then hold the repo rate steady for the remainder of the year, with another cut to 7.00% in early 2026, according to median forecasts.
    3 min
  • DA rules out quitting coalition
    The leader of the Democratic Alliance (DA) said his party remains committed to being part of the nation's coalition government despite ongoing wrangling over key policies and legislation, and has no intention of walking away.
    "We're not going to leave the government of national unity," and that view is shared by the DA's entire top leadership, John Steenhuisen said in an interview in Bloomberg's Johannesburg offices on Friday. "I think it can survive and I think it should survive."
    The 10-party coalition was established in June last year, a month after elections in which the African National Congress (ANC) relinquished the parliamentary majority it had held since apartheid ended in 1994.
    The ANC and the DA, its two biggest members, have sparred over the adoption of contentious land-expropriation, health insurance and education legislation, and most recently the National Treasury's proposal to hike value-added tax - all of which raised questions about the alliance's durability.
    Tensions escalated this month, when the ANC enlisted the backing of parties that aren't part of the coalition to pass the fiscal framework - legislation that underpins the budget - after the DA withheld its support. The DA then filed a lawsuit contesting the adoption of the legislation on procedural grounds.
    On Thursday, the Treasury backed down, saying it would scrap the planned VAT hike, cut spending to fill a R75-billion gap in the budget over the next three years, and seek to settle the court case with the DA.
    While the saga illustrated the need for the so-called government of national unity to be reset and for it to adopt more effective dispute-resolution mechanisms, retaining the alliance in its current form would ensure there was political stability and remains the best option for governing the country, said Steenhuisen, who also serves as agriculture minister.
    "If the ANC wants us out, they must kick us out and they must then deal with the consequences from a markets perspective, but also from a political perspective," he said. If the DA does exit, then "every single issue will be subject to the same wrangling as the budget" and the very slim majority the ANC could cobble together with smaller parties would make it difficult for it to pass legislation and effect reforms, he added.
    Steenhuisen urged the government to focus on firing up the economy, which the International Monetary Fund expects to grow just 1% this year, well short of the Treasury's projections.
    The DA's proposals include comprehensive spending and regulatory reviews, and bringing in private investors to help run the nation's inefficient ports.
    "You've got to look at economic growth," Steenhuisen said. "If we don't, we're back here in February next year with negative growth, not enough money to do what needs to be done."
    3 min
  • ANC firm on its values in 'constructive' meeting with DA
    During its discussions with the Democratic Alliance (DA), the African National Congress (ANC) said it remained rooted in its values and resolutions, and will not compromise on the fundamental goals of social and economic justice, equity, and transformation, while the DA described the meeting as "forthright and constructive".
    The two parties held a follow-up meeting on Friday, following Finance Minister Enoch Godongwana's announcement on the reversal of the value-added tax (VAT) increase.
    The ANC's Government of National Unity (GNU) partner, the DA, and the Economic Freedom Fighters (EFF), took Godongwana to court over the proposed 0.5% VAT hike, which would have come into effect on May 1, with Godongwana subsequently presenting both parties with out-of-court settlements.
    ANC national spokesperson Mahlengi Bhengu-Motsiri said South Africa must come first, highlighting that political party leaders owe it to South Africans to rise above political interests and work together for shared progress.
    Bhengu-Motsiri said the meeting with the DA formed part of the ANC's continued commitment to dialogue, nation-building, and consultation to address the urgent budgetary processes in Parliament.
    On Thursday, the ANC held a joint media briefing with nine other parties, where they pointed out that the VAT hike victory was the product of sustained, lawful, and transparent engagement, and not because of the court case brought by the DA against Godongwana.
    While addressing the media on Thursday morning, DA Federal Council chairperson Helen Zille said her party's court intervention had been the "pivotal intervening factor" in the victory against the VAT hike.
    Meanwhile, Zille said its discussions with the ANC focussed on the way forward on the Budget, as well as a strategy for economic growth.
    She noted that similar meetings will continue on a regular basis as parties seek to address the most pressing challenges facing South Africa in the GNU.
    The ANC delegation was led by ANC secretary-general Fikile Mbalula and the DA delegation was led by DA leader John Steenhuisen.
    2 min
  • DA celebrates VAT hike reversal, questions Godongwana’s decision
    The Democratic Alliance (DA) on Thursday expressed jubilation at Finance Minister Enoch Godongwana's reversal of the value-added tax (VAT) increase, but questioned the sudden change.
    On Wednesday, Godongwana wrote to the Speaker of the National Assembly Thoko Didiza, indicating that he will be withdrawing the Appropriation and Division of Revenue Bills.
    Treasury said Godongwana expected to introduce a revised version of the Appropriation Bill and Division of Revenue Bill within the next few weeks.
    The DA and the Economic Freedom Fighters (EFF) took Godongwana to court over the proposed 0.5% VAT hike, which would have come into effect on May 1, after which he presented both parties with out-of-court settlements.
    Treasury says, without the VAT increase, estimated revenue will fall short by about R75-billion over the medium term.
    DA Federal Council chairperson Helen Zille said she was taken by surprise when the DA's lawyers on Wednesday said Godongwana's lawyers proposed an out-of-court settlement.
    "Why did it take me by surprise? Because less than a week before that, in [Godongwana's] answering affidavit in our court case, the Minister of Finance made it absolutely clear that the VAT increase of 0.5% would go ahead on May 1, and that was merely a week ago, today," she explained.
    Zille further questioned what happened between April 17 and 23, noting that the DA's challenge, which was heard in court on Tuesday, was pivotal because the party's legal team made the case as to why the VAT increase should be interdicted and why the Minister had made the announcement in terms of an "unconstitutional power" allocated to him under the VAT Act.
    Zille said the party's legal arguments were clearly framed, and that its lawyers were confident that Godongwana's legal team would have relayed to him that the VAT increase could be set aside by the court.
    "…and in that context it seemed better for the Minister to concede before he was perceived to have been forced to by the outcome of the DA's court challenge," she said.
    She also accused smaller parties of wanting to claim credit in having negotiated their way into getting its Government of National Unity partner, the African National Congress (ANC), to drop the VAT increase.
    The Inkatha Freedom Party, ActionSA, Pan Africanist Congress, Rise Mzansi, BOSA, United Democratic Movement, Good Party, Al-Jamah and Patriotic Alliance all voted with the ANC to adopt the 2025 Fiscal Framework, with the 0.5% VAT increase.
    Some of these parties argued that adopting the framework would end the Budget impasse while they negotiated with the ANC to scrap the VAT increase.
    "That argument cannot hold water because a lot of negotiations happened with smaller parties before last Thursday, and yet last Thursday the Minister categorically said the VAT increase would go ahead and that there was no alternative to it," Zille said.
    The EFF argued that with the withdrawal of the Budget, the 2025 Fiscal Framework was redundant, anyway.
    Zille said the DA's court intervention was the "pivotal intervening factor" in the victory against the VAT hike, as well as its vote against the Fiscal Framework in Parliament earlier this month.
    Zille said the DA would wait for a formal written settlement offer before responding to the Minister's out-of-court settlement request.
    She also confirmed that a meeting that was scheduled to take place with a high-level ANC delegation on Thursday has been cancelled. The meeting will now take place on Friday.
    4 min
  • Diplomacy and dialogue stronger than weapons, says Ramaphosa during Zelenskyy visit
    Ukrainian President Volodymyr Zelenskyy touched down in South Africa on Thursday for an official visit with President Cyril Ramaphosa to discuss bilateral cooperation and peace diplomacy, just as his country was attacked overnight by Russia.
    This is the first visit from a Ukrainian head of State since South Africa cemented formal diplomatic relations with the Eastern European country 33 years ago.
    Zelenskyy's "historic" trip will be cut short owing to the attack on Ukraine's capital Kyiv, but his Foreign Affairs Minister will remain to carry out the scheduled meetings.
    "The strikes must be stopped immediately and unconditionally. We also count on support in humanitarian matters - in the return of our prisoners and Ukrainian children abducted by Russia. I am cancelling part of the programme for this visit and will return to Ukraine immediately after the meeting with the President of South Africa," Zelenskyy posted on X.
    His visit comes after Ramaphosa held conversations with Russian President Vladimir Putin and US President Donald Trump, both of whom have committed to ending the conflict with a peaceful resolution, Ramaphosa said.
    "South Africa stands ready to continue to support all credible and inclusive multilateral efforts aimed at achieving a just, sustainable and comprehensive peace. Today, President Zelenskyy and I re-affirmed the bonds of friendship and solidarity that exist between our two countries. We look forward to continued engagement and cooperation that benefits our peoples and our countries," stated Ramaphosa.
    The Presidents' discussions centred on consolidating and deepening bilateral relations; expanding relations in peace diplomacy, post-conflict reconstruction and development; the empowerment of women; and opportunities in agriculture, trade, education, infrastructure and social exchanges.
    Ramaphosa acknowledged Zelenskyy's effort to expand relations in Africa, with the provision of grain to food-stressed areas in west and east Africa, with the expansion of agricultural cooperation, and with the opening of a grain hub at the Port of Mombasa, in Kenya.
    He noted that these were outcomes from the 2023 African Peace Initiative, held in Kyiv.
    Ramaphosa emphasised the discussions on peace in Africa, Ukraine and other countries, and said South Africa was concerned about the ongoing conflict in Ukraine.
    "South Africa believes that the only path to peace is through diplomacy, inclusive dialogue, and a commitment to the principles of the United Nations Charter. This includes the principle that all member states shall settle their international disputes by peaceful means. From the experience of our own journey from apartheid to democracy, we value the importance of engaging all parties to conflicts to achieve peaceful, just and enduring solutions. If there is one thing that our history has taught us, it is that diplomacy and dialogue are more powerful than any weapon," Ramaphosa said.
    He noted Ukraine's support during Apartheid, through the training and education of exiled South Africans and expressed appreciation during Zelenskyy's visit.
    3 min
  • Parties take aim at DA, saying VAT hike reversal not a result of court action
    The African National Congress (ANC) and nine other political parties on Thursday rubbished claims by the Democratic Alliance (DA) that the reversal of the value-added tax (VAT) hike is a victory resulting from the DA's court case heard on Tuesday.
    The Inkatha Freedom Party (IFP), ActionSA, Pan Africanist Congress, Rise Mzansi, BOSA, United Democratic Movement (UDM), Good Party, Al-Jamah and Patriotic Alliance (PA) joined the ANC in a media briefing to communicate the outcomes of their discussions to resolve the Fiscal Framework.
    All nine parties voted with the ANC to adopt the 2025 Fiscal Framework, with the 0.5% VAT increase.
    Some of these parties argued that adopting the framework would end the Budget impasse while they negotiated with the ANC to scrap the VAT increase.
    On Wednesday, Finance Minister Enoch Godongwana wrote to Speaker of the National Assembly Thoko Didiza to inform her that he would be withdrawing the Appropriation and Division of Revenue Bills.
    These will include spending adjustments to close the revenue gap left by the cancelled VAT increase.
    Parliament will now revisit expenditure to ensure fiscal sustainability without burdening the poor.
    The ANC's Government of National Unity partner, the DA, as well as the Economic Freedom Fighters (EFF), took Godongwana to court over the proposed 0.5% VAT hike, which would have come into effect on May 1, with Godongwana subsequently presenting both parties with out-of-court settlements.
    "This is not a victory for any single party, nor is it about who claims the loudest voice. This is a people's victory. It is a quiet but profound triumph of democratic institutions - of Parliament acting as the voice and shield of the nation," the 10 parties said.
    While addressing the media on Thursday morning, DA Federal Council chairperson Helen Zille said her party's court intervention had been the "pivotal intervening factor" in the victory against the VAT hike.
    Reading a joint statement, ANC national spokesperson Mahlengi Bhengu-Motsiri countered the VAT outcome did not arise from expedience, or as a concession to pressure or populism, but from a shared commitment across party lines that the working class and the poor cannot be further burdened in this economic climate.
    "It is a decision firmly rooted in the national interest and in the moral clarity demanded by our Constitution," she stated.
    The parties further said the integrity of this process must be underscored.
    "…it was Parliament - not the courts, not unelected bodies - that led the resolution. This is a reaffirmation of constitutionalism and a victory for democratic process."
    The parties said the outcome was the product of sustained, lawful, and transparent engagement, reflecting the constitutional supremacy of Parliament as the final authority on public finance.
    ANC secretary-general Fikile Mbalula said the withdrawal of the VAT increase, the reaffirmation of parliamentary oversight, and the recalibration of fiscal priorities represented democratic maturity.
    ActionSA leader Herman Mashaba said the parties present at the briefing were responsible for the scrapping for the VAT hike.
    "The parties gathered here today have worked together, both inside and outside the GNU, in the best interests of South Africans," he said.
    He hit out at the DA saying the VAT increase withdrawal was not owing to "any court case that opportunistic parties now seek to falsely claim credit for".
    "[This is the outcome of] principled, good-faith negotiations, grounded in substance rather than extortionist, unpatriotic, and shamelessly dishonest politics," he said.
    He acknowledged the ANC and Godongwana's roles in the negotiations, pointing out that the engagements were conducted in "good faith, with maturity, and with the best interests of the country in mind".
    "Nobody attempted to mislead or dupe anyone else. There was an absolute focus on the Budget and nothing else. Let us be clear: The reversal of this VAT increase was not achieved by the parti...
    6 min
  • ANC welcomes investigation into Mashatile shooting incident
    The African National Congress (ANC) has been given assurances by National Police Commissioner General Fannie Masemola that the incident involving Deputy President Paul Mashatile's convoy is under active investigation by a high-level team, with a completed ballistics report and ongoing threat assessments by Crime Intelligence.
    Mashatile's official vehicle was shot at, returning from an ANC NEC meeting in Boksburg, over three weeks ago.
    ANC national spokesperson Mahlengi Bhengu-Motsiri said the high-level investigation affirmed the "seriousness" with which the country's security agencies protect the national executive and safeguard democratic institutions.
    She said the ANC was further reassured by confirmation that President Cyril Ramaphosa and Mashatile's security had received necessary reinforcements under the Presidential Protection Service.
    "We commend the Deputy President for continuing to carry out his duties with calm resolve and steadfast commitment. His poise in the face of this incident is testament to the maturity and discipline required of national leadership," Bhengu-Motsiri said.
    The party said it strongly condemned actions that sought to undermine the leadership's security or destabilise the constitutional order.
    "We call for calm and vigilance, and reiterate our confidence in the ongoing investigation. We will await its final outcome before offering any further comment," said Bhengu-Motsiri.
    2 min

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