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  • 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
  • Ramaphosa to host Ukraine’s Zelenskyy following call with Putin
    President Cyril Ramaphosa will on Thursday host Ukrainian President Volodymyr Zelenskyy on his first official visit to South Africa at the Union Buildings in Pretoria.
    This comes after Ramaphosa spoke with Russian President Vladimir Putin by phone, where both Presidents affirmed strong bilateral relations, as the conflict between Ukraine and Russia continues.
    Zelenskyy's visit follows Ramaphosa's 2023 visit to Ukraine, as part of the Africa Peace Initiative to Ukraine.
    Ramaphosa's spokesperson, Vincent Magwenya, said the visits provides South Africa and Ukraine with an opportunity to discuss bilateral relations and expand bilateral cooperation in trade, agriculture and education.
    "…it will also explore areas of cooperation with the objective to support efforts to bring lasting peace," added Magwenya.
    Meanwhile, in Ramaphosa's Monday phone conversation with Putin, both Presidents committed to working together towards a peaceful resolution of the Russia-Ukraine conflict.
    Russia invaded Ukraine in February 2022, with recent calls from the US for a ceasefire.
    Zelenskyy posted on X, on Monday, that there must be a Russian order on its soldiers to cease fire.
    He called for a "real and lasting" ceasefire, that must begin with Russia ending missile and long-range drone attacks.
    2 min
  • Inflation eases to an almost five-year low
    South African inflation slowed to an almost five-year low in March, taking it below the floor of the central bank's target range.
    The consumer price index rose 2.7% last month from a year earlier versus 3.2% in February, Pretoria-based Statistics South Africa said in a statement on its website on Wednesday. That was less than the 3% median estimate of 15 economists in a Bloomberg survey.
    Policymakers, who aim to anchor inflation expectations around the midpoint of their 3% to 6% target range, will likely remain cautious because of the impact US President Donald Trump's trade war may have on inflation and the rand.
    Reserve Bank Governor Lesetja Kganyago last week warned that confidence in the global economy has been dimmed by trade tensions and South Africa would not escape from the fallout.
    "Risks to domestic inflation and growth have risen markedly since the start of the year," Kganyago said at the release of the central bank's biannual monetary policy review.
    He also expressed concern over a 0.5 percentage point increase in value-added tax that is due to come into effect on May 1. The central bank's research suggests the increase that is expected to be followed by another 0.5 percentage point hike next year, may add 0.2 percentage points to headline inflation annually.
    2 min
  • HSF says COSAS 4 judgment reflects commitment to accountability for Apartheid atrocities
    The Helen Suzman Foundation (HSF) has welcomed the landmark judgment in the COSAS 4 matter, saying it reflects a commitment to accountability for the harms of the past and upholds the principle that such crimes are not subject to prescription.
    This case involves the deaths of Eustice "Bimbo" Madikela, Peter "Ntshingo" Matabane, Fanyana Nhlapo, and the severe injury of Zandisile Musi on February 15, 1982, at the hands of the Security Branch of the South African Police.
    The judgment was delivered last week, in the Johannesburg High Court, and permitted the prosecution to proceed on charges of crimes against humanity, including the crime of Apartheid.
    The Foundation pointed out that Apartheid is recognised in international law as a crime against humanity, including through instruments such as the United Nations Apartheid Convention and the Rome Statute.
    "Crimes against humanity refer to serious violations committed as part of a widespread or systematic attack against civilians," it explained.
    It noted that the judgment is the contribution to the development of South African jurisprudence in alignment with international law and its recognition of the importance of justice for gross human rights violations committed under Apartheid.
    The Court dismissed objections raised by the accused, affirming that international crimes can be prosecuted under South African law.
    2 min
  • Ramaphosa says Putin committed to peaceful resolution of Russia-Ukraine conflict
    President Cyril Ramaphosa said on Tuesday, that Russian President Vladimir Putin has committed to working together towards a peaceful resolution of the Russia-Ukraine conflict.
    Ramaphosa on Monday spoke with Putin by phone, with both Presidents affirming strong bilateral relations between the two countries, as the conflict between Ukraine and Russia continues.
    Russia invaded Ukraine in February 2022, with recent calls from the US for a ceasefire.
    While there are reports that Putin hinted that he is open to direct talks with Ukraine, drone strikes hit Odessa on Monday.
    Ukrainian President Volodymyr Zelenskyy posted on X, on Monday that there must be a Russian order on its soldiers to cease fire.
    "Indeed, there were no air raid alerts on Easter, and some sectors of the frontline remained quiet. This proves it is possible - it's possible when Russia chooses to reduce the killing. Nevertheless, Ukraine stands by its offer - at the very least, not to strike civilian infrastructure. And we expect a clear answer from Moscow. We are ready for any conversation on how to ensure this," Zelenskyy said.
    He called for a "real and lasting" ceasefire, that must begin with Russia ending missile and long-range drone attacks.
    "Ukrainian representatives - both at the meetings held in Paris and at the meetings scheduled this week in London - will have a primary task regarding an unconditional ceasefire. That must be the starting point. Peace begins in silence," Zelenskyy said.
    Meanwhile, following his conversation with Putin, Ramaphosa said South Africa would continue engaging all interested and affected parties, including the government of Ukraine on finding a path to peace.
    2 min

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