With the constraints of damaging policy such as Black Economic Empowerment (BEE) and Affirmative Action (AA) still firmly in place, the economy is growing too slowly to achieve rapid recovery – with an estimated growth rate of 1,6% this year compared to 1,2% in 2025.

South Africa is in a better fiscal position than in recent years, though, thanks to increased revenue. Nevertheless, the consolidated budget deficit remains a problem.

Financing historical state debt remains high and, although there is currently a primary budget surplus, loans are needed to make up the deficit created by debt-financing costs.

The situation at local government level remains a major concern. Corruption, poor decisions and maladministration at this level could play a significant role in counteracting the possibility of growth.

Still, the Freedom Front Plus (VF Plus) rejoices with every ordinary, hard-working taxpayer – especially the middle-income group – about the much-needed tax relief announced by the Minister.

Personal income tax brackets have been fully adjusted for inflation after two years. This means R13,7 billion more in the pockets of ordinary taxpayers, which will give the economy a boost.

Other important announcements include the cancellation of R20 billion in planned tax increases – largely due to higher revenue from VAT and company tax.

This shows that the Minister looked for ways to accommodate ordinary taxpayers. It is a good sign and should be welcomed.

There is a stimulus for small business development with the compulsory VAT registration threshold increasing from R1 million to R2,3 million and the capital gains tax exemption for business sellers rising to R2,7 million.

Overall, South Africa finds itself in a more stable fiscal position than in recent years, especially with the budget deficit narrowing to 4,5% of GDP.

In the Freedom Front Plus’s view, this is a step forward, but it is still not enough. The party welcomes the relief and focus on growth, but the burden of social grants and a public wage bill that consumes around 35% of state revenue remains unsustainable.

Municipalities continue to collapse due to incompetent cadre appointments and financial lifelines for state-owned entities, such as Transnet, waste billions.

The only way to bring about real change and achieve growth exceeding 3% is through major cutbacks in wasteful expenditure, merit-based appointments and greater market freedom.

Without it, genuine growth will simply not materialise and taxpayers will remain overburdened.

The Freedom Front Plus, therefore, demands urgent reforms for a competent, efficient state. The few fiscal rays of hope demonstrate what the country is capable of.

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Elderly women from deep rural communities in northern KwaZulu-Natal say they will remain forever grateful after receiving food parcels that helped them get through the festive season with dignity.

The women were among hundreds of vulnerable residents who benefitted from a food distribution drive led through the Mike Mabuyakhulu Foundation, which distributed 800 food parcels to households facing severe hardship.

Among the recipients were Nanile Gumede from Haliya Village, Bajabulile Shangase from Gumbi Village and Manesi Ntombi Menyuka from Othobothini in Jozini, an area where unemployment and poverty continue to affect many families.

They said the festive season would have been marked by hunger if the intervention had not arrived when it did.

Gumede said her household is stretched by unemployment and dependency on social grants.

“I’m staying with five unemployed kids of mine and thirteen grandkids. No one is employed and we rely more on social grants. When I was informed that I was nominated to be part of the recipients, I was excited because I knew we were going to enjoy December holidays like any other families,” she said.

Shangase described the moment she was called forward as overwhelming.

“I was over the moon when I was mentioned to come forward and received. The joy I had, I even wished to throw away my walking stick but I was going to fall down,” she said.

Menyuka said the support is vital in communities where many older women are widowed and unemployed.

“I’m grateful to the Mike Mabuyakhulu Foundation for what they are doing for the people of Jozini. I wish him nothing but more heart to give because he knows that most people here are widows and are unemployed,” she said.

Ward 8 Branch Task Team Coordinator Mandisa Shabangu said the initiative strengthened local efforts to support the elderly and address youth unemployment.

“We are very grateful to be part of this initiative and we continue working together, especially since we want to work with them in assisting the youth to be empowered education-wise and get jobs. We are very grateful and we wish to do more come December 2026,” she said.

Community leaders say the need for food support remains urgent as many households continue to rely on grants, informal work and seasonal support, especially during school holidays when costs rise.

The foundation has indicated that its outreach focuses on food security and community support in vulnerable areas, with local partners calling for continued collaboration beyond festive seasons.

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