Consider alternatives to basic income grant

THE basic income grant is a matter of grave concern. Whether it will be granted, ordinary South Africans will know in the near future.

Maybe the Finance Minister, Enoch Godongwana, may make an announcement during his forthcoming Budget speech?

Even President Cyril Ramaphosa might give us a hint during his State of the Nation Address. There are many organisations and politicians who are in favour of implementing such a grant.

A monthly amount of about R1 500 has been bandied around but it is unlikely the state can afford such an amount.

If the government is serious about easing the burden of the underprivileged, it could come up with an innovative idea to implement a basic income grant in the form of food vouchers instead of doling out cash. If the government gave food vouchers to qualifying recipients in maybe units of R100 (to total whatever amount is granted), it would get to where it counts.

In order to avoid abuse of such a system, only zero-rated (VAT free) items would qualify for these vouchers to be used. There is a whole list of VAT-free food items such as bread, maize meal, samp, maize rice, milk powder, pilchards, fruit, vegetables and so on that form the staple diet of the masses.

It would also ensure the vouchers are not used for items such as take-aways, alcohol, cigarettes and drugs.

Whether the voucher is cashed at a supermarket, spaza shop or any dealer, it would be deposited as cash by the dealer when banking his/her takings.

VIJAY SEWTAHAL

Clare Estate