Budget will not aid transformation

THE finance minister’s recent Budget raises many concerns in the light of the ANC’s recent pronouncements regarding radical economic transformation and the equality-inequality gap.

The increase in VAT will directly and indirectly impact on the poorer sections of our citizenry.

Apart from having to pay more for goods and services, the poor who have to commute daily will be hard hit by the increase of 52 cents on the petrol levy as transport organisations will pass on the increase to commuters who are already hard-pressed.

Many South Africans, especially blacks, who are fast ascending the socio-economic ladder, will find their aims to improve their lifestyles suffering a cruel blow.

The price of cars will increase by a whopping seven percent as will appliances, services, etc.

Because of the generous perks for both vehicles and fuel – ministers, their deputies and senior government officials will not feel the serious effects of the fuel hike – so they continue to ignore the effects on the daily lives of citizens.

In his first step, President Cyril Ramaphosa shows that economic transformation under an ANC-led government is a myth.

By providing a Budget which is anti-poor, the equality-inequality gap will never be narrowed, proving that the government is merely paying lip service to the issue of transformation.

Directly or indirectly industry such as the motor federation and other manufacturing houses will suffer losses and promote higher unemployment.

Nothing in the Budget takes the issue of unemployment seriously and this could also affect the ANC in the next election.

Of course, there are entities which will benefit from the recent Budget pronouncements and it is no surprise that they have praised the minister for his efforts.

The allocation of more funds for human settlements is crucial to the lives of all South Africans as is basic primary education and health, but they do not receive due recognition in the Budget.

With next year’s general elections looming, South Africans must take note of the failings of the ANC in promoting a better life for all. Rathan B Garrib Buccleuch, Sandton