Africa-Press – South-Africa. President Cyril Ramaphosa is sticking by his finance minister Enoch Godongwana, shunning calls for his axing after the disastrous budgeting process.
Ramaphosa is facing pressure to fire Godongwana over the budget impasse that will now see the minister tabling the budget for the third time on May 21, an unprecedented move since 1994.
Godongwana’s budget was subject to much debate over the proposal for a 0.5 percentage point VAT hike. Though eventually passed by parliament, the proposed hike was later set aside by the high court after the finance minister announced its reversal.
Ramaphosa on Wednesday closed ranks around his finance minister saying he would not lose his job.
He said the budget impasse that started in February when Godongwana’s speech was cancelled just moments before he was meant to deliver it was a sign of a maturing democracy.
“In the past it just used to be a one-way type of process, now the budget process is now being opened up for institutions, political parties as well as ordinary people to comment,” said Ramaphosa.
“So we’ve drawn a lot of lessons from all this, and because we are drawing a lot of lessons from all this, this is something we need to take on board and it doesn’t lead to a minister of finance resigning or stepping down, no.”
He said what was important was the lessons learnt from this impasse and the need to strengthen the budgetary process to make it more inclusive and consultative.
“This happens in more developed, if you like, economies and democracies, now this moment has come to us,” he said.
“Next year’s budget is going to be a process where South Africans, I would say many of them, will now inform themselves about the various components of the budget and what they aim to achieve and how expenditure is going to be deployed and the revenue part of the budget where the money is going to come from. So a combination of all this.”
Ramaphosa’s party, the ANC, on Tuesday echoed the same sentiments, saying there was no need to call for Godongwana’s head.
ANC secretary-general Fikile Mbalula warned against the removal of the finance minister because of the budget impasse.
“We are not going to have a situation, as much as it is the president’s prerogative, to have a weekend special again in our country. We are stabilising the country and at the same time we will take cogent and informed decisions,” said Mbalula.
“It can’t be when we are faced with a big challenge, like the budget impasse, the first resolution is to dismiss the minister. Those who are calling for the minister to go are political posturing. The same as the question of going to court was completely unnecessary because all matters could have been settled outside court.”
It remains to be seen whether the ANC will win this debate in the government of national unity that involves ten political parties including the DA.
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