SA’s R13bn social grant cuts are arbitrary, cruel and economically short-sighted

The Medium-Term Budget Policy Statement has announced a substantial R13-billion cut from social grants in South Africa, exacerbating poverty, malnutrition, and vulnerability to gender-based violence. The policy statement categorizes these cuts as part of the government's "targeted and responsible savings" initiative, with social grants comprising the largest share of the savings.

However, critics argue that these cuts are arbitrary, cruel, and economically short-sighted, as they exclude eligible recipients and divert funds away from essential services like those combating gender-based violence and child stunting. The cuts are said to disproportionately affect women and children, as research shows that cash assistance improves women's economic independence and helps protect children from poverty's worst impacts.

The government claims that fraud has led to the cuts, but the reality is that fraud constitutes a minuscule fraction of grant cancellations, with most recipients being unable to complete review processes due to transportation costs, lack of internet access, and inconsistent contact details. The government has ample untaxed resources and a budget surplus, yet insists on trading social assistance for support of GBV victims and child stunting mitigation.