Social Development Minister Bathabile Dlamini confirmed on Wednesday that the South African Social Security Agency (Sassa) would continue to use Cash Paymaster Services (CPS) for the distribution of social grants after March 31. Dlamini was presenting her much-anticipated progress report to the parliamentary portfolio committee just hours before Finance Minister Pravin Gordhan delivered the budget speech, which made no reference to the turmoil around the grant distribution contract. In 2017-18, R142bn in social grants will be distributed to 11-million recipients on behalf of 17-million beneficiaries. It represents one of the single largest items in the budget. Dlamini said Sassa would negotiate terms and conditions for a new CPS contract, which is expected to last for up to two years. However, although Sassa has sent a tentative letter to CPS about an extension of its services, there have still been no formal discussions between the two parties. In her presentation, Dlamini said Sas...

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