High drama as GNU rejects Treasury’s proposed VAT hike
Test for the GNU as members push back against finance minister’s plan to hike VAT to 17% from 15%
19 February 2025 - 21:26
UPDATED 19 February 2025 - 23:19
Parliament on Wednesday postponed SA’s national budget for the first time after a day of high drama in which cabinet members of the government of national unity (GNU) pushed back against finance minister Enoch Godongwana’s plan to hike VAT to 17% from 15% to fund a big increase in spending on front-line services.
After a flurry of meetings — one between President Cyril Ramaphosa and the leaders of the nine parties represented in the GNU at 7am, followed by a tense cabinet discussion — it was agreed that the budget would be postponed to March 12...
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