The National Assembly approved the 2025 Appropriations Bill, outlining R2.3 trillion government spending for social services, infrastructure upgrades, and addressing government debt before sending it to the National Council of Provinces.
On July 23, 2025, the National Assembly approved the 2025 Appropriations Bill during its plenary sitting. This Bill is crucial for the national budget, detailing how government funds will be distributed among various departments. According to the Public Finance Management Act, the Minister of Finance is required to present the annual budget to the National Assembly before or soon after the fiscal year starts.
The budget for the 2025/26 financial year was introduced on May 21, 2025, by Minister Enoch Godongwana, and was sent to the appropriations committee for review. The budget aims to reduce government debt, help vulnerable populations, enhance public services such as health and education, boost job creation, and rebuild infrastructure.
Total government spending for the year will reach R2.3 trillion, with R1.17 trillion designated for national departments such as health and education, while R1.1 trillion will cover social grants, municipal transfers, and debt servicing. Notably, 72.2 percent of allocations will go towards transfers and subsidies to provinces, municipalities, public corporations, and non-profit organizations.
An extra R180 billion is set aside over three years for infrastructure improvements, public servant salaries, extending COVID-19 relief grants, and hiring unemployed doctors and teachers, along with enhancing public transport. The appropriations committees must consult the Financial and Fiscal Commission (FFC) and seek input from the Parliamentary Budget Office (PBO) and government departments while processing the Bill.
The FFC warned about inadequate funding for departments like trade, while the PBO recommended better alignment between spending and outcomes. The approval of this Bill is essential for authorizing government spending for the next financial year. It will then proceed to the National Council of Provinces and, if approved, to the President for final signing into law.
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