South Africa’s Budget: A Tale of Latest Two Speeches in 2025
South Africa’s national budget for 2025/26 has seen some adjustments between its initial presentation in March and an updated version in May, reflecting subtle shifts in economic outlook and expenditure allocations. While the core figures remain largely consistent, a closer look reveals minor but notable changes in the consolidated government expenditure and social services allocations.
Overall Expenditure and Social Services:
The March budget speech projected a consolidated government expenditure of R2.58 trillion, which saw a slight increase to R2.59 trillion in the May iteration. Similarly, the allocation for social services experienced a minor bump, moving from R1.50 trillion in March to R1.52 trillion in May.
Key Expenditure Categories:
Within the broader categories, some specific shifts are evident:
- Learning and Culture: The March budget allocated R505.6 billion to learning and culture, which increased to R508.7 billion in the May budget.
- This includes a rise in Basic Education funding from R329.2 billion in March to R332.8 billion in May.
- University transfers also saw a slight increase from R48.4 billion in March to R48.8 billion in May.
- Health: The health budget saw a modest increase from R296.1 billion in March to R298.9 billion in May.
- This change is reflected in district health services, which moved from R130.9 billion in March to R132.1 billion in May.
- Provincial hospital services also saw an increase from R48.5 billion in March to R49.0 billion in May.
- Community Development: The allocation for community development remained relatively stable, with the May budget showing R286.6 billion compared to R280.4 billion in March.
- Economic Development: The total for economic development remained consistent at R289.8 billion in both March and May.
- Peace and Security: Likewise, the peace and security allocation stayed at R266.1 billion in May, a slight increase from R265.2 billion in March.
- General Public Services: General public services saw a minor adjustment, with R78.7 billion in May compared to R80.7 billion in March.
- Debt-Service Costs: Debt-service costs saw a minimal change, moving from R426.3 billion in March to R424.9 billion in May.
- Contingency Reserve: The contingency reserve remained consistent at R5.0 billion in both budget presentations.
These adjustments, though minor in the grand scheme of the national budget, indicate ongoing fine-tuning of government expenditure priorities in response to evolving economic conditions and societal needs.
