Budget 2024 from National Treasury continues a troubling trend of budget cuts and reliance on private sector spending. Despite repeated warnings from the IEJ about the detrimental effects of austerity measures on the economy and public services, these policies persist.
Expenditure
Budget cuts, totalling R270 billion between 2019/20 and 2026/27, jeopardise the quality of public services. Per capita spending is decreasing, with significant implications for socio-economic rights. The IEJ recommends halting all budget cuts and conducting a thorough assessment of their impact.
Social Grants
Social grants are failing to keep pace with inflation, leaving beneficiaries struggling to afford basic necessities. The IEJ advocates for above-inflation increases to all grants, particularly to ensure access to nutritional meals for children.
Public Employment
Despite some successes, public employment programmes receive inadequate funding. The IEJ calls for expanded funding and longer-term work opportunities for recipients.
Critical Social Services
Spending on critical services like healthcare and education is declining, disproportionately affecting women and perpetuating gender inequality. The IEJ urges a review of budget cuts and increased investment based on identified needs.
Job Creation, Climate Change, and Economic Development
The budget’s focus on private sector investment undermines efforts to reduce unemployment and combat climate change. The IEJ recommends a long-term needs assessment and increased public investment in infrastructure.
Revenue
The budget falls short in raising necessary revenue, with missed opportunities to tax high-income earners and address illicit financial flows. The IEJ proposes concrete measures to raise funds, including restoring corporate income tax rates and reducing tax breaks for higher earners.
Debt and Fiscal Policy
The pursuit of a primary budget surplus through austerity measures is misguided and ignores the needs of vulnerable populations. The IEJ suggests prioritising growth and employment generation, reducing the cost of borrowing, and using debt for productive purposes.
Private Sector to the Rescue?
Reliance on private sector investment is flawed and fails to address developmental challenges. The IEJ advocates for increased public investment and leveraging publicly-owned development finance institutions.
Recommendations
In conclusion, the IEJ calls for a shift in fiscal policy towards development and human rights realisation. This includes reversing austerity, increasing social spending, and promoting equitable tax structures.
Amaarah is a Junior Programme Officer in the Rethinking Economics for Africa project. She is currently studying towards her Masters in Applied Development Economics at Wits University. 
Dr James Musonda is the Senior Researcher on the Just Energy Transition at the IEJ. He is also the Principal Investigator for the Just Energy Transition: Localisation, Decent Work, SMMEs, and Sustainable Livelihoods project, covering South Africa, Ghana, and Kenya.
Dr Basani Baloyi is a Co-Programme Director at the IEJ. She is a feminist, development economist and activist. She gained her research experience while working on industrial policy issues in academia, at the Centre For Competition, Regulation and Economic Development (CCRED) and Corporate Strategy and Industrial Development (CSID) Unit.
Dr Andrew Bennie is Senior Researcher in Climate Policy and Food Systems at the IEJ. He has extensive background in academic and civil society research, organising, and activism. Andrew has an MA in Development and Environmental Sociology, and a PhD in Sociology on food politics, the agrarian question, and collective action in South Africa, both from the University of the Witwatersrand.
Juhi holds a Bachelor of Arts degree in International Relations and Sociology from Wits University and an Honours degree in Development Studies from the University of Cape Town. Her current research focus is on social care regimes in the South African context, with a particular focus on state responses to Early Childhood Development and Long-Term Care for older persons during the COVID-19 pandemic. Her other research areas include feminist economics, worlds of work and the care economy.
Bandile Ngidi is the Programme Officer for Rethinking Economics for Africa. Bandile has previously worked at the National Minimum Wage Research Initiative and Oxfam South Africa. He holds a Masters in Development Theory and Policy from Wits University. He joined the IEJ in August 2018. Bandile is currently working on incubating the Rethinking Economics for Africa movement (working with students, academics and broader civil society). 
Liso Mdutyana has a BCom in Philosophy and Economics, an Honours in Applied Development Economics, and a Masters in Applied Development Economics from Wits University. His areas of interest include political economy, labour markets, technology and work, and industrial policy. Through his work Liso aims to show the possibility and necessity of economic development that prioritises human wellbeing for everyone.
Joan Stott holds a Bachelor of Business Science in Economics and a Master’s in Economics from Rhodes University. She brings to the IEJ a wealth of experience in public finance management, policy development, institutional capacity-building, and advancing socioeconomic and fiscal justice.
Siyanda Baduza is a Junior Basic Income Researcher at IEJ. He holds a BSc in Economics and Mathematics, an Honours degree in Applied Development Economics, and is currently completing a Master’s degree in Applied Development Economics at the University of the Witwatersrand. Siyanda’s research focuses on the impacts of social grants on wellbeing, with a particular focus on the gendered dynamics of this impact. His interests include applied micro-economics, policy impact evaluation, labour markets, gender economics, and political economy. He is passionate about translating economic research into impactful policy.
Shikwane is a Junior Programme Officer at IEJ focusing on civil society support and global governance in the G20. He has a background in legal compliance, IT contracting and student activism. He holds degrees in Political Studies and International Relations, as well as an LLB, from the University of the Witwatersrand.
Dr Tsega is a Senior Researcher focusing on Women’s Economic Empowerment within the G20. She examines gender equity in economic policy, with expertise in food systems and small enterprise development. She holds a PhD in development studies from the University of the Western Cape, an MA in Development Economics, and degrees in Development Studies and Economics from UNISA and Addis Ababa University.
Nerissa is a G20 Junior Researcher at IEJ, focusing on advancing civil society priorities within the G20 framework. She bridges data, research, and policy to advance inclusive economic frameworks. She is completing a Master’s in Data Science (e-Science) at the University of the Witwatersrand, and holds Honours and Bachelor’s Degrees in International Relations with distinction. She has worked as a Research Fellow at SAIIA and a Visiting Research Fellow at Ipea in Brazil.
Dr Mzwanele is a Senior Researcher supporting South Africa’s G20 Sherpa with policy research. He holds a PhD in Economics from the University of Birmingham and an MSc from the University of the Witwatersrand. His work covers open macroeconomics, trade, finance, and higher education policy, and he has published widely on inequality, unemployment, household debt and higher education curriculum reform.
Kamal is the Project Lead for IEJ’s G20 work, focusing on sovereign debt and development finance. He holds a BComm (Hons) in Applied Development Economics from the University of the Witwatersrand and an Erasmus Mundus Joint Masters in Economic Policies for the Global Transition. He has worked with SCIS, UNCTAD and co-founded Rethinking Economics for Africa.