Understanding the systemic barriers to social assistance
Millions of working-age South Africans qualify for the Social Relief of Distress (SRD) grant, yet less than half receive it. Research by the Institute for Economic Justice (IEJ), with support from Agence Française de Développement (AFD), exposes how flawed poverty targeting and administrative failures lead to widespread SRD grant exclusion, deepening economic hardship for vulnerable groups.
Key Findings: Who is Being Excluded and Why?
A survey of 900 excluded individuals and 58 in-depth interviews revealed that 89.7% of exclusions on average each month were erroneous (of eligible people). The primary causes of exclusion include:
- Application Barriers – Many face challenges applying due to digital and language limitations.
- Faulty Eligibility Verification – 80% of rejections result from misclassified financial status.
- Non-Payment of Approved Grants – Nearly half of successful applicants do not receive funds.
- Difficult Appeal Process – Only 5.3% of appeals from eligible individuals succeed.
Those most affected include women caregivers, rural residents, undocumented individuals, and those without digital or banking access. These systemic exclusions reinforce existing inequalities, preventing those in need from accessing critical support.
The Devastating Impact of Exclusion
Being denied the SRD grant leads to increased poverty, hunger, and financial instability. With no alternative social assistance for working-age adults, many struggle to meet basic needs, worsening long-term economic hardship.
A Call for Urgent Reform
To ensure fair access to social protection, the IEJ recommends:
- Eliminating overly restrictive eligibility criteria that exclude the most vulnerable.
- Improving transparency in verification processes.
- Providing non-digital application options to improve accessibility.
A more inclusive, rights-based approach—such as a universal basic income grant—can address the failures of poverty-targeted assistance and provide a true safety net for South Africans.
Research Launch
The third installment of the IEJ’s Economic Justice Matters webinar series launched the research report Systemic Exclusion from a South African Social Assistance Transfer: Drivers, Impacts, and Who Is Most at Risk.
Despite being eligible, millions of South Africans are excluded from the Social Relief of Distress (SRD) grant due to flawed poverty targeting, digital and financial barriers, and systemic administrative failures. This webinar explores the key findings from IEJ’s research, the lived experiences of those excluded, and urgent policy recommendations for a more inclusive and just social protection system.
Date: 9 April 2025
Facilitator: Siyanda Baduza
Presenter: Dr Kelle Howson (IEJ)
Panelists:
- Dr Stephen Kidd (Development Pathways)
- Dr Wiseman Magasela (Clermont Analytics)
- Kgothatso Sibanda (Black Sash)
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.