The ANC released a far-reaching statement on Wednesday committing to a universal and redistributive basic income grant (BIG), to be progressively achieved by expanding the coverage and the value of the Social Relief of Distress (SRD) Grant, if it is in government after the election. This builds on and deepens commitments in the party’s manifesto and policies.
This statement comes partly in response to the Basic Income Election Scorecard released last week by the Universal Basic Income Coalition (UBIC). In producing the scorecard, UBIC reached out to all major parties. Several responded with further clarity on their policies, including the ANC.
Parties’ scores on the UBIC scorecard ranged from A to F, reflecting large differences in their commitments to expanding the social security net. Of the other parties that responded to UBIC, both the UDM and GOOD also adopted additional policies or statements affirming their commitment to UBIG, and (in GOOD’s case) the removal of unfair barriers to access to social grants.
The scorecard process highlights the value and importance of dialogue between civil society and political parties on the details and implementation of their policies.
The new statement provides a basis by which civil society can hold the ANC accountable to concrete targets and tangible outcomes after the election if the ANC remains the governing party.
The ANC’s statement is encouraging because it:
- commits to finalising a policy for a universal BIG within two years,
- rejects conditionalities being attached to BIG,
- commits to values linked to poverty lines,
- commits to progressive financing of the grant,
- commits that the BIG will not replace existing social security such as the Child Support Grant (CSG) or existing public services, and
- commits to addressing problems with the existing SRD.
We note, however, that achieving these commitments will require a transition to a developmental macroeconomic policy, which contrasts with the policy framework of the current government. This will require a departure from austerity measures that have contributed to approximately 50% of eligible persons (6 million people) being excluded from the SRD grant each month, as well as post office and pay point closures, long queues and a lack of capacity within SASSA to assist, all of which disproportionately impact the most vulnerable, such as mothers with babies, and rural communities. It will also be important for the party to carefully review the systems and infrastructure of grant administration, which has resulted in high exclusion errors and privacy and surveillance risks for SRD grant applicants.
One further issue we will continue to engage with the ANC on is the need to restore the Child Support Grant (CSG) to the Food Poverty Line and to ensure it maintains parity with the BIG. This is crucial both to meet the basic needs of children and also to ensure that caregivers (predominantly women) are not left behind in the social security system, creating further gender inequity.
A wealth of rigorous research shows that a UBIG in South Africa would stimulate local economies, boosting consumption and productivity and helping to bring more people into employment. This in turn will boost GDP and government revenue, and, if combined with other developmental macroeconomic and industrial policies, help to catalyse a virtuous cycle of inclusive economic growth.
While there is an ongoing need for dialogue and vigilance, we are extremely encouraged to see political parties taking note of what civil society has to say. We encourage political parties to affirm a clear, progressive commitment to evidence-based social protection policy. We are also happy to present our position paper to any stakeholders or political party interested in discussing the issues or mapping a pathway to universal basic income.
NOTE | UBIC does not endorse nor is affiliated to any political party.
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For media inquiries:
- Dalli Weyers (IEJ) | 082 460 2093 | dalli.weyers@iej.org.za
- Nathan Taylor (#PTG) | 082 406 1208 | natejst663@gmail.com
UBIC is comprised of the following organisations:
- Africa UBI Observatory
- Alternative Information and Development Centre (AIDC)
- Basic Income Earth Network (BIEN)
- Black Sash
- Children’s Institute, UCT
- Congress of South African Trade Unions (COSATU)
- Family Caregiving
- Global Reformed Platforms for Engagement (GRAPE )
- Institute for Economic Justice (IEJ)
- #PayTheGrants
- RightfulShare An Income Movement
- Social Policy Initiative (SPI)
- Women on Farms Project
- Youth Lab
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.