Pixabay
Talks took place on Saturday between the Democratic Alliance and the African National Congress to resolve the impasse between the parties in the Government of National Unity over a proposed 1% increase in VAT contained in the budget.
DA federal council chairperson, Helen Zille, said the engagement on Saturday took place in a constructive atmosphere.
She said both sides spoke “respectfully yet frankly” about the need to resolve the impasse over the budget and to enhance cooperation between the two parties in the context of the GNU.
“The DA reiterated our position that a VAT increase is unaffordable in the absence of meaningful reform that will increase economic growth and create jobs.’
Zille said the DA was committed to finding solutions in the best interests of the people of South Africa, both in relation to the budget and to strengthen the GNU.
“We agreed that it was very important to have mechanisms whereby these issues can be resolved timeously and that the mechanisms of the foundational statement of intent need to be built upon in order to make the GNU work more functionally,” she said.
The ANC said its delegation was led by secretary-general Fikile Mbalula and described the engagement with the DA as “constructive.”
“At the centre of these engagements is the future of the country – South Africa – and the responsibility we all carry to ensure it remains stable, and focused on development,” said ANC national spokesperson, Mahlengi Benghu- Motsiri.
She said the ANC would continue to engage with all GNU partners, civil society and other stakeholders in pursuit of a stable, inclusive and effective government that places the interests of South Africans at the heart of all its decisions.
