South Africa left R4.9bn of grant money unspent
The social development department calls it a saving. MPs call it a failure, in a country where 23 million people live below the poverty line.
Cape Town — South Africa's Department of Social Development failed to spend R4.879 billion set aside for social grants in the last financial year, the Mail & Guardian reports.
The figure was presented to parliament's social development committee. It covers money allocated for old age, disability and child support grants.
"Your financial report talks about a R4.879bn saving, something I find horrible," said Samantha Graham-Maré, a Democratic Alliance MP, "because we should not be saving money that should be made available for spending."
The department's explanation
Officials said fewer people took up the grants than had been budgeted for.
The department's chief financial officer, Thandeka Ngcobo, said the money could not be used for anything else. It is "specifically and exclusively appropriated to be utilised only for the purpose it was specified for — payments of grants".
A pattern
It is the sixth year running in which grant money has gone unspent. The amounts were R1.88 billion in 2020-21, R1.86 billion in 2021-22, R6.13 billion in 2022-23, R1.59 billion in 2023-24 and R2.67 billion in 2024-25.
Some 23.2 million South Africans, or 37.9% of the population, live below the lower-bound poverty line.
Leadership gaps
The department has no permanent director-general and 22 priority posts are vacant. The minister, Dina Pule, told the committee: "By 1 April 2027, we will have appointed the DG."
This report is based on reporting by the Mail & Guardian.
