Lobby organisation Section 27 says it is concerned that the economic relief package to address COVID-19, does not address the needs of poor and vulnerable groups despite its significance.
The organisation says the targeting mechanisms for the topped up and new social grants make a lot of people fall through the cracks.
Spokesperson Zukiswa Kota says,“What is is concerning for us is for instance should business guarantees sit with the National Treasury in terms of liabilities or should they sit with the South African Reserve Bank.”
”Are we able to justify closing of community based organisations permits to provide food in this time of need. Should those measures be relaxed, should we not for example safeguard street vendors and food informal workers access to jobs, but also to provide more affordable food,” adds Kota.
SA’s R500 billion COVID-19 economic relief
Earlier, President Cyril Ramaphosa announced a R500 billion economic response to the coronavirus (COVID-19) pandemic.
The lockdown has imposed restrictions that have left many people in the country financially strained.
“The pandemic requires an economic response that is equal to the scale of the disruption it is causing,” said Ramaphosa.
R500 billion amounts to 10% of South Africa’s Gross Domestic Product (GDP).
The stimulus package is divided into three phases, with the recent R500 billion announcement being the second phase.
The video below, is reporting on economic and social stimulus package that aims at mitigating the impact of the coronavirus: