Open Letter from civil society, labour organisations, and policy experts regarding the need for Treasury to align fiscal policy with its institutional obligations, and a sustainable economic and social development paradigm

A coalition of civil society, labour, and policy experts urges President Cyril Ramaphosa to curb the National Treasury's influence over social policy. They argue that Treasury's 'austerity' paradigm and opposition to a permanent basic income grant contradict constitutional obligations and the President's own stated goals, leading to the unfair exclusion of millions from the Social Relief of Distress (SRD) grant.

• The National Treasury is accused of exercising disproportionate authority in policy areas outside its mandate, which the authors claim undermines the realisation of constitutional rights and prevents democratic discussion on national challenges.
• There is a significant policy contradiction regarding basic income support: while President Ramaphosa has committed to a system of basic income, the National Treasury continues to oppose it, citing fiscal constraints.
• The Social Relief of Distress (SRD) grant is described as highly exclusionary; despite over 17 million active applications, only approximately 8 million people receive the grant monthly, meaning roughly half of the eligible population is excluded.
• The authors argue that the exclusions in the SRD grant are a direct result of the National Treasury failing to provide adequate funding to cover the target population, forcing the Department of Social Development and SASSA to implement arbitrary barriers.
• The letter criticizes the Treasury's adherence to a narrow economic paradigm—characterized by austerity, privatization of essential services, and financialization—which the authors claim worsens inequality and poverty while hindering sustainable growth.
• The authors contend that resources to realize socio-economic rights are available and that investments in social assistance provide positive fiscal multipliers, particularly in highly unequal developing societies.

APA

Institute for Economic Justice (2024). Open Letter from civil society, labour organisations, and policy experts regarding the need for Treasury to align fiscal policy with its institutional obligations, and a sustainable economic and social development paradigm. https://iej.org.za/wp-content/uploads/2024/11/Open-letter-to-the-President-on-social-development-policy-contradiction-ahead-of-2024-MTBPS.pdf

Chicago

Institute for Economic Justice. Open Letter from civil society, labour organisations, and policy experts regarding the need for Treasury to align fiscal policy with its institutional obligations, and a sustainable economic and social development paradigm. 2024. https://iej.org.za/wp-content/uploads/2024/11/Open-letter-to-the-President-on-social-development-policy-contradiction-ahead-of-2024-MTBPS.pdf.

Wikipedia

{{cite press release |author=Institute for Economic Justice |title=Open Letter from civil society, labour organisations, and policy experts regarding the need for Treasury to align fiscal policy with its institutional obligations, and a sustainable economic and social development paradigm |date=24 October 2024 |url=https://iej.org.za/wp-content/uploads/2024/11/Open-letter-to-the-President-on-social-development-policy-contradiction-ahead-of-2024-MTBPS.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{instituteforeconomicjustice2024open, author = {{Institute for Economic Justice}}, title = {{Open Letter from civil society, labour organisations, and policy experts regarding the need for Treasury to align fiscal policy with its institutional obligations, and a sustainable economic and social development paradigm}}, publisher = {Institute for Economic Justice}, year = {2024}, month = oct, url = {https://iej.org.za/wp-content/uploads/2024/11/Open-letter-to-the-President-on-social-development-policy-contradiction-ahead-of-2024-MTBPS.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }