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This policy brief by the Institute for Economic Justice (IEJ) argues that the South African government has failed to raise the maximum available resources (MAR) to fund essential social services, leading to unnecessary austerity. The document identifies numerous tax and non-tax revenue streams—including wealth taxes, the removal of ineffective tax breaks, and the utilization of the Gold and Foreign Exchange Contingency Reserve Account (GFECRA)—that could provide hundreds of billions of rands to avoid budget cuts and stimulate economic growth.

This joint submission by the Center for Economic and Social Rights, the Institute for Economic Justice, and SECTION27 argues that South Africa is implementing retrogressive austerity measures that threaten economic, social, and cultural rights. The authors contend that the government's focus on debt reduction is based on exaggerated concerns and that resources could be maximized through progressive tax reform and the eradication of corruption and 'state capture'. The document details how budget cuts and inefficient resourcing are severely undermining the public health and basic education systems, leading to critical staff shortages, infrastructure backlogs, and poor learner outcomes.