Question NW1272 to the Minister of Social Development

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07 June 2016 - NW1272

Profile picture: Jooste, Ms K

Jooste, Ms K to ask the Minister of Social Development

(1)What factors were taken into consideration when the 1 April 2016 increase in social grant pay-outs by her department were calculated; (2) whether she has found that the specified increase of social grant pay-outs will allow the grant recipients to meet their minimum nutritional requirements based on food price inflations; if not, why not; if so, what are the relevant details?

Reply:

1. Social grant increases are determined in consultation with the National Treasury and the South African Social Security Agency (SASSA). The amount of money available for the individual grant increases is subject to government’s expenditure ceiling and is guided by the appropriation made for grants by Parliament. For this financial year a budget increase of 8.2% was allocated for grant increases. This increase needs to provide for both demographic and economic factors. All these factors have a considerable influence in determining annual grant increases. However, these increases are constrained by the available budget.

2. All grants, with the exception of the Child Support Grant (CSG) are above the country’s basic food poverty line as determined by Statistics, South Africa. They are also above the highest Upper Bound Poverty line (of R753 per month in 2014). Hence these beneficiaries should have enough to buy adequate food as well as additional non-food items.

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