The Democratic Alliance (DA) has confirmed that discussions with the African National Congress (ANC) over the controversial budget proposal, including a Value-Added Tax (VAT) increase, are ongoing—but no agreement has been reached.
This comes after a dispute between the two parties last Friday regarding Finance Minister Enoch Godongwana’s recent budget announcement, which included the proposed tax hike.
DA spokesperson Karabo Khakhau said the party's primary focus remains securing economic reforms that align with its vision for growth.
"I can confirm that conversations are constructive. There’s no deal yet, but we are getting closer to each other," Khakhau stated. "At the heart of the DA’s demands is ensuring we achieve the economic policy reforms we believe are in the best interest of South Africans."
She emphasized that these reforms are aimed at driving economic growth, creating jobs, and narrowing the wealth gap. "The only way to achieve this is through a rigorous approach to GDP growth, increased economic investment, and expanding job creation opportunities," she added.
Negotiations between the DA and ANC are expected to continue as both parties seek common ground on the budget.