Question 7. Mr M Ntuli (ANC) to ask the President of the Republic:

Given that the global transition from green-house gas emissions to renewable energy is creating an unprecedented rising demand for metals and minerals, which presents an opportunity to the Republic as a mineral rich country to better leverage its resources to finance development and infrastructure, diversify the economy, expand energy access and avoid instances where resource wealth fails to translate into broad development, what concrete steps will the Government take to reform resource taxation, such as implementing a resource rent tax to increase revenue and finance development, infrastructure and economic diversification in line with the World Bank Report that the Government only capture about 40% of revenue that it can potentially collect from natural resources?

NO2892E

Honourable Members, 

Any company that extracts a mineral resource in our country is required to pay the South African government a mineral royalty. This is because mineral resources are finite and cannot be replaced. 

While it is always good to review existing policies against national priorities, there is no intention at this stage to reform the current mineral royalty regime. 

The Honourable Member raises the issues of resource rent taxes.

Such taxes aim to ensure that companies extracting minerals pay a larger share of their profits to government whenever profits are high. 

South Africa’s mineral royalty regime incorporates an element of the principle underlying resource rent taxes. 

The royalty rate is applied to the sales value of a mineral and is determined by a formula that varies according to profitability, as well as whether the mineral has been refined or is unrefined. 

There is a minimum rate to ensure that even if profitability is low, the country is still reimbursed for resources that are extracted.

In this way, government collects more corporate tax revenue and mineral royalty revenue during commodity booms leading to a higher level of taxation.

Statistics from the South African Revenue Service show that mineral royalties doubled from R14.2 billion to R28.5 billion between 2020/21 and 2021/22 because of the commodity boom. 

They remained elevated in 2022/23 before dropping to almost R16 billion in 2023/24, indicating that companies were not as profitable in that year.

In addition to the payment of mineral royalties, mining companies contribute to national revenue through the payment of corporate income tax, capital gains tax on the disposal of assets, VAT and employees’ pay-as-you-earn tax contributions.

In the past financial year, the mining industry paid 14 percent of all corporate taxes in South Africa.

Earlier this month, Cabinet adopted a Critical Minerals Strategy for our country, which places a sharper focus on domestic mineral value addition.

The strategy itself aims to maximise the country's potential particulary in the global market for critical minerals, particularly those crucial for the country’s just energy transition and the ones for which the country holds comparative advantage. 

This strategy aims to ensure that South Africa derives greater benefits from its mineral wealth through beneficiation, through localisation and the people who work for those companies.

I thank you. 

 

Question 8. Mr M V Daniels (PA) to ask the President of the Republic:

On which specific legal and/or statutory provisions does the Government rely when it classifies the Khoi-San, Coloured, Indian and white South Africans as not being African in particular after more than three decades of democracy?

NO2889E
 
Honourable Members, 

Every South African is by definition an African. 

We are all equally of the African continent, just as we are all equally South African. And we have an equal claim to this country.

As we work to overcome the racial and other divisions of the past, we have put in place legislation and other measures to redress the effects of discriminatory laws and practices.

We have introduced legislation in areas such as land reform, employment equity and economic empowerment.

If we are to affirm and advance the position of people who were previously disadvantaged, we need to use – for this purpose alone – the terms associated with our apartheid past.

Not only is the use of such terms necessary for redress, it is also necessary to gauge the progress we are making to reduce the stark differences in the material conditions between different population groups.

Finding terms that are accepted by all South Africans is not straightforward, and there is bound to be debate about what is most appropriate and acceptable.

The Broad-Based Black Economic Empowerment Act, for example, defines black people in the context of the Act as a generic term for Africans, Coloureds and Indians.

In the census and other statistical reports, Statistics South Africa uses the terminology Black African, Coloured, Indian/Asian and White. 

The use of race-based terminology will always be difficult for a country like ours to accept as we work to put behind us the racial injustices of the past. 

However, until we have reached our goal of equality for all people in our country , there will be circumstances when we need to use such terminology.

Our responsibility is to ensure that our use of such terms ultimately makes the differences they refer to less and less important – until they are rendered meaningless and no longer serve any purpose.

I thank you.

 

Question 9. Mr G Michalakis (DA) to ask the President of the Republic:

Whether he intends putting measures in place, in addition to economic growth and job creation, on shielding South Africans from the high costs of basic necessities in light of the increase of costs of the average household food basket by nearly 40% above the rate of inflation; if not, what is the position in this regard; if so, what are the measures?

NO2890E 

Honourable Members, 

Government recognises the high cost of living facing South Africans.

Tackling poverty and the cost of living is one of the three strategic priorities of the GNU and forms a central pillar of the Medium Term Development Plan.

South Africa’s macroeconomic policy framework has been a key lever for shielding the poor from the high cost of living. 

The framework includes an inflation target, which has helped to keep prices low and stable and has been important in reducing average prices.

Food price inflation has fallen quite significantly from 12.7 percent at the end of 2022 to 2.2 percent in March 2025. 

Headline inflation, which is a measure of the general cost of living, has also declined, averaging 4.4 per cent in 2024 and inflation has even moderated further to 2.7 percent in March 2025. 

Food staples, such as maize meal, brown bread, rice, samp, milk, eggs and other basic foodstuffs remain exempt from VAT, to help to cushion lower-income households in our country.

Our fiscal policy has been redistributive, prioritising poor and low-income households. Government spends around 60 percent of its revenue on the social wage, which includes spending on social grants on education and health.

In the Budget presented by the Minister of Finance last week, social grants were increased at a rate higher than inflation.

The provision of free basic services, such as water and electricity, for indigent households is an essential measure in reducing the high cost of living.

The bulk of local government’s equitable share in this year’s budget goes towards a free basic services package to over 11 million households in our country.

This package of free municipal services continues to be a key tool for reducing poverty and inequality, and raising living standards and facilitating access to greater economic opportunities for many of our people.

It is essential that municipalities ensure that this support reaches all the households that need it.

Another measure to mitigate the impact of the high costs of basic necessities are a network of over 3,000 centre-based food programmes established by the Department of Social Development to provide nutritious food to poor and vulnerable people. 

These centres provide comprehensive services that include psychosocial support, welfare and developmental interventions, while addressing the immediate need of providing access to nutritious food on a daily basis.

We are also working to address some of the structural factors that contribute to the cost of living, including the impact of apartheid spatial planning. 

We are therefore reforming our housing policies to provide affordable housing closer to economic centres as well as improving the capacity of commuter rail services, making it less expensive for people to get to work or to access services.

I thank you. 

 

Question 10. Dr C P Mulder (FF Plus) to ask the President of the Republic:

With reference to the Basic Minimum Programme of Priorities of the Statement of Intent of the 2024 Government of National Unit (GNU), which identifies rapid, inclusive and sustainable economic growth, the promotion of fixed capital investment and industrialisation, and job creation as some of the priorities of focus for the 7th administration, and considering that section 85(2)(b) of the Constitution of the Republic, 1996, stipulates that the President of the Republic exercises the executive authority, together with other members of the Cabinet, by developing and implementing national policy, what new economic policies has he, together with other members of the Cabinet developed since the formation and swearing-in of the GNU on 3 July 2025 to materialise and/or implement the specified focus areas?

NO2894E

Honourable Members, 
    
The main elements of our economic strategy are outlined in the Medium Term Development Plan.

The apex priority of the MTDP is to achieve inclusive growth and job creation.

This plan is underpinned by a stable macroeconomic framework, which creates a conducive environment for long-term investment.

To achieve higher levels of economic growth we are undertaking massive investment in infrastructure building, and upgrading our maintainenance activities.

In the Budget Speech last week, the Minister of Finance confirmed that public infrastructure spending over the next three years will amount to R1 trillion.

He noted that allocations towards capital investment remains the fastest-growing area of spending, ensuring that we use our resources to foster and to support growth.

Public spending on infrastructure will be complemented by reforms to the regulatory framework to enable public-private partnerships, as well as streamlining infrastructure financing and project preparation mechanisms.

A further pillar of our economic strategy is to support sectors with high potential for growth and job creation.

This includes growing our key export sectors like mining and agriculture, while developing new industries such as renewable energy, electric vehicles and green hydrogen and harnessing our unique advantages in the green economy.

We are strengthening the capacity of the state which is a key pillar of the MTDP, including turning around the financial and operational performance of SOEs and improving delivery at local government level.

We are working in partnership with business and alongside other social partners to promote employment through public and social employment, and work experience and training initiatives that are made available through our public work programs.

Finally, we are implementing structural reforms to increase efficiency as well as competitiveness, while addressing constraints on job creation.

The second phase of Operation Vulindlela is an important part of our strategy to drive more rapid and inclusive economic growth.

This will be achieved by sustaining the momentum already developed and following through on the implementation of existing reforms to realise their full impact.

This includes for instance transforming the electricity sector to achieve energy security, creating a world-class logistics system to support export growth, investing in water infrastructure to ensure water security, and to reform the visa system to attract skills as well as investment. 

The reform agenda is being expanded into new areas to improve the performance of local government, and to create dynamic and integrated cities to lead economic activity, and to harness digital public infrastructure as a driver of growth and inclusion. 

As part of this next phase of reform, Cabinet recently approved an ambitious Digital Transformation Roadmap to leverage digital public infrastructure, focusing on digital identity, digital payments, data integration and digital services.

At the direction of Cabinet, the Presidency and National Treasury are working to develop an integrated economic growth strategy which will bring together these interventions in a coherent, focused and carefully prioritised manner.

There is absolute agreement within the Government of National Unity that achieving growth and job creation is our most important and urgent priority.

I thank you.

 

Question 11. Ms M Modise-Mpya (ANC) to ask the President of the Republic:

 

1. With reference to his remarks during the official visit of the President of Ukraine, Mr Volodymyr Zelenskyy, to the Republic, wherein he expressed deep concerns about the continuing conflict in Ukraine that has led to the loss of civilian lives, damage to critical infrastructure and the deteriorating humanitarian situation, and further suggested that peace can only be obtained through diplomacy, inclusive dialogue and a commitment to the principles of the United Nations Charter, what practical diplomatic interventions will the Republic initiate within the multilateral fora to ensure the end of the conflict in Ukraine;
2. What engagements have been initiated with the Russian Federation with regard to ending the conflict?

NO2893E

Honourable Members, 

South Africa remains steadfast in its commitment to a peaceful resolution of the Russia-Ukraine conflict, advocating for the inclusion of both parties in initiatives aimed at ending the hostilities. 

We as South Africa have consistently urged the parties to engage in negotiations in a spirit of cooperation and compromise.

Our government has emphasised the importance of achieving an unconditional ceasefire, accompanied by goodwill actions that will lead to de-escalation and initiate a genuine process of dialogue and negotiation.

South Africa calls on the parties to adhere to the principles of the United Nations Charter, including the peaceful resolution of conflicts and respect for the sovereignty and territorial integrity of states.

We are deeply concerned about the impact of the Russia-Ukraine conflict across many parts of the world. 

We support initiatives that ensure food and energy security for the African continent, as well as the safeguard of global supply chains.

South Africa will continue to actively participate in all initiatives, including the African Peace Initiative, and the Joint Group of Friends for Peace, to support a negotiated and peaceful settlement of the conflict.

Engagements with the Presidents of Russia and Ukraine have occurred on several occasions, both in-person as well as via telephone. 

In-person meetings with President Putin include the African Peace Initiative meeting on 16 June 2023 in St Petersburg and a bilateral meeting on the margins of the BRICS Summit in Kazan in Russia on 22 October 2024. 

We are hopeful for a positive outcome.

I thank you.

 

Question 12. The Leader of the Opposition (MK) to ask the President of the Republic:

 

With reference to the media statement released by his Office on 30 April 2025 confirming his intention to establish a judicial commission of inquiry to investigate allegations that attempts were made to prevent the investigation and prosecution of apartheid-era crimes, what has he practically done during his administration to (a) expedite the specified prosecutions and arrests and (b) ensure that the families of apartheid victims are well updated about his interventions for them to find closure and taste the fruits of justice by rightfully benefiting from the reparations which were established to compensate them, so that this judicial process is not a waste of limited state funds like the other Judicial Commissions he established before?

NO2896E

Honourable Members,

The delay in the investigation and prosecution of apartheid-era crimes has caused great pain and hardship for the victims and their families, and has denied all South Africans of the justice they seek.

This government has therefore prioritised cases referred by the Truth and Reconciliation Commission to the National Prosecuting Authority for urgent attention.

To this end, a TRC Component was established within the NPA in September 2021 to prioritise TRC matters. 

Both the NPA and the Hawks appointed TRC coordinators to coordinate and manage the progress of these matters in all provinces.

Presently there are 14 prosecutors on contract and 30 Hawks investigators who have been appointed to deal with TRC matters. 

There are currently 158 matters under investigation and 7 criminal cases on the court role. One criminal case has been concluded, with a succesful conviction, since the TRC component was established.

Eight inquests have been re-opened or will shortly be established, and a decision has been taken to processed with another 11 formal inquests. Six inquests have been finalised.

The President’s Fund has provided reparations to the victims of apartheid-era crimes in line with the recommendations of the TRC.

Since its establishment, the Fund has paid nearly R500 million in once-off individual grants to beneficiaries identified by the TRC.

In addition, support has been provided – and continues to be provided – for the education of identified victims, their relatives and dependents. Around R260 million has been paid for both basic and higher education.

Support continues to be provided for the exhumation and reburial of victims of apartheid-era crimes.

Government uses various methods – including information road shows, SMSs, letters and emails – to keep TRC-identified individuals informed of developments, especially with respect to education assistance reparations.

As we proceed with the investigations, inquests and prosecutions, it is in the interests of justice that we establish the reasons for the delay in attending to the TRC cases.

I am therefore establishing a judicial commission of inquiry to determine whether attempts were made to prevent the investigation and prosecution of apartheid-era crimes. 

The establishment of the commission of inquiry is part of an agreement reached in settlement discussions in a court application brought by families of victims of apartheid-era crimes. 

The Commission will investigate whether attempts were made to influence members of the SAPS or NPA not to investigate or prosecute TRC cases, and whether any action should be taken against persons who may have acted unlawfully.

I thank you.