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National Budget speech: Seven things taxpayer money is being spent on

Where do our taxes go? Here, apparently…

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Malusi Gigaba delivered his National Budget speech for 2018 on Wednesday afternoon, signalling the beginning of the hard graft Cyril Ramaphosa and his team will have to put in to revitalise South Africa.

As reported by Fin24, the country is going to have to dig deep in the next few years put SA back on track. They have summarised the three-year plans the government want to implement, and there are hundreds of billions of rand being ploughed in healthcare, education and social grants.

Overall, the speech itself was given in a rather relaxed manner by Gigaba. He even found time to quote Kendrick Lamar, as he casually ambled along. The Budget even seemed a lot rosier than the Mid Term plans laid out in October 2017.

The finance minister went on to share how much money the government are prepared to spend. If you want to know where your taxes will be going in the next 12 months, you no longer have to wonder:

National Budget speech: Where’s our money going?

(Projections over the next three years)

R528.4 billion on social grants

A further 38.4 billion will be spent on social grants from last year. There is, on average, a R90 rise for grants in total:

(National Treasury)

R324 billion is provided for higher education and training

This includes R57 billion going towards the free education plans made by Jacob Zuma in December 2017. This was the government’s largest reallocation of resources.

R792 billion for basic education

This includes R35 billion for infrastructure, and R15.3 billion for learner and teacher support materials, including ICT. The government are planning to pump more money into the resources and facilities needed for productive learning environments.

R125.8 billion on water infrastructure and services

R667 billion on health

There is more than a 10% increase on what the government will put towards healthcare in the coming few years. R66.4 billion will go towards the HIV/AIDS and TB conditional grant.

R129.2 billion to support affordable public transport

The Budget has allocated more funds towards commuter travel up to 2021.

R6 billion to tackle drought in the next year alone

Gigaba addressed the fact that Cape Town won’t be the only city facing the day zero scenario in his National Budget speech. He stressed that South Africa is a water-scarce country, and provisions have to be made for the entire nation.

[Figures from National Treasury, Fin 24]