The government of national unity was established following the 2024 general elections in which the African National Congress (ANC) lost its outright parliamentary majority. The ANC and the Democratic Alliance (DA) recently held a meeting to address a budgetary deadlock that is threatening the coalition government they lead.
Both parties described the meeting as constructive, with a commitment to dialogue and collective leadership in addressing the urgent socio-economic needs of the country. The ANC emphasized its dedication to engaging all government of national unity partners, civil society, and stakeholders to ensure a stable and inclusive government that prioritizes the interests of South Africans.
Similarly, the DA expressed its willingness to enhance cooperation with the ANC within the context of the government of national unity. The party reiterated its stance against a VAT increase, citing the need for economic growth and job creation as prerequisites for such a measure.
Despite the positive tone of the meeting, neither party has shown a willingness to back down from their positions, leading to an ongoing standoff. The disagreement stems from the DA’s rejection of a proposed VAT increase in the national budget, which Finance Minister Enoch Godongwana had to revise due to opposition within the ANC and from smaller parties in parliament.
Following a narrow approval of the revised budget in early April, the DA filed a court application challenging the process. Internal discussions within both parties have since ensued, with the ANC exploring alliances with other parties in case the DA decides to withdraw from the coalition.
The DA’s internal sentiment regarding the coalition is divided, with uncertainty surrounding the stance of party leader Helen Zille. While the six DA ministers in President Cyril Ramaphosa’s cabinet have expressed willingness to continue working with the ANC, tensions within the coalition persist.
Despite most parties in the coalition supporting the fiscal framework, ongoing conflicts within the structure have caused frustration among members. The future of the government of national unity remains uncertain as both the ANC and the DA navigate their differences and seek to find common ground for the benefit of all South Africans.
