Result achieved

Outcome summary

In February 2023, the Government of South Africa presented the 2023 National Budget with significant increases to fiscal allocations for investments in social protection, including an additional ZAR 36 billion (USD 1.9 billion) for the extension of the ...

Outcome achieved

In February 2023, the Government of South Africa presented the 2023 National Budget with significant increases to fiscal allocations for investments in social protection, including an additional ZAR 36 billion (USD 1.9 billion) for the extension of the COVID-19 Social Relief of Distress Grant (SRD Grant). The announcement followed the adoption by the National Department of Social Development of several modelling reports examining the impact of the SRD Grant on vulnerable segments of the population not covered by existing social protection programmes. These included a Supplementary Modelling Report adopted by the Department in December 2022, which reinforced the case for additional investments in similar income support grants and examined the economic, fiscal, and social implications of making the SRD Grant permanent and the basis for a new Basic Income Support Grant (BIS Grant). The increase in allocations announced for the SRD Grant, which had been set to expire, extend the grant until 31 March 2024, and follow evidence-based advocacy in the form of various modelling exercises supported by the ILO and others.

ILO's contribution to the outcome

In April 2022, the ILO supported the National Department of Social Development in developing terms of reference for a Panel of Experts constituted to conduct a Supplementary Modelling study to examine the salience and feasibility of a Basic Income Support Grant (BIS Grant) for income compromised working age individuals between the ages of 18 and 59 based upon an extension of the SRD Grant. From May to September 2022, and with the support of the UN Joint SDG Fund-financed Joint Social Protection programme, the ILO commissioned the Panel of Experts to undertake the supplementary modelling exercise. During this time the ILO shared analytical tools and supported the research undertaken by the Panel of Experts to examine the economic and social effects of the SRD Grant and its institutionalization into a BIS Grant. The ILO also provided support in the finalization and launch of the modelling report of the Panel of Experts on the BIS Grant held in December 2023.

Gender equality & non-discrimination

The envisaged BIS Grant is aimed at covering both men and women equally, unlike the current Child Support Grant for which women tend to be the recipients. The modelling of scenarios undertaken by the Panel of Experts - examined and compared the impact of a BIS Grant on poverty and inequality for male and female headed households. The analysis showed better outcomes under the BIS Grant regime for female headed households.

SDG

SDG SDG
Goals
  • End poverty in all its forms everywhere
  • Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
٢٠٢٣ ZAF177 8.2.1