Government Spending Secured Through Section 29 of the PFMA Amid Budget Delays

 

As South Africans, we often worry when there’s uncertainty around the national budget. Questions arise like: Will social grants still be paid? Will essential services continue? Thankfully, the National Treasury has confirmed that government operations will continue without disruption—for now.

Until the new national Budget is officially passed, the government will operate under Section 29 of the Public Finance Management Act (PFMA). This section provides a critical financial safety net by allowing the state to spend up to 45% of the previous year’s Budget over the first four months of the new financial year.

This is more than just technical jargon. It means schools will stay open, clinics will continue running, and public employees will get paid—all without needing immediate parliamentary approval of a new budget.

While this temporary financial framework ensures stability, it's important to note that it isn't a long-term solution. Section 29 spending is a stopgap measure that buys the government time. However, the full Budget must still be debated, passed, and enacted to support long-term planning and service delivery.

As citizens, we should stay informed and continue to hold our leaders accountable. We’ve seen before how delays and uncertainty in government finance can hurt those most in need. So while Section 29 keeps the lights on, the real work lies in passing a responsible and inclusive Budget that truly serves all South Africans.