ANC and DA meet over VAT dispute!

TWO largest parties in the GNU meet after weeks of squabbles over VAT increase!

After weeks of tension within the Government of National Unity (GNU) over the proposed VAT increase, the Democratic Alliance (DA) and the African National Congress (ANC) finally sat down for direct talks in Joburg on Saturday, 12 April.

DA Federal Council chairwoman Helen Zille confirmed that a negotiating team, appointed by the DA's Federal Executive, met with a delegation from the ANC.

The discussion was prompted by the ongoing standoff over the Fiscal Framework, which proposes a 1% VAT increase over the next two years.

Zille described the engagement as open and constructive, with both parties addressing the budget impasse and broader cooperation within the GNU.

"The engagement took place in a constructive atmosphere, with both sides speaking respectfully yet frankly about the need to resolve the impasse over the budget and to enhance cooperation between the two parties in the context of the Government of National Unity," said Zille.

She reiterated the DA's firm stance against the VAT increase, especially in the absence of substantial economic reforms.

"The DA reiterated our position that a VAT increase is unaffordable in the absence of meaningful reform that will increase economic growth and create jobs," she added.

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Meanwhile, ANC national spokeswoman Mahlengi Bhengu-Motsiri confirmed the meeting, noting it forms part of the party's broader efforts to break the budget deadlock and reconfigure the GNU in line with national priorities.

"Today, the African National Congress (ANC) negotiating team led by secretary-general, Comrade Fikile Mbalula, held a constructive engagement with the leadership of the Democratic Alliance (DA) as part of ongoing efforts to break the current budget impasse and the reconfiguration of the Government of National Unity," said Bhengu-Motsiri.

She pointed out the ANC's commitment to nation-building and collective leadership.

"At the centre of these engagements is the future of our country, South Africa, and the responsibility we all carry to ensure it remains united, stable, and focused on development," she stated.

Bhengu-Motsiri affirmed that the ANC entered the GNU with a clear mission: to build consensus around rebuilding the country, accelerating service delivery, creating jobs, and tackling inequality.

"These goals are not negotiable. South Africa must come first. As leaders, we owe it to the people of this country, black and white, young and old, to rise above narrow political interests and work together in the spirit of unity and shared progress," she added.