MTBPS 2026: Medium-Term Budget Policy Statement — Full Speech

{JSON.stringify(article.attachments[0], null, 2)} --> On Wednesday, 21 October, Finance Minister Enoch Godongwana laid out the government’s progress in implementing his Budget 2026.

We are also publishing proposed amendments to the Public Finance Management Act and the Municipal Finance Management Act for public comment.

Madam Speaker, this year marks three important milestones in the history of our country.

It is 70 years since the Women’s March of 9 August 1956, 50 years since the Youth Uprising of 16 June 1976, and 30 years since the adoption of our Constitution in 1996.

These milestones remind us of the sacrifices made secure freedom, dignity and equality for all SouthAfricans.

They also remind us that political freedom must be matched by economic progress. This Medium-Term Budget Policy Statement forms part of that task.

The years of State Capture to COVID-19, of low growth, rising expenditure and debt, brought us to the brink of a fiscal crisis.

The damage inflicted on an already-weak economy demanded that we change course.

Government committed itself to move away from fiscal fragility towards one of stable, credible and sustainable public finances.

We limited bailouts of state-owned entities, funded new commitments responsibly and prioritised investment over unsustainable consumption.

Before this very House, we were honest about the choices before us. We made it clear that government could not fund every demand at once without risking the country’s fiscal future.

We have consistently said that debt would stabilise in 2025/26 and then begin to decline.

Debt as a percentage of GDP is now falling, creating a stronger foundation for investment, growth and job creation.

Earlier this year, all three major global credit rating agencies announced positive rating actions on South Africa, despite a challenging global environment.