Should social grants be increased to mitigate COVID-19 economic impact?
The costs of dealing with the long-term economic fallout from the COVID-19 pandemic will be enormous for most countries all over the world.
The 21-day lockdown has left some people unemployed and some companies struggling to make ends meet.
Should the country increase social grants to ensure that those living in poverty have enough to survive during the lockdown?
The country is currently paying R18.3-million per month on social grants.
South Africa's fiscus is under enormous strain and the junk status rating will make borrowing difficult and expensive.
Eusebius McKaiser speaks to Katherine Hall of University of Cape Town Children’s Institute, who says locking down the population to make sure everyone was safe meant that a good part of the economy was also shut down.
This we know has had enormous implications for household poverty levels, unemployment and people in the informal sector etc.Katherine Hall, Children’s Institute, University of Cape Town
Hall says many organisations submitted a letter to the Presidency and the Department of Social Development on Friday asking for the social grants to be increased.
The letter called for an additional amount to the child support grant. It is about using the child support grant as a mechanism to get more cash into households.Katherine Hall, Children’s Institute, University of Cape Town
The child support grant is the quickest and easiest one to do. It has the broadest reach in the social grants in the country.Katherine Hall, Children’s Institute, University of Cape Town
Listen to the full interview below...
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