Economic Freedom Fighters (EFF) leader Julius Malema has voiced strong concerns over the 2026 national budget presented by Finance Minister Enoch Godongwana, arguing that it fails to address South Africa’s stagnant economy despite attempts to appear balanced in an election year.
In his reaction to the finance minister’s speech, Malema described the address as an effort to seem reasonable, particularly to the working class, amid the political context of upcoming elections. However, he emphasised that the core issue remains unresolved: the economy is not growing. Without growth, he said, the country cannot create jobs, expand infrastructure, or translate higher revenue collection by the South African Revenue Service (SARS) into meaningful progress.
Malema highlighted a disconnect between announcements and funding. He pointed to President Cyril Ramaphosa’s recent statement about employing 10,000 additional labour inspectors, noting that parliamentarians applauded the idea, yet no budget allocation was made for it. “What the president said doesn’t matter,” Malema stated, suggesting the proposal lacks practical backing.
On a positive note, Malema welcomed the adjustment to personal income tax brackets, which provides some relief by putting more money in workers’ pockets through inflation-linked changes. However, he downplayed its impact, arguing that saving R1.4 billion in the fiscal framework does little to address everyday hardships. “It doesn’t reduce the price of bread. The price of bread is still high. Electricity is still high,” he said.
The EFF leader was particularly critical of the budget’s emphasis on public-private partnerships. He cited the electricity sector as an example where such collaborations have failed to lower costs—instead, electricity prices have risen. Malema dismissed claims that involving the private sector in areas like transport infrastructure and railways would reduce expenses, asserting that private entities are profit-driven and tend to increase costs rather than decrease them.
When asked what he would do differently, Malema advocated for a shift in priorities. He called for greater investment in infrastructure and building state capacity, rather than focusing on impressing international bodies like the International Monetary Fund (IMF) or investors. “The people are not at the center of your budgeting, but if anything, it’s the so-called investors who are being impressed,” he said. His alternative approach would concentrate on job creation, especially for young people, through state-led initiatives.
Malema also referenced ongoing discussions about the University of Ekurhuleni, expressing hope that it would materialise, as it has been anticipated for some time. “If it happens, good for all of us because we’ve been waiting for it,” he noted.
Overall, Malema’s critique portrays the 2026 budget as fiscally cautious but lacking bold strategies to stimulate growth and prioritise ordinary South Africans over external perceptions. The opposition leader’s comments reflect broader concerns among critics about the government’s approach to economic challenges in a year of political significance.