SASSA SRD Grant to Become Basic Income Grant
South African Social Security Agency (SASSA) beneficiaries could soon see their monthly R370 Social Relief of Distress (SRD) grant evolve into a permanent Basic Income Grant (BIG), according to ANC Secretary-General Fikile Mbalula.
Speaking in Freedom Park, Soweto, on Sunday, Mbalula addressed community members and clarified the ANC’s plans to formalize the SRD grant into a broader and more sustainable social support system. “The R350 that President Ramaphosa gave you is here to stay,” he stated. “But we are going to change it and establish the Basic Income Grant to support people until they find employment. Once you move on, it will help others.”
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The Road to a Basic Income Grant
The idea of a universal Basic Income Grant has circulated within ANC circles since early 2024. During the party’s National Executive Committee (NEC) lekgotla in January, leaders emphasized the need for long-term social assistance for South Africans struggling with unemployment and poverty. The grant aims to provide a safety net while the government works to expand job opportunities.
Mbalula’s recent statements suggest the ANC has moved from discussion to implementation. The SRD grant, originally introduced in 2020 as a temporary COVID-19 relief measure, now appears to serve as the foundation for a permanent income support program.
Treasury’s Support and Budget Commitment
Finance Minister Enoch Godongwana’s 2025 budget speech further solidified the government’s commitment to supporting the SRD grant. Treasury allocated R35.2 billion to extend the grant through March 2026. Although initially set at R350 per month, the amount increased to R370 earlier this year, reflecting inflation adjustments.
With approximately 13 million South Africans—along with refugees and asylum seekers—currently relying on the SRD grant, converting it into a Basic Income Grant could significantly impact poverty levels and stimulate local economies.
Social Spending and Employment Goals
Mbalula stressed the ANC’s broader vision for social investment. “We want the money to benefit people,” he said. “We are fighting VAT increases, and we want to hire more teachers, nurses, and police officers. This is what we call social spending.”
By linking income support to economic recovery and employment growth, the ANC aims to balance welfare and productivity. Mbalula emphasized that the Basic Income Grant would serve as a bridge, helping beneficiaries survive while they seek jobs or improve their skills.
Payment Delays and Verification Measures
While Mbalula delivered promising news about the future of the grant, SASSA recently warned beneficiaries of potential delays in May payments. These setbacks stem from a large-scale verification campaign designed to enhance the integrity of the country’s social grant system.
SASSA conducts rigorous checks before disbursing payments, which usually occur during the final week of each month. The verification process ensures that only eligible recipients—whether citizens, refugees, or asylum seekers—receive the funds.
Grant’s Role in Poverty Relief
Since its inception in May 2020, the SRD grant has served as a lifeline to nearly 8 million people every month. Analysts view the program as one of the most significant social protection efforts in South Africa’s recent history.
By transitioning this temporary relief into a permanent Basic Income Grant, the government is signaling a shift toward broader economic inclusion. The move reflects lessons learned during the COVID-19 crisis, where millions faced hunger and financial uncertainty due to lockdowns and job losses.
The transformation of the SRD grant into a Basic Income Grant represents a bold step in South Africa’s social welfare evolution. Fikile Mbalula’s statements indicate that the ANC views this shift not merely as a handout, but as a strategic investment in human dignity, social stability, and economic resilience.
As the nation continues to grapple with unemployment, inflation, and inequality, a permanent income grant could offer millions of vulnerable South Africans a path to survival—and ultimately, upward mobility.
