The Democratic Alliance (DA) has described its recent meeting with the African National Congress (ANC) regarding the ongoing budget impasse as constructive.
In a brief statement, DA federal council chairperson Helen Zille said that negotiating teams from both parties engaged in robust but respectful discussions.
The meeting follows heightened tensions last week when the DA declined to support the fiscal framework in Parliament, a key component of the national budget. The measure passed with the assistance of ActionSA, despite the DA’s opposition.
Zille noted that the DA used Saturday’s meeting to clearly restate its position, including its firm opposition to the proposed increase in Value-Added Tax (VAT).
“It was a fruitful meeting, in which we spoke very frankly about the issues that led to the budget deadlock,” said Zille. “The DA reiterated its opposition to a VAT increase, particularly in the absence of any meaningful reform plan that would promote economic growth and significantly boost job creation.”
The ANC has since committed to further talks with the DA and other coalition partners, including the Freedom Front Plus, to address the future of the Government of National Unity (GNU) and prevent further instability.