African National Congress (ANC) secretary-general Fikile Mbalula said on Tuesday that his party is hopeful it will reach a consensus on the Budget within five days, having engaged all parties in the Government of National Unity (GNU), including the Democratic Alliance (DA), other political parties, as well as the religious sector.

Mbalula was briefing the media on the outcome of the party’s National Working Committee (NWC) meeting, on Monday, where he pointed out that the ANC’s negotiating team had been given a mandate to report to national officials in two weeks.

He said the ANC would engage the DA on their conduct in relation to the GNU.

Last week, the DA Federal Council chairperson Helen Zille filed papers in the Western Cape High Court to challenge the legality of the Budget process, seeking an interdict to stop the South African Revenue Service from implementing the value added tax (VAT) hike on May 1.

This after the National Assembly adopted the 2025 Fiscal Framework as tabled by Finance Minister Enoch Godongwana in March.

Last week, the Inkatha Freedom Party (IFP) and the ANC voted for an ActionSA recommendation that supported the fiscal framework, including a VAT increase, instead of amending or withdrawing the report, as suggested by the DA and the Economic Freedom Fighters (EFF).

The DA accused ActionSA of selling out South Africans.

ActionSA said it noted media reports arising from the ANC’s NWC meeting held on Monday night, which suggested a move to reconstitute the GNU to include ActionSA.

ActionSA president Herman Mashaba affirmed that his party would not give any consideration to the proposal of reconstituting the GNU to include ActionSA until the issues of the VAT increase and income tax bracket creep had been resolved.

Mbalula said the ANC had agreed with several parties on a range of issues with regards to the Budget, noting that the remaining issue was the question of the VAT increase.

“We remain principled to the talks that we had with them, principled and loyal to the engagement and issues in those meetings,” he said and stated that the ANC would continue to drive consensus on key pillars of the development fiscal policy, equitable and distributive tax policy, and progressive management of debt and deficit levels.

Mbalula highlighted that parties such as ActionSA demonstrated "maturity and patriotism" in supporting the fiscal framework, on the basis that alternative revenue proposals would be sought, including the replacement of the proposed VAT increase within 30 days. 

He pointed out that the NWC adopted the position of the GNU and that nothing has changed.

“Should anything change in relation to the GNU, that will be the decision of the [ANC] National Executive Committee. The NWC is navigating the progress of the Budget in the context of the GNU and is making it a point that we succeed in passing the Budget,” Mbalula stated.

He said the GNU remained a tactical instrument – "a shield against chaos and fragmentation".

“…however, its sustainability requires honesty, collective discipline, and loyalty to the people’s mandate,” he added.

He said the ANC was "deeply concerned" by the conduct of the DA, whose participation in the GNU had been "marred by double-dealing, negotiating and acting in bad faith, and open disdain for transformation".

The ANC believes that the DA had been acting as an opposition force, by opposing the BELA Act, the National Health Insurance and land expropriation amendments, and accused the DA of seeking to divide government, confuse the public, and claim credit without assuming responsibility.

“This dishonesty undermines the very essence of collective governance," said Mbalula.

The Business Delegation to the Government-Business Partnership, meanwhile, wrote to President Cyril Ramaphosa last week, urging that the core of the GNU – the ANC, DA and IFP – not be dismantled, stressing that South Africa had a lot to lose. 

"We acknowledge the complexity of the current situation and the real differences of opinion that exist. But from where we stand, those differences — while not insignificant — appear bridgeable over time. The cost of failing to bridge them — instability, stalled reform, and lost investor confidence — would be far greater. We therefore write to you with a simple plea: Stay the course. Stay in the room. Hold the line. Keep building. Compromise," the delegation said.