April 24, 2025.

For Creamer Media in Johannesburg, I’m Halima Frost.

Making headlines:

Parties take aim at DA, saying VAT hike reversal not a result of court action

Ramaphosa, Trump agree to meet after talks on bilateral relations and Ukraine peace

And, World Bank says South Africa will lag growth recovery in rest of Africa in 2025

Parties take aim at DA, saying VAT hike reversal not a result of court action

The African National Congress and nine other political parties have rubbished claims by the Democratic Alliance that the reversal of the value-added tax hike is a victory resulting from the DA's court case heard on Tuesday.

The Inkatha Freedom Party, ActionSA, Pan Africanist Congress, Rise Mzansi, BOSA, United Democratic Movement, Good Party, Al-Jamah and Patriotic Alliance joined the ANC in voting with the ANC to adopt the 2025 Fiscal Framework, with the 0.5% VAT increase.

Some of these parties argued that adopting the framework would end the Budget impasse while they negotiated with the ANC to scrap the VAT increase.

Yesterday, Finance Minister Enoch Godongwana wrote to Speaker of the National Assembly Thoko Didiza to inform her that he will be withdrawing the Appropriation and Division of Revenue Bills.

Reading a joint statement, ANC national spokesperson Mahlengi Bhengu-Motsiri said the VAT outcome did not arise from expedience, or as a concession to pressure or populism, but from a shared commitment across party lines that the working class and the poor cannot be further burdened in this economic climate.

Ramaphosa, Trump agree to meet after talks on bilateral relations and Ukraine peace

President Cyril Ramaphosa revealed today that he has spoken with US President Donald Trump, amid hostilities between both countries, with an agreement for a formal meeting between the two leaders to discuss relations between South Africa and the US.

In February, the US administration announced the suspension of aid to South Africa's healthcare sector, citing disagreements over land reform policies and South Africa’s legal actions against Israel at the International Court of Justice.

The US Department of State in Washington also expelled South Africa’s ambassador to the US Ebrahim Rasool, after he criticised Trump during a public discussion.

Ramaphosa has previously hit back against Trump, stating that South Africa will not be “bullied”.

On Thursday, Ramaphosa said he and Trump had agreed “to meet soon” to discuss issues relating to the relations between the US and South Africa.

Ramaphosa revealed that he and Trump had also discussed the peace process in Ukraine.

World Bank says South Africa will lag growth recovery in rest of Africa in 2025

The World Bank expects growth in sub-Saharan Africa, as well as South Africa, to rise in 2025 and further accelerate to 2027. But it is also warning of several downside risks, including restrictive trade policies and the prospect of tepid growth among major economies.

In its latest 'Africa’s Pulse' report, the World Bank forecasts that growth in sub-Saharan Africa will edge up from 3.3% in 2024 to 3.5% in 2025 and further accelerate to 4.3% in 2026 and 2027.

This performance would be dragged down, however, by some of the regional largest economies, including South Africa, Angola and Nigeria. Excluding these countries, the rest of the subcontinent is expected to grow at 4.6% this year and speed up to 5.7% in 2026 and 2027.

Nevertheless, real income per capita in 2025 is expected to be about 2% below its most recent peak in 2015 and the bank argues that growth is still not strong enough to significantly reduce poverty.

In South Africa, GDP growth is projected to recover from 0.6% last year to a yearly average of 1.8% from 2025 to 2027.

That’s a roundup of news making headlines today

Don’t forget to follow us on the X platform, at the handle @PolityZA