During an oral response session in the National Assembly (Parliament), the president emphasized that combating poverty and the cost of living is a fundamental priority for the Government of National Unity (GNU) and a central pillar of the Medium-Term Development Plan.

However, in his remarks, Ramaphosa acknowledged the severe financial pressure faced by many South Africans, overwhelmed by an increase in the cost of the average food basket of nearly 40% above inflation in recent years.

The President highlighted the framework of the country’s macroeconomic policy, including a target inflation rate, as a key factor in stabilizing prices and reducing the burden on consumers.

In this regard, he reported progress, such as the fact that food price inflation fell from 12,7% at the end of 2022 to 2,2% in March 2025, while headline inflation, which averaged 4,4% in 2024, moderated further, reaching 2,7% in March 2025.

To further protect low-income households, he added, the government maintains VAT exemptions on essential foods such as corn flour, whole-wheat bread, rice, milk, eggs, and other staples.

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