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We take a look at the latest budget estimates released by the National Treasury which shows the estimated budgets of all of South Africa's national government departments from the current 2019/2020 fiscal year all the way to the 2022./2023 fiscal year.
Note all data obtained from the National Treasury. |
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The budgets of South Africa's national government departments
The summary below shows the 2019/2020 budget estimate per national government department, as well as the estimated budget for the 2022/2023 financial year for the South African government. And the spending on national government departments in South Africa makes up a significant chunk of South Africa's fiscal policy. Fiscal policy can be summarised as the total spending and income earned by a government.
Department 2019/2020 2022/2023 % growth over period
Department 2019/2020 2022/2023 % growth over period
- The Presidency : R 699 339 000 R 676 008 000 -3.3
- Parliament : R 1 993 460 000 R 2 429 404 000 21.9
- Cooperative Governance : R 88 168 203 000 R 111 656 639 000 26.6
- Government Communication and Information System : R 683 562 000 R 793 977 000 16.2
- Home Affairs : R 9 527 704 000 R 10 041 490 000 5.4
- International Relations and Cooperation : R 6 508 515 000 R 7 328 850 000 12.6
- National School of Government : R 187 905 000 R 236 296 000 25.8
- National Treasury : R 30 431 975 000 R 32 911 895 000 8.1
- Planning, Monitoring and Evaluation : R 464 026 000 R 547 924 000 18.1
- Public Enterprises : R 56 883 030 000 R 2 119 109 000 -96.3
- Public Service and Administration : R 527 209 000 R 627 507 000 19.0
- Public Service Commission : R 278 229 000 R 328 206 000 18.0
- Public Works and Infrastructure : R 7 927 045 000 R 9 089 708 000 14.7
- Statistics South Africa : R 2 514 368 000 R 2 862 574 000 13.8
- Traditional Affairs : R 166 207 000 R 192 301 000 15.7
- Basic Education : R 24 064 654 000 R 28 592 395 000 18.8
- Higher Education and Training : R 88 859 297 000 R 107 373 398 000 20.8
- Health : R 50 694 952 000 R 63 490 984 000 25.2
- Social Development : R 184 697 845 000 R 226 890 768 000 22.8
- Women, Youth and Persons with Disabilities : R 737 987 000 R 853 035 000 15.6
- Civilian Secretariat for the Police Service : R 143 051 000 R 173 321 000 21.2
- Correctional Services : R 25 316 882 000 R 29 779 159 000 17.6
- Defence : R 50 235 579 000 R 52 993 577 000 5.5
- Independent Police Investigative Directorate : R 336 653 000 R 393 433 000 16.9
- Justice and Constitutional Development : R 18 581 506 000 R 22 083 944 000 18.8
- Military Veterans : R 652 553 000 R 734 951 000 12.6
- Office of the Chief Justice : R 1 197 692 000 R 1 398 347 000 16.8
- Police : R 96 684 210 000 R 112 683 604 000 16.5
- Agriculture, Land Reform and Rural Development : R 17 228 933 000 R 18 520 937 000 7.5
- Communications and Digital Technologies : R 4 648 875 000 R 2 642 952 000 -43.1
- Employment and Labour : R 3 381 724 000 R 4 009 847 000 18.6
- Environment, Forestry and Fisheries : R 8 695 741 000 R 9 640 473 000 10.9
- Human Settlements : R 33 861 914 000 R 32 790 834 000 -3.2
- Mineral Resources and Energy : R 9 036 718 000 R 10 583 371 000 17.1
- Science and Innovation : R 8 172 304 000 R 9 681 517 000 18.5
- Small Business Development : R 2 268 552 000 R 2 760 701 000 21.7
- Sports, Arts and Culture : R 5 687 091 000 R 6 269 571 000 10.2
- Tourism : R 2 392 670 000 R 2 687 740 000 12.3
- Trade, Industry and Competition : R 11 014 370 000 R 10 489 142 000 -4.8
- Transport : R 63 976 131 000 R 72 227 966 000 12.9
- Water and Sanitation : R 16 062 215 000 R 17 924 884 000 11.6
- Total Budget for National Government Departments : R 935 590 876 000 R 1 029 512 739 000 10.0
So currently the department of Social Development has by far the biggest budget of any of South Africa's national government departments, this is because they are responsible for paying social grants to over 17 million South Africans. The department of social development makes up 19.8% of the total budget allocation for national government departments. The Police has the second largest budget allocation in South Africa with a budget in 2019/2020 of R96.7 billion (or 10.33%) of South Africa's national government department budgets.
The biggest decline in the budget over the term 2019/2020 to 2022/2023 is that of the department of public enterprises. As the bulk of their current budget is heading towards continued bailouts of failing state owned enterprises (SOE) in South Africa. The department of public enterprises current budget is at R56.8 billion but is set to drop to R2.1 billion in 2022/2023.
Over the course of the next three financial years the total budget for national government departs is set to grow by 10% over the period, which equates to roughly 3.2% per year over the next three years. While most people will hope this is due to the public sector wage bill that will be cut over the next number of years, this does not seem to be the case as the unit cost (total cost per employee working in national government departments) is site to rise by 6.7% per year over the same time period. So it looks like most of national government depart cuts will be in goods and services and not in the compensation of employees. The savings in the government wage bill mentioned by finance minister Tito Mboweni refers to savings they will be making by paying lower pay increases than what they initially budgeted/planned for, as well as those people retiring as well as resigning from government jobs. Do not be fooled into thinking government employees wages will be cut as there is no chance of this happening.
The biggest decline in the budget over the term 2019/2020 to 2022/2023 is that of the department of public enterprises. As the bulk of their current budget is heading towards continued bailouts of failing state owned enterprises (SOE) in South Africa. The department of public enterprises current budget is at R56.8 billion but is set to drop to R2.1 billion in 2022/2023.
Over the course of the next three financial years the total budget for national government departs is set to grow by 10% over the period, which equates to roughly 3.2% per year over the next three years. While most people will hope this is due to the public sector wage bill that will be cut over the next number of years, this does not seem to be the case as the unit cost (total cost per employee working in national government departments) is site to rise by 6.7% per year over the same time period. So it looks like most of national government depart cuts will be in goods and services and not in the compensation of employees. The savings in the government wage bill mentioned by finance minister Tito Mboweni refers to savings they will be making by paying lower pay increases than what they initially budgeted/planned for, as well as those people retiring as well as resigning from government jobs. Do not be fooled into thinking government employees wages will be cut as there is no chance of this happening.