# President Cyril Ramaphosa has defended the passing of the national budget, saying it is a critical instrument to drive development, eradicate poverty and narrow inequality. Last week, Parliament adopted the fiscal framework, which included a 0.5-percentage point value-added tax increase. In his weekly newsletter, the president says the expenditure on the social wage can only be sustained if there are higher levels of economic growth. He adds that the budget reflects the priorities of the Government’s Medium-Term Development Plan.
Ramaphosa says the budget is a critical instrument to narrow inequality