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Universal income grant

The government is suggesting a universal basic income grant from October.  It will be R1,270 (if they are targeting South Africa’s poverty line) a month and target about 33 million people.   I actually like the idea of that as an experiment because I think it could get spending going again in the economy.  A lot of countries do it in a different way – largely by printing money and I don’t think many people appreciate just how much money the American government has basically printed and given to all of those who have lost their jobs during this time.  All those who have lost their jobs have been given an extra Covid-19 grant of $600 a week on top of the basic income grant and close to 30 million people have received it.  That is something quite large and a lot of that money is spent back into the economy. 

I am not sure whether that type of thing works on a long-term basis, but this would be a good chance to try it as an experiment and then after a 6 month period reassess it.  The other side though of course is once people benefit from it, they very seldom are prepared to see that it is taken away from them.

Posted by Michael de Broglio on Tuesday 28-Jul-20 Share on Facebook   Tweet It

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Bronwyn  said:
on Monday 31-Aug-20 09:33 AM
This might be a good thing, and it would really help the economy i just hope that this money will be used wisely.

Chante  said:
on Monday 31-Aug-20 08:19 AM
The country already has one of the continent’s most generous social security nets, but the COVID-19 pandemic has added to the need both to protect its fragile economy and its high number of unemployed.

Mathilda  said:
on Monday 24-Aug-20 02:12 PM
Corruption will not allow this "idea" and it's truly sad to say that about my country but it's the truth.
Let's not even go into the R500 billion COVID-19 relief fund that is allegedly already been depleted with nothing to show for it.

Michelle D  said:
on Friday 21-Aug-20 01:43 PM
In times of Covid-19 it's really difficult to determine what the correct approach to everything because we don't have any other crisis of recent years that gives us precedent. While printing money is a good solution in the short term, it's a very fine balancing act. We would hate the world to divulge into a Zimbabwean dystopia where money is barely worth the paper it is printed on.

thembi  said:
on Thursday 20-Aug-20 04:16 PM
Covid has really changed a lot of people in their life and i think it will also affect the ecnomy and the unemployment rate

sandra  said:
on Thursday 20-Aug-20 04:15 PM
The country’s unemployment rate is predicted to have soared since the start of the lockdown, with estimates ranging between 400,000 – 1.5 million jobs lost. There are also concerns about what will happen when the Covid-19 grant is no longer paid out.

Helen  said:
on Tuesday 18-Aug-20 08:01 AM
Covid -19 has changed lots of lives in South Africa, majority has lost their jobs and can not feed their families.
Universal income grant should make a difference, at least provide some kind of basics for those who struggling and hungry.

Kayla  said:
on Monday 17-Aug-20 04:27 PM
I believe this grant can help alot of people by means of especially placing food on the table. I hope this turns out to be a success, every cent helps especially in these hard times.

Dasanya  said:
on Friday 14-Aug-20 03:27 PM
I like this idea and definitely think it will be a great help to those who have lost their jobs during this tough time and who have families to take care of however, it just leaves one wondering if those in need will actually receive the grant.

Ashleigh  said:
on Friday 07-Aug-20 08:36 AM
That's a great start to something but where that amount of money gets you nowadays is another thing. I feel for the people who has lost so much during this epidemic.

Tamaryn  said:
on Thursday 06-Aug-20 10:08 AM
If this encourages consumer spending it will be good, however I've become too cynical of the present government's corruption and know that this too will land up lining their pockets instead of the intended recipients'.

Lourien  said:
on Wednesday 05-Aug-20 11:37 AM
The quickest way of improving the economy is for people to start spending, we have a Christmas season that's almost here and I hope the people will be spending their money wisely but they need to give it back to the economy to pick up again and allow for more jobs to be opened.

I cant believe there are so many people living on grants, 30 million people that has received grants already is a lot of money. This would be very interesting to see if this experiment will work and I would definitely want to see what happens in 6 months time .

Claudia B  said:
on Wednesday 05-Aug-20 08:17 AM
it would be an amazing idea yes and amazing if it would work for us, a lot of people and families need the help.

Kendall  said:
on Tuesday 04-Aug-20 03:32 PM
It is a great idea, however, I highly doubt that in a country that is filled with so much corruption that the money will actually get to the people who need it the most.

brumilde  said:
on Tuesday 04-Aug-20 01:40 PM
We need to spend to get money into the economy, we also need to earn to do so. Its a circle. The one hand feeds the other. i hope this works and they see after 6 months or so

Nicolle  said:
on Tuesday 04-Aug-20 10:13 AM
A lovely notion, but, probably just that, a notion. Whether it become a reality is a different concept. There is also the issue of corruption.

Clare  said:
on Monday 03-Aug-20 10:46 AM
I hope that the Government does assist, a lot of family have lost income to their homes during this lockdown. Jobs are getting lost all the time.

Natasha  said:
on Monday 03-Aug-20 10:23 AM
It is Wonderful that they are actually helping those that lost their job the other thing is just will they have enough money for all of the people that have lost their jobs their is so many people that lost their job because of the pandemic so many companies that had to close their doors,so I just hope that they can help as many people as possible.

Victoria  said:
on Friday 31-Jul-20 03:47 PM
I think it is nice to be giving to people who need the money but will the Government really pay that money out to the people. I hope for the people who really need this do get the help they need.

Roxanne  said:
on Friday 31-Jul-20 12:55 PM
I'm glad to see that they are helping those who have lost their jobs. But how long will this last and is it really going to those that need it and not making their pockets fatter

Danielle  said:
on Friday 31-Jul-20 12:28 PM
This is wonderful for the people that are less fortunate and lost there jobs. Its not much but its better than getting nothing.

Melissa  said:
on Friday 31-Jul-20 10:46 AM
This will certainly help a lot of people during this pandemic, it's not much but it's something

Angelique  said:
on Thursday 30-Jul-20 03:49 PM
I agreed with Fikile, sounds good but sounds like an early start to get votes. We introducing a universal grant of R1,270 but couldn't even pay the R350 UIF grant. So who will really be pocketing that money? I don't mean to sound so negative but I have no faith for the individuals who are in dire need of some sort of grant. The government seems to be all talk. What happened to the billions? Majority of people I come across were rejected for the R350.

Courtney  said:
on Wednesday 29-Jul-20 02:27 PM
The first positive thing I've heard if since the COVID hit South Africa. I am so happy for people who can benefit from this. I've been helping people out with food and some toiletries and there's people who really suffers so so so bad.
I wish I could help everyone.

Tayla  said:
on Wednesday 29-Jul-20 09:24 AM
I think it will help many families affected by this pandemic. I am just worried because the Covid UIF didn't go so well.

Ziyanda  said:
on Tuesday 28-Jul-20 03:19 PM
I think that would help a lot of people however I don't think they can make it work especially with the Government struggling with COVID funds.

Joyce  said:
on Tuesday 28-Jul-20 03:10 PM
I think it is a good idea maybe the idea can also work well in South Africa.
Just wondering what happened to the other grants since did not reached to some people who are still waiting.
Sounds like the idea works well with American government, maybe because there is no corruption or they have some plan to manage their finances well

fikile  said:
on Tuesday 28-Jul-20 01:49 PM
It is funny that the ANC is trying everything to win the votes of people even when the elections haven't started as of yet. They have also said they will increase the grant for the unemployed people to R450 because the R350 is little money, but also most of the people that are unemployed didn't get the R350 and i doubt that they will, yes they have asked the people that were rejected to apply again but when you think about it they will be rejected yet again. We shall all wait and see if they will do this or not.

lucretia  said:
on Tuesday 28-Jul-20 01:48 PM
It definitely does have its pro's and cons. It will allow the poorest of the poor to live a little and buy some food, not that one can buy much for that amount. I do, however, worry about when it comes to an end, will we have toy-toying and burning of property again......who knows, it is a first for all.

Alexis  said:
on Tuesday 28-Jul-20 12:56 PM
That is now something hey. The only issue with SA, is the corruption however I think that this is a marvelous idea to say the least and a very good way to bring it back into the economy with assisting the people who need to survive througfh these trying times.

Karien  said:
on Tuesday 28-Jul-20 12:11 PM
A universal income grunt is necessary to support livelihoods in South Africa especially now due to the impact of the pandemic, but I am afraid that, if our government does not get its affairs in order and seriously deal with corruption within all of its departments, this grant will become another source filling the pockets of government officials.

Colleen   said:
on Tuesday 28-Jul-20 11:50 AM
The socialistic ideals that we have implemented are not quite sustainable long term - as we are now seeing... Not quite sure how they expect to fork out another grant.

Sinead  said:
on Tuesday 28-Jul-20 11:34 AM
Apparently the COVID-19 UIF didn't work so well (I heard) so I wonder if this will work any better and how.
Another question though: Where is this money going to come from? Is the government loaning money again?
As Patrick says, this is a way to get the support back from voters! Will it work though?

Prishani  said:
on Tuesday 28-Jul-20 11:17 AM
I think government was in a difficult place and they implemented this out of desperation. I am glad that people most in need are benefiting from this.

Nikita  said:
on Tuesday 28-Jul-20 10:28 AM
I agree with Patrick. I think the ANC have realized that their re-election is very unlikely and that they have failed the people so they have opted for a quick fix with this grant. Long term however I don't think this grant is viable. It just means more expenses for the tax payer to fork out.

Megan  said:
on Tuesday 28-Jul-20 09:29 AM
Its as though people are so used to disappointment that they're afraid of change? Not sure how that makes sense but if you are constantly disappointed by one party, why continue support because in this case really, what is there to lose?

Melissa van Tellingen   said:
on Tuesday 28-Jul-20 09:29 AM
When reading this I just realise how extremely blessed me and my family members are. How does one live of R1 270.00 a month! I suppose when you have nothing it's a lot. Just curious of where the money will be coming from?

Jessica  said:
on Tuesday 28-Jul-20 09:17 AM
I think it is still very little for people to live on. However I guess if you have had nothing then something is better than nothing. I think Pensioners need to get more because they are the ones who need it more.

Bianca Niemann   said:
on Tuesday 28-Jul-20 09:11 AM
I think it's great for people who have suffered job loss during this time. Fair enough it is not a lot of money - but if you look at it on a bigger scale at how many people will be receiving this it is a big amount. I do agree with Patrick in that they are now preparing for the elections in 2012 and it does feel as though everytime there is an election coming up that they do what they can to get and keep supporters, but the problem is that as soon as an election is won the efforts seem to die down up until the next election.

Nicolene  said:
on Tuesday 28-Jul-20 08:53 AM
This is a very good idea as a lot of people are currently unemployed. Where will the money come from, because even before Covid the government finances were in a mess so I wonder if it's actually going to work as people are still waiting for the other grants to be paid out as they haven't received anything as yet.

Patrick Sedutla  said:
on Tuesday 28-Jul-20 08:47 AM
The anc is already preparing for 2021 local election. Mark my words they are going to use this grant to bring back supporters to elect them.

Melandre'  said:
on Tuesday 28-Jul-20 08:40 AM
I think it is idealistic, however seeing whether it could actually function in a country filled with corruption, is a wonder. America seems to have figured it out, but as mentioned how would it work/run in the long haul.

david  said:
on Tuesday 28-Jul-20 08:29 AM
a very good idea.
just curious about where the money is going to come from.

franzelle  said:
on Tuesday 28-Jul-20 08:01 AM
Yes I also like to see this, so many people struggle to get UIF.

Zindy  said:
on Tuesday 28-Jul-20 07:58 AM
Would love to see if this works, As for the other grants promised many have not received anything yet so Would like to know how they plan on making it work this time round.


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