In May 2020, grants called “Social Relief of Distress” (SRD) were made available as a short-term solution for the needs of the most vulnerable people. The grant was implemented quickly and proved to be effective.
In his medium-term budget speech for 2022, Finance Minister Enok Godongwana confirmed that the subsidies would be extended.The medium-term changes to spending plans are driven mainly by the government’s decision to extend the special Covid-19 SRD grant by one year, until 31 March 2024.

• This is because Godongwana has taken various global and local risks into account, including rising inflation, tightening fiscal conditions, and the continued impact of Covid-19, including China’s tightening of lockdowns and impacts on global demand and supply chains. After the outline was done.
  
• As such, the budget for the next three years will be focused on restoring service delivery and laying the foundation for higher growth.
  
• Godongwana reiterated that a permanent extension or replacement of SRD grants would require a permanent increase in income, a reduction in spending elsewhere, or a combination of both.