Let’s pull together to weather economic turbulence, says Cabinet

Cabinet says while the COVID-19 pandemic and the ongoing global conflict have had a severe impact on the cost of living worldwide, everyone needs to pull together, help each other and save resources during this difficult time.

“South Africans are frustrated by rising prices of fuel, food and essentials. We all need to pull together, help each other and save our resources in this difficult time. Government is doing everything in its power to provide relief for everyone, especially the poor,” said Minister in the Presidency, Mondli Gungubele, at a post cabinet media briefing on Thursday.

A well-functioning, strong and independent South African Reserve Bank, the Minister said, is helping to shield society from the ravages of inflation by keeping it within a narrow target range — well below what many other countries are currently experiencing.

He said Cabinet welcomed the decision by National Treasury to grant an extension of the reduction in the General Fuel Levy (GFL).

The GFL was cut by R1.50 a litre for April and May, and will be further extended from 1 June to 6 July 2022.

Cabinet also welcomed the decision of the Competition Commission to closely monitor prices of essential food items, particularly the provision that businesses should justify their price increases.