Relief for millions as Godongwana extends SRD grant

Finance Minister Enoch Godongwana has announced a one-year extension of the Covid-19 social relief of distress (SRD) grant, which will now be available until March 2027.

This decision was revealed during the 2025 Medium Term Budget Policy Statement (MTBS) on Wednesday. The SRD grant, initially introduced to support citizens during the Covid-19 pandemic, was previously extended until 2026 in the minister's Budget speech in May. .

Godongwana said: “The Covid-19 social relief of distress grant will be extended for another year, to March 2027, while proposals are finalised to link the working-age population to skills development and employment programmes.”

President Cyril Ramaphosa, in his State of the Nation Address, described the SRD as an essential mechanism for alleviating extreme poverty.

In May, Godongwana said that government is actively exploring various options to better integrate this grant with employment opportunities, which “includes considering a job-seeker allowance and other measures, as part of the review of Active Labour Market Programmes”.

Godongwana previously said that R844.4 billion has been allocated to the Department of Social Development over the medium-term expenditure framework (MTEF) period.

An estimated 45% of the country’s population depends on social grants or the SRD grant as a primary source of income, which includes approximately 13.2 million child support grant beneficiaries and 4.3 million recipients of the old age grant.

In his MTBS, Godongwana said: “Over the medium term, the function will continue to help reduce poverty, ensure the sustainability of welfare services and combat gender-based violence.

“The South African Social Security Agency (SASSA) will intensify efforts to combat fraud and corruption while protecting legitimate beneficiaries. Social protection spending, mainly on social grants, is projected to grow at 3.4% over the medium term, reflecting improved income verification, and reduced errors and fraud," Godongwana said.

Human rights advocacy group, Black Sash, said while the minister’s extension provides temporary relief to millions of South Africans facing unemployment, hunger, and economic hardship, they found it concerning that government continues to treat the SRD grant as a temporary measure.

“South Africa cannot continue to postpone the inevitable. After more than four years of the SRD grant, the evidence is clear: income support works. It has reduced hunger, cushioned families against deepening poverty, and stimulated local economies. Yet, uncertainty and administrative delays have left millions anxious about their future.

“It is unacceptable that in 2025, there is still no policy framework or implementation plan for a permanent Basic Income Support grant for those aged 18 to 59 with little or no income,” they said.

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