Parliament, Friday, 20 November 2020 – The National Assembly during its hybrid plenary sitting this morning approved the Division of Revenue Second Amendment Bill.

The Bill was tabled by the Minister of Finance, Mr Tito Mboweni, on 28 October 2020 during the presentation of the 2020 Medium Term Budget Policy Statement (MTBPS).

The 2020 Division of Revenue Second Amendment Bill addresses the government’s response to the Covid-19 pandemic, changes in the equitable division of revenue raised nationally among the three spheres of government, changes to provincial government allocations, changes to local government conditional grants allocation, and corrections to gazetted frameworks and allocations.

In its report, the Standing Committee on Appropriations noted that the Bill does respond to the negative impact of Covid-19 on the livelihoods of many South Africans. It welcomed the additional allocations to provincial grants and to the provincial equitable share, which are aimed at mitigating the impact of the pandemic.

The committee also noted with concern the reduction in provincial and local government conditional grants considering the importance of local government in providing services to the people.

Having considered the Bill, the committee recommended that it be adopted without amendments.

The Bill will now be sent to the NCOP for concurrence.

ISSUED BY THE PARLIAMENT OF THE REPUBLIC OF SOUTH AFRICA
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