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DEPARTMENT OF SOCIAL DEVELOPMENT

5.2 EXPLANATION OF PLANNED PERFORMANCE OVER THE MEDIUM-TERM PERIOD
Over the medium-term, the DSD will continue to transfer funds to beneficiaries for grant is expected to increase. The high levels of unemployment and poverty in the
the provision of social grants as administered and paid by SASSA for the provision country, combined with high wage inequality and low labour market participation,
of social grants to the elderly, children, war veterans and persons with disabilities. are contributory factors to the growth of social grants to children. Furthermore, the
Social grants account for an estimated 94.3% (R175.3 billion per year on average) of continuing trend of generally low wages paid to those who are working means that
the Department’s total budget over the MTEF period. SASSA is mandated to pay social a high proportion of working parents do not earn sufficient wages to adequately
grants to 19.1 million beneficiaries in 2020/2021, up from 18.6 million in 2021/2022 (in provide for their children.
line with National Treasury final projection). For the foreseeable future, the social assistance programme will continue to be an
important lever in government’s arsenal to tackle poverty and inequality. In the
Spending on grants is expected to increase at an average annual rate of 7.5 per immediate future, as the country battles the COVID-19 pandemic, the social assistance
cent over the medium term. Mostly due to inflationary adjustments to the value of system has become even more important as a key response to mitigate the severe
the grants and growth in the number of beneficiaries. The elderly population, that is impact on incomes and livelihoods of vulnerable workers and their households. The
people older than 60, is growing by 3% per year. As the elderly population grows, the economic fallout of the pandemic continues to reverberate across the economy,
number of beneficiaries who receive the old age grant is expected to increase. As the necessitating urgent intervention including the increased allocation of R40 billion.
child population grows, the number of beneficiaries who receive the child support

5.3 PROGRAMME RESOURCE CONSIDERATIONS – PROGRAMME 2
PROGRAMME 2: SOCIAL ASSISTANCE
SUB PROGRAMMES 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25
Audited Outcome Budget MTEF
Old Age 64 130 161 70 542 096 83 493 000 81 024 952 86 486 656 92 145 781 95 100 181 99 371 078
War Veterans 3 086 2 380 1 762 1 101 1 197 962 966 1 009
Disability 20 944 847 21 960 632 25 118 060 23 031 721 23 578 935 24 703 937 24 300 768 25 392 102
Foster Care 5 207 026 5 114 211 5 397 740 4 783 110 4 338 120 4 057 091 3 574 598 3 735 131
Care Dependency 2 841 422 3 068 028 3 598 470 3 445 776 3 658 015 3 874 808 3 889 694 4 064 378
Child Support 55 847 799 60 611 568 70 877 556 85 590 843 73 317 920 77 224 363 77 019 131 80 478 018
Grant-in-aid 816 588 994 205 1 400 090 1 311 643 1 600 052 1 900 870 1 809 710 1 890 983
Social Relief of Distress 545 842 416 720 402 697 19 756 614 2 535 528 386 780 388 266 405 703
TOTAL 150 336 771 162 709 840 190 289 375 218 945 760 195 516 423 204 294 592 206 083 314 215 338 402
ECONOMIC
CLASSIFICATION
Transfers and subsidies 150 323 267 162 709 840 190 040 836 218 945 760 195 516 423 204 294 592 206 083 314 215 338 402
Households 150 323 267 162 709 840 190 040 836 218 945 760 195 516 423 204 294 592 206 083 314 215 338 402
Payments for financial assets 13 504 248 539
Grand Total 150 336 771 162 709 840 190 289 375 218 945 760 195 516 423 204 294 592 206 083 314 215 338 402

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ANNUAL PERFORMANCE PLAN