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South Africa: State Moots Inflation Increases for Grants
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Business Day (Johannesburg)
9 July 2008
Posted to the web 9 July 2008
Linda Ensor
Cape Town
The possibility of increasing social grants to bring them in line with increases in the inflation rate was one of the options raised in a report on the effect of escalating food prices on the poor, health director-general Thami Mseleku said yesterday.
The report, which would also look at a possible zero-rating of various foodstuffs and localised food production in home gardens, was likely to be released within a month or so, Mseleku told a media briefing.
The briefing was an update on the activities of the social cluster of departments, including health, social development, education and housing.
Mseleku said the government had no intention of regulating food prices, a stance previously enunciated by Finance Minister Trevor Manuel.
Health Minister Manto Tshabalala-Msimang said the report on food security and the effect of rising food prices on the poor had been submitted to the cabinet, which had requested that further work be done on it.
She also said a discussion paper on retirement reform and social security would be released before the end of the year. An interdepartmental task team involved in drawing up the proposals had held several meetings with stakeholders to review the reform options.
"Some of the key policy options being considered include the design of standard savings/retirement funding arrangements and options for improved unemployment insurance and death or disability benefits.
"The training of medical practitioners has therefore also been delayed but the social development department has appointed 40 members to panels of tribunals to deal with appeals submitted for all grants, but especially those related to disability benefits."
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The briefing also heard that Social Development Minister Zola Skweyiya had set up a disciplinary committee at the South African Social Security Agency to gather information about fraud and corruption at the agency.
Big deal,when all else fails(if you tried anything)which the ANC did not,apart from make themselves visable,which is not the same thing,throw money/socialism at the problem and hope it will come right.Sounds familiar,so it should.
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