Minister in the presidency Khumbudzo Ntshavheni tabled Statistics South Africa’s 2026/27 budget vote, highlighting poverty trends, inequality data and labour market shifts, while stressing the importance of reliable statistics in guiding government planning and policy decisions.
Image: The presidency/ X
Minister in the Presidency Khumbudzo Ntshavheni says 10.8 million South Africans remain below the food poverty line, even as poverty levels continue to decline, with extreme poverty falling from 27.4% in 2006 to 17.6% in 2023.
Tabling Statistics South Africa’s 2026/27 budget vote, Ntshavheni said the latest data reflects progress in reducing poverty, but warned that millions still live in severe deprivation.
She said the lower bound poverty line declined from 57.5% in 2006 to 37.9% in 2023, while millions fewer people are now living in extreme poverty compared to nearly two decades ago.
However, she stressed that the figures still reflect deep inequality, saying: “10.8 million people below the food poverty line is 10.8 million people too many towards the goal of total elimination of poverty, even when we accepted the negative impact of the Covid-19 pandemic on the fight against poverty.”
Statistics South Africa, she said, has been allocated R2.98 billion for the 2026/27 financial year as government intensifies efforts to strengthen data-driven planning and track progress in reducing poverty.
Ntshavheni said the allocation forms part of the 2026/27 to 2028/29 medium-term expenditure framework, with funding projected to rise to R3.09 billion in 2027/28 and R3.20 billion in 2028/29.
She said Statistics South Africa remains central to government planning and accountability, adding that reliable data is essential in a fast-changing global environment.
“Supporting this Budget Vote is an investment in our ability to govern effectively in a rapidly changing world,” she said.
She added that climate shocks, technological change and global uncertainty make credible statistics “no longer optional”.
She further said official statistics serve as the foundation for national planning, describing them as a “guide and lodestar for our nation’s development”.
Ntshavheni said Stats SA’s work is anchored in the National Development Plan and the 2024–2029 Medium Term Development Plan, which prioritises inclusive growth, job creation and poverty reduction.
She also urged stronger support for household surveys used to measure poverty and inequality, warning that less frequent data collection limits government’s ability to respond effectively.
On education, she said Stats SA findings confirm that lower education levels are linked to higher poverty rates, adding: “education remains one of the most potent tools for fighting poverty”.
In this context, she said the implementation of the Basic Education Laws Amendment (BELA) Act is “non-negotiable”, while calling for reforms to the National Student Financial Aid Scheme (NSFAS) to address the “missing middle”.
Stats SA’s first quarter 2026 Quarterly Labour Force Survey, released ahead of the budget debate, showed a sharp deterioration in the labour market.
Employment fell by 345,000 between the fourth quarter of 2025 and the first quarter of 2026, bringing total employment down to 16.8 million.
Ntshavheni rejected suggestions that seasonal labour market patterns could explain the decline.
“The argument of an increase in unemployment due to first quarter trends of increased labour market entrants does not hold as the country experienced a decline in the number of employed persons,” she said.
She said this decline comes despite increased infrastructure investment and commitments, including R1 trillion allocated for infrastructure development and R1.5 trillion in investment pledges.
On migration and unemployment debates, Ntshavheni cited Stats SA data showing that in 2022, the unemployment rate among foreign-born persons was 18.2%, compared to 34% among locally born South Africans.
She also noted that foreign-born individuals had a higher absorption rate into the labour market at 64%, compared to 37.7% for locals.
According to official figures, South Africa had 55,190 refugees and 82,410 asylum seekers as of December 2025, while government continues enforcement efforts targeting undocumented migration and workplace compliance.
Ntshavheni said Cabinet has instructed stronger labour inspections and municipal enforcement to ensure compliance with employment and trading laws.
She said Stats SA’s Gini coefficient data showed mixed results, with inequality declining among black Africans and coloureds between 2011 and 2023, while increasing among Indians/Asians and white South Africans over the same period.
Ntshavheni highlighted that the income share of the bottom 40% increased from 4.4% in 2006 to 6.8% in 2023, although most income remains concentrated at the top end of the economy.
She also pointed to rising incomes among black households, noting that the proportion earning more than R75,000 a month rose from 29% in 2012 to 41% in 2024.
Ntshavheni said this reflects broader shifts in South Africa’s income structure over the democratic period.
She also emphasised the importance of official data in countering misinformation, saying statistics provide “the truth, told objectively and transparently through numbers”.
“We call on South Africans to allow facts to guide our national discourse. Let us choose evidence over noise, facts over fiction, and data over doubt.
''In an environment of misinformation, the credibility and authority of Statistics South Africa are not luxuries — they are democratic necessities,'' she said.
She said government remains committed to ensuring that statistics continue to guide policy for South Africa’s 62 million people.
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