> S.Africa's unity government fractures over budget / 38YK8G2
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S.Africa's unity government fractures over budget / 38YK8G2
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The second-largest party in South Africa's coalition government of national unity (GNU) says it is reconsidering its future in the alliance after Parliament passed a budget that it had rejected. The centre-right Democratic Alliance (DA) filed a legal appeal to stop a one-percent VAT hike over the next two financial years that was outlined in the budget passed Wednesday by just eight votes. "In our estimation that the Minister does not have confidence that he'll get the votes in Parliament. He then goes ahead and announces a VAT increase, which is set to take effect on the 1st of May, and no bill is moved through Parliament to support that VAT increase. We are challenging that concept", says Mark Burke, DA spokesperson on finance matters. IMAGES AND SOUNDBITES