While the confirmation of an increase of half a percentage point in value-added tax (VAT) has disappointed tourism stakeholders, the 2025 Budget Speech’s emphasis on infrastructure development has provided cause for optimism.
Delivering the speech on March 12, Finance Minister Enoch Godongwana said that public infrastructure spending over the next three years would amount to more than R1 trillion (€50bn), with 77% of this allocated to transport and logistics, energy, and water and sanitation.
FEDHASA Chairperson Rosemary Anderson said that appropriate use of the funding would address the service delivery constraints plaguing hospitality businesses.
“The hospitality industry has battled to contend with the effects of service…
