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A universal basic income has broad support in South Africa.
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And the South African government has just committed to making universal basic income a reality.
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South Africa is ranked as one of the worst countries in terms of income inequality.
South Africa suffers from severe income inequality – one of the worst in the world. Its unemployment rate, however, is over 30%.
But your government thinks it has a solution: a universal basic income.
The idea has broad political support and the country’s largest political party, the African National Congress, recently said it is committed to implementing a universal basic income within two years.
Once the fruit of ideological dreamers, a universal basic income – regular direct cash payments to an unrestricted population – has gained legitimacy, especially after the success of COVID-era stimulus checks. Tech visionaries racing to develop increasingly advanced artificial intelligence have also suggested implementing a universal basic income. They say it would help mitigate job losses caused by AI.
Several other countries have experimented with versions of a universal basic income. Kenya, for example, offers unconditional payments to around 20,000 people in 200 different cities.
In the United States, numerous cities and some states are experimenting, on a small scale, guaranteed basic income, which offer no-obligation payments, but only to selected groups of people in need. Although studies have shown these American programs to be successful, they have also encountered significant political opposition.
But in South Africa, most political parties are completely in favor. They just need to sort out the details.
“The ANC is committed to finalizing a comprehensive policy on the basic income support grant within two years of the new ANC administration, ensuring broad consultation and swift action,” South Africa’s ruling party said. said in a statement.
This statement was made a week before the hotly contested general elections of 29 May, in which the ANC lost its majority in parliament. The ANC is now working to form a unity government and a commitment to implementing a universal basic income will almost certainly emerge in the negotiations.
According to the party, a study by the University of Johannesburg showed that the majority of South African citizens “fully support the introduction of a basic income support allowance”.
Although South Africa provides payments to certain groups living below the poverty line through its Social Assistance grant program, the ANC plan would open eligibility to all South African adults, the Guardian reported.
The ANC said it is “exploring” options, such as new fiscal measures and a new social security tax, to finance the program. The party also states that its objective with the program is not to replace existing social security programs, but rather to complement them.
If realized, the ANC plan will make South Africa the first country to provide a universal basic income.
Read the original article at Business Insider
