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ANC Considering Universal Basic Income for Every South African Citizen

South Africa’s ruling ANC is considering transforming the country’s Covid grant into a universal basic income (UBI). The party announced this plan one week before the recent elections stating that it will seek to finalize the policy within two years of forming a new administration. If implemented, the policy will make the country the first in the world to provide a regular grant to all adults between 18 and 59, regardless of their employment status. Currently, the country operates a Social Relief of Distress (SRD) grant; however, it is limited to those below the food poverty line. Despite this, the means-test threshold used to judge who qualifies exempts some people who might have qualified. Although not as inclusive, similar UBI programs globally have shown positive impacts, including improved diets and business startups. Experts argue that its implementation in South Africa will boost the economy by triggering increased spending among its poorest households.SOURCE: THE GUARDIAN