Malema comes out guns blazing against Treasury, calls for Godongwana’s resignation

The overturning of the VAT hike — on Freedom Day — is the turning point for South Africa, claimed Julius Malema, leader of the Economic Freedom Fighters (EFF). The party leader described it as a “victory for the Constitution”. 

At a media briefing at the party’s Winnie Madikizela-Mandela House headquarters in Johannesburg, Malema said 27 April 2025 was not only important because it was Freedom Day, but because it was a “turning point in the politics of South Africa and especially parliamentary politics”. 

“So to overturn a decision of April fools (the passing of the contested fiscal framework) on the 27th of April was a victory to the Constitution of the Republic of South Africa — (so) that fools will never undermine the Constitution of the Republic of South Africa for as long as the EFF is there,” Malema said. 

The briefing came after Sunday’s order by the Western Cape Division of the High Court, which effectively suspended the 0.5 percentage point VAT increase that had been a bone of contention in the country since its announcement by Finance Minister Enoch Godongwana in March. 

Malema said during the briefing that if Godongwana “had any decency, he would have resigned” after all the Budget drama. 

The EFF joined the Democratic Alliance (DA)’s court case to overturn the VAT hike —  which would have come into effect on 1 May 2025, despite an outcry from politicians, civil society and ordinary citizens. 

Read more: Freedom Day 2025 — official freedom from pending VAT increase

On Monday, reading from a prepared statement, Malema said: “this decisive court order vindicates the principal stance the EFF has consistently taken to defend the Constitution, the rule of law, and the interests of the poor and working class against political expediency and executive outreach overreach.” 

He added that the suspension of the VAT increase was a “necessary intervention against further economic suffocation”.

From the onset of the VAT controversy, the EFF — with its 39 seats in the National Assembly — had opposed a hike and voted no to passing the contested Fiscal Framework — a key step in the budgetary process. 

Malema said on Monday: “The EFF has long warned that the current minister of finance and the leadership of the National Treasury are incompetent, untrustworthy, and incapable of tabling a credible, believable, and lawful Budget.” 

The EFF had proposed several alternatives before parliamentary committees, including the rejection of the VAT hike, adjusting personal income tax brackets, increasing corporate taxes and the introduction of an apartheid wealth tax on underutilised and luxury land, which he claimed could “generate a once-off revenue of R30-billion to R50-billion”. 

Malema added that the ruling was not just a victory for the EFF, but a “victory for the people of South Africa. It is a victory for the rule of law.” 

He added: “It is a victory for the poor and working class who would have suffered greatly under the VAT increase.

Read more: It was me! – parties scramble to take credit for VAT reversal

“In light of this decisive judgment, the Economic Freedom Fighters called for the immediate resignation of Finance Minister Enoch Godongwana and the National Treasury Director-General Duncan Pieterse,” said Malema, adding: “These individuals have proven themselves incapable of formulating a lawful, credible, and developmental Budget.”

Malema said the pair had “lost the confidence of the people of South Africa and the business community should not trust them — it is the business community that has spent billions on changing their VAT system for nothing, and should pursue any means necessary to hold the government accountable”. 

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Read Victoria O’Regan’s unpacking of the court hearings here: