SASSA Response to a Growing Number of Grant Beneficiaries. Millions of vulnerable South Africans rely on Sassa grants for their essential needs, and the South African Social Security Agency (SASSA) is addressing the challenges posed by the increasing number of grant recipients to fulfill its constitutional duty of providing social support.
Extensive Range of Social Grants
SASSA’s monthly distribution of social grants extends to approximately 19 million people, encompassing Older Persons’ grants, Disability grants, War Veterans’ grants, Child Support grants, Foster Care grants, Care Dependency Grants, and the Grant-In-Aid. Additionally, the agency disburses Social Relief of Distress (SRD) grants to over 7 million unemployed adults in South Africa, meaning that nearly 45% of the country’s population currently relies on SASSA’s support.
Challenges in Grant Payments
Despite its commitment to assisting vulnerable citizens, SASSA has faced disruptions in grant payments due to challenges such as load shedding, budget constraints, and technical issues with Postbank, affecting beneficiaries who rely on SASSA payment cards. These disruptions have significant implications, as failed payments can prevent beneficiaries from accessing vital services and purchasing food.
A Growing Number of Beneficiaries
SASSA recently disclosed an increase in the number of grant beneficiaries, rising from 18.7 million to nearly 18.9 million recipients, incurring a cost of R202 billion. This signifies a growth rate of approximately 0.82%. Moreover, the agency disbursed an average of 8.5 million R350 grant payments each month, resulting in a total expenditure of R30.2 billion for the 2022/23 financial year.
Effective Administration and Funding
SASSA has demonstrated cost-effective administration of social assistance, with an average administrative cost of R22 per month, well below the target of less than R37 per month. The agency also exceeded its target by approving over 1.6 million grant applications, achieving a remarkable success rate of 99.5%.
In the same fiscal year, SASSA processed all SRD grant applications, with 5.3 million out of 8.5 million applications being declined by March 31, 2023. Notably, unlike the previous financial year, SASSA did not receive additional funding in the 2022/23 financial year, but managed to reallocate its budget to cover the administrative costs of the grant.
Conclusion
Over the course of 12 months, the total number of beneficiaries paid through all payment methods increased by 91,090, and beneficiaries with their own bank accounts grew by 1.1 million during the same period. SASSA’s commitment to efficiently managing the increase in grant beneficiaries reflects its dedication to supporting the vulnerable population of South Africa.
