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In a country with some of the worst income inequality – where the unemployment rate is over 30% – implementing a universal basic income seems to be an amazing solution.

While this might sound like something for the dreamers, the reality of a universal basic income being implemented in South Africa has grown in legitimacy, especially considering the success of COVID-19-era stimulus checks.

Not to mention how a universal basic income would help mitigate the job losses from artificial intelligence, which is racing ever faster to previously unimagined corners of the business world.

The idea of regular direct cash payments to a population with no strings attached has gained broad political support already, per Business Insider, with the African National Congress driving the project, committed to implementing a universal basic income within two years.

“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 expedited action,” South Africa’s ruling party said in a statement that came a week before hotly contested general elections on May 29, which saw the ANC lose its majority in parliament.

Sure, that sounds lovely, but Saffas aren’t even sure who the next president is going to be, or what kind of coalition or government of national unity is going to take hold to guide us all forward, never mind figuring out the details of a universal basic income.

Still, since the ANC is working to form a unity government, their commitment to implementing a universal basic income will almost certainly come up in negotiations.

A study at the University of Johannesburg showed that a majority of South African citizens “fully support the introduction of a basic income support grant”, which would be available to everyone.

While South Africa provides payments to certain groups living below the poverty line through its Social Relief Distress grant program, the ANC plan would open eligibility to all South African adults, the Guardian reported.

The ANC announced it is “exploring” various options, including new tax measures and a new social security tax, to fund the programme, while also emphasising that the programme will aim to complement, not replace, existing social security programs.

Several other countries have experimented with versions of universal basic income, like Kenya, for example, which provides unconditional payments to approximately 20,000 people across 200 different towns. Meanwhile, in America, some cities and states are experimenting on a small scale with guaranteed basic incomes, which offer no-strings-attached payments but only to select groups of people in need.

If all goes to plan, this would make South Africa the first country to offer a universal basic income with no strings attached.

[source:businessinsider]