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FREE SA’S Message: GNU’s Maiden SONA a chance to mend fractures, backtrack on disastrous Expropriation Act
- Free SA writes to President Ramaphosa condemning the Expropriation Act and urging the President to repeal the legislation.
- GNU members applauded for condemning the Expropriation Act.
- Directors at Free SA, Daniël Eloff and Paul Maritz, launch a research report illustrating the causal link between limited property rights and economic downturn.
Free SA, the Foundation for the Rights of Expression and Equality, has written to President Cyril Ramaphosa today to urge him to repeal this harmful legislation.
This follows their recent condemnation of President Ramaphosa for signing the Expropriation Act into law. In the wake of the assent of this troublesome piece of legislation, the outcry from key global trade partners, notably the USA, has further underscored the serious threat to property rights and investor confidence that the Act poses.
Equally worrying were the revelations that Government of National Unity (GNU) ‘coalition’ partners were kept in the dark about the assent of this woeful legislation, many of whom have since condemned it publicly.
“As the nation prepares for the 2025 State of the Nation Address, we urge President Ramaphosa to repeal the Expropriation Act,” said Chloe Castle, Spokesperson for Free SA.
“We wish to remind our President that he, and the African National Congress, did not receive an outright majority in the 2024 general elections and that the formulation of the GNU doesn’t give him license to ram through legislation that is against the policies of the partners in the GNU,” she added.
Stating further that the GNU must reflect the will of the people, adding that it is not a tool for the old guard to cling to power, only to abuse it at will.
The Expropriation Act, originally drafted before the 2024 national elections, reflects a disconnect between the presidency and the people of South Africa. Despite its passage through Parliament, the Act fails to consider the new political reality, where South Africans have rejected the ANC's failures and policy missteps in recent elections.
Free SA asserts that the Act is a dangerous step towards the erosion of property rights, which will have dire economic consequences. By granting the state broad and unchecked powers to expropriate property, including under vague circumstances of 'nil compensation,' the Act creates uncertainty that will deter both local and foreign investment.
At a time when South Africa needs economic stability and growth, this legislation signals to investors that their assets may not be secure, further weakening confidence in the country's ability to uphold constitutional property protections.
"This Act grants the statewide-ranging powers of expropriation that are fraught with dangers for individual property rights and the broader economy. It risks driving away investment at a time when South Africa desperately needs economic growth and stability. GNU members must push back against this Act and ensure that property rights remain protected,” Castle elaborated.
Free SA commends GNU members who have spoken out against the Expropriation Act, urging them to continue upholding the principles of constitutionalism and to protect South Africans from policies that could deepen economic uncertainty and mistrust in government.
The GNU must take decisive action to prevent the implementation of policies that would deepen economic uncertainty, drive capital flight, and stifle private-sector development.
Free SA Directors Daniël Eloff and Paul Maritz published a research report entitled ‘South Africa at a Crossroads: The Economic and Social Risks of the Expropriation Act’, in which they explored the correlation between weak property rights and economic stagnation, political instability, and declining human development.
The report revealed that countries with the lowest International Property Rights Index (IPRI) rankings, and therefore weakest property right protections, consistently perform poorly across these key indicators, demonstrating the devastating consequences of failing to uphold property rights.
Free SA maintains that the Act itself is inherently flawed and should be repealed and replaced with legislation that upholds constitutional property rights while addressing the genuine developmental needs of our country.
Free SA will continue its efforts to hold the government accountable, ensuring that the people of South Africa are informed, engaged, and empowered to resist policies that threaten their rights and livelihoods.
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