SASSA will introduce a new social grant – the Basic Income Support (BIS) grant

(last updated: 20 March 2026)

Recipients of the Covid-19 SRD grant should note that the Basic Income Support (BIS) grant will be replacing the current R370 Social Relief of Distress (SRD) grant, in the near future. The timeline for the new grant has not been confirmed yet, but it is likely to happen after March 2027.

This new grant aims to:

  • Support unemployed individuals financially
  • Help them actively find work
  • Improve long-term economic participation

BIS Grant will replace the SRD in 2026

On 19 March 2026, President Cyril Ramaphosa spoke at the News24 On the Record Summit *, where he outlined the government’s plan to restructure the SRD grant into a more targeted system aimed to help unemployed South Africans find work.

The announcement builds on commitments made during the State of the Nation Address, where the president confirmed that the SRD grant would continue temporarily but undergo a major redesign in 2026.

The News24 On the Record Summit was held at the Cape Town International Convention Centre (CTICC), on 19 and 20 March 2026. News24 invited South Africa’s sharpest minds to come together to answer 1 question: How do we create more jobs? (5 million new formal sector jobs must be created in the next decade).

When will the SRD Grant end and the BIS Grant start?

At the SONA (State of the National Address), the Department of Social Development confirmed that the R370 SRD grant will remain in place until March 2027. The extension for the SRD grant funding has been allocated by the National Treasury in the 2026 national budget.

This will ensures that millions of beneficiaries will continue receiving financial support while the transition to the new BIS system is finalised.

What Is the New Basic Income Support (BIS) Grant?

The BIS grant is aimed at residents actively seeking employment opportunities. The aim is to motivate grant recipients to find jobs and contribute to the economy, instead of relying on the SRD grant each month. This will also strengthen South Africa’s social protection system while encouraging economic participation.

The BIS grant will go beyond basic financial relief and is designed to actively support job seekers by connecting them with employment and income opportunities.

Who will qualify for the BIS grant?

Government has indicated that the BIS grant will be available to residents between the ages of 18 to 59 years old.

The BIS grant aims to link recipients with job opportunities, skills training programmes, as well as small business and enterprise support.

The Department of Social Development says research shows that beneficiaries who are connected to economic opportunities are more likely to improve their long-term financial stability.

Will the BIS Grant be a long-term grant?

Yes, the BIS grant is being developed as a permanent and sustainable support system, not just a temporary relief measure.

How will the BIS Grant be funded?

One of the biggest challenges government is facing, is the financing the new grant.

The Department of Social Development has already completed a cost analysis and included it in a draft policy. Discussions with the National Treasury are scheduled for March 2026 to determine how the BIS grant will be funded long-term.

With support from the Presidency, consultations on the policy are expected to be finalised soon.

What does this means for South Africans?

The shift from the SRD grant to a Basic Income Support grant marks a significant change in how government assistance will work.

article source: Business Tech website

written by: Thabo Maseko

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