Budget Vote 42 Speech 2025 Mr Mzwanele Nyhontso, Mp Minister of Land Reform and Rural Development
Chairperson of the National Council of Provinces, Hon Refilwe Mtshweni-Tsipane
Honourable Members
Distinguished Guests
Partners and stakeholders
It is an honour to address you today on the Budget Vote 42 of the Department of Land Reform and Rural Development for the 2025/2026 financial year. This budget reflects a constitutional obligation to secure land access, promote tenure security, and improve rural conditions.
Land underpins economic activity, social identity, and community stability. Without land, development goals remain out of reach. Three decades into democracy, land allocation continues to raise legal, economic, and political questions. We must deal with this reality through clear policy, institutional reform, and stable governance.
The country’s land patterns are a direct result of historical acts of exclusion. The 1913 Natives Land Act entrenched territorial segregation, which was extended by the Native Trust and Land Act of 1936. These laws disrupted lives, separated families from land, and pushed entire communities into marginal spaces.
To reverse these conditions, we must support a range of land uses—housing, farming, business, grazing, and cultural heritage. Implementation depends on coordination. The Inter-Ministerial Committee on Land Reform, chaired by the Deputy President, plays a key role in aligning responsibilities across departments.
Chairperson,
Since my appointment, I have advanced two legislative instruments—the Equitable Access to Land Bill and the Communal Land Tenure and Administration Bill. Both address long-standing gaps in the legal system and speak directly to the rights contained in section 25 of the Constitution. Public engagement on these Bills are underway.
Land allocation is only one part of the task. If support systems fail, land projects collapse. This is why the Department has focused on pre- and post-settlement assistance, targeted training, and institutional oversight. This form of assistance was raised often during provincial visits and in stakeholder forums.
The Department’s total budget for 2025/26 is R9.820 billion. Of this, R6.168 billion is allocated to land reform and restitution programmes. This focus reflects the constitutional scope of the Department.
Let me now outline how this funding has been distributed to provinces. The total provincial share is R6.320 billion, allocated according to regional need and programme focus.
Eastern Cape receives R1.130 billion
Land reform and restitution is the lead focus with R915 million. Rural Development is allocated R117 million. This will go a long way in closing last year’s system related delays on payment of financial compensation to restitution claimants. Cross utilization of our Free State office will also bring much needed capacity to close the gaps in this province.
KwaZulu-Natal receives R1.297 billion
The largest share of the provincial allocations goes to the KZN province, with restitution as the primary recipient at R810 million. Rural Development has been allocated R109 million and Land redistribution and tenure reform with an allocation of R205 million. It should be understandable why KwaZulu-Natal would be a focus for restitution budget allocation, given the significant number of outstanding land restitution and labour tenant claims. The fertility of the soil in this province generates the greatest resistance to land reform and inspire high levels of arrogance from existing landholders.
Mpumalanga receives R807.1 million
Last year this province held the honour for the handover of the largest piece of land in a single restitution instance – the Manyeleti Game Reserve. This budget targets similar successes in the finalization of other restitution claims. In the same vein, I have received several complaints about land reform benefiting other people instead of the claimants in this province. To address that, our department scheduled a roadshow to share knowledge to CPA members of their rights to benefit from their land assets. Moreover, the promotion of tourism and agriculture businesses by land reform beneficiaries continue to be important to this province.
Limpopo receives R937.7 million
67% of Limpopo’s allocation goes to Restitution. Limpopo hold a unique position for its potential to bring the land dispossessed people into the tourism sector. These possibilities are supported by the Cabinet decision on addressing claims in conservation areas. Having said that, we are challenged to develop win-win models in the distribution of benefits between the claimants and parks boards.
Free State receives R295.8 million
The outstanding restitution claims are almost completed. However, land redistribution is a focus of our work in this province. We will be exploring how to acquire more land for redistribution purposes and resolving conflicts relating to the allocation of land. Moreover, there are outstanding land tenants claims that we are working on in this province.
Gauteng receives R378.8 million
Urban restitution remains active in this province. The exorbitant land prices are reducing our speed of resolution of claims. Moreover, we are facing the complexity of people occupying land that is being claimed in this province. We believe proper promotion of municipality spatial plans and faster implementation of those plans can eliminate the perception of idle land in the mist of land hunger.
Due to a digital savvy legal community, Gauteng is a focal point for the digital rollout of the e-DRS land registration system. These changes will improve transparency and speed.
North West receives R660.8 million
We have added another Deeds Office in this province. This indicates that we foresee a maturing property market in the North West. Also, there is great progress in settling old order restitution claims in the province. However, the tenure reform and Communal Property Associations is still requiring direct intervention. The Department is stabilizing failing CPAs and increasing legal compliance support.
Northern Cape receives R324.2 million
Restitution dominates the allocation in this province. Low-density settlements and large land parcels require extensive legal and historical documentation, which this funding supports. Our people must benefit from mining operations in this province. We are committed to assist land reform beneficiaries to benefit from their land that is mineral rich.
Western Cape receives R488.2 million
The major project that is on everyone’s lips is the District Six claim. We have committed to resurrect the political oversight in support of the good technical cooperation displayed by all spheres of Government. Other cases of restitution will not be left behind.
Furthermore, this province will receive rural development support, skills training, and assistance to farm-dwelling communities. Youth-focused programmes will be expanded in Cederberg and Drakenstein.
Chairperson, each province faces different pressures and dynamics. Our response must be specific, evidence-based, and results-oriented.
Nationally, the Land Redistribution and Tenure Reform Branch is allocated R1.073 billion, including R559 million for the purchase of 44,000 hectares. Labour tenant applications, many of which pre-date 2001, are under review. Evictions on contested land remain unacceptable and will be referred for enforcement.
A plan is in place to improve the management of state land. This includes calling officials to account where poor administration persists. Recapitalization funds will not be released in the absence of compliance.
The dysfunctionality of many Communal Property Associations has also been identified. An interim CPA Office is in place, headed by an Acting Registrar. Provincial teams are running targeted training and oversight campaigns. A national CPA Indaba is planned for later this financial year.
The Commission on Restitution of Land Rights is allocated R3.7 billion. The Department is finalising new policies and standard operating procedures to speed up settlement of claims. The original claims cut-off of 1998 still covers most current cases. Additional funding and caseworkers are required to reduce the backlog.
The Rural Development Branch has received R891.7 million. This work is not about agriculture alone. It involves social development, basic services, cooperative support, and small enterprise promotion. Rural areas are not passive recipients—they are spaces of production, survival, and opportunity.
The Land Administration Branch is allocated R792.3 million. Its priorities include the National Spatial Development Framework, implementation of regional plans, and modernization of the cadastral information system. The National Spatial Data Observatory, developed with the CSIR, will support spatial planning with real-time data.
The National Geomatics Management Services (NGMS) continues to provide positioning, imagery, and reference data for spatial governance. Its TrigNet network now supports surveying, drone operations, and climate applications. The Department remains the host of the African Geodetic Reference Frame (AFREF).
The Deeds Trading Entity expects to earn revenue of R1.106 billion. By August 2025, all registered conveyancers will be able to use the e-DRS system. Lodgement and registration will be fully digital, with turnaround times shortened from seven to three days. The system will interface with the Departments of Justice, Home Affairs, and other key departments for greater efficiency.
The Ingonyama Trust receives R22.8 million. The Office of the Valuer-General is allocated R65.4 million. These institutions will report quarterly on performance and compliance. The Administration programme, responsible for governance, coordination, and internal systems, is allocated R1.968 billion.
In closing,
This budget gives practical expression to our legal mandate. It is built on delivery, oversight, and correction. We will continue to work with provinces, municipalities, and communities to address what is broken, protect what has been achieved, and complete what remains undone.
As the poet Alfred Themba Qabula once wrote:
“The wheel is turning…
Freedom is nearer…
Our strength and dignity are growing…”
Let us continue with that clarity of purpose.
Ndiyabulela.
Thank you.
