President Cyril Ramaphosa gave assurance to traditional leaders in Parliament on Thursday that social grants will be paid.
The assurance was needed in the wake of a cabinet reshuffle which was done by the new South African president. The contract with Cash Paymaster Services (CPS) to distribute social grants expires at the end of March. The worrying factor is that no plan has been mentioned for another provider to take over.
The president said his new Social Development minister Susan Shabangu would make sure social grants are paid. He said the change-over in the system would not cause interruptions.
South African Social Security Agency (SASSA) must take over the payment system but still need to head to the Constitutional court next week. They will be hoping that the court grants an extension on the current contract with CPS.
President Ramaphosa also said that measures needed to be put in place to stop loan sharks who prey on vulnerable people when social grants are paid.