WHERE IS THE R500M? SACR LAUNCHES PROBE INTO SPAZA SHOP FUND AS SOUTH AFRICANS DEMAND TRANSPARENCY
By Mpho Dube, Editor-in-Chief
The Azanian | Truth. Fearless. Unfiltered.
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South Africans for Constitutional Reform (SACR) has launched a national Applicant Experience Survey to audit the R500 million Spaza Shop Support Fund after government data showed only R57 million had been disbursed to 930 spaza shop owners out of 5,327 applications.
The survey, titled "SACR Spaza Shop Support Fund Applicant Experience Survey", went live on TikTok this week and is documenting applicants' experiences with application, verification, approval, training and funding.
SACR said it is collecting factual information to inform engagement with oversight and investigative institutions, including the Public Protector and Parliament's Portfolio Committee on Small Business Development. The organisation said it will document evidence and seek supporting documentation where appropriate.
The Department of Small Business Development launched the R500 million fund in April 2025 with the Department of Trade, Industry and Competition to support South African-owned spaza shops in townships and rural areas. The fund is administered by the Small Enterprise Development and Finance Agency (SEDFA) and the National Empowerment Fund (NEF).
Qualifying owners were promised up to R40,000 in stock support, point-of-sale devices, and training to meet hygiene and compliance standards.
Government figures presented to Parliament show slow disbursement.
By May 2026, government had approved R179.6 million for 2,369 shops. SEDFA approved 1,316 applications worth R79.6 million. NEF approved 1,053 enterprises worth R99.9 million. At that stage, 4,522 complete applications had been received and 4,240 assessed. Government said only 58% of applicants were linked to valid business licences or temporary municipal permits.
By July 2026, SEDFA had approved 1,386 applications worth R83.9 million but disbursed R57 million to 930 owners. Nationally, 5,327 complete applications had been received and 5,064 assessed.
Site verification flagged 354 applications for non-existent premises, ownership mismatches and suspected fronting, where funded South African-owned shops are allegedly handed over to foreign nationals. Minister Stella Ndabeni-Abrahams has warned against fronting.
On TikTok, the survey has drawn 19 comments with applicants reporting mixed experiences.
User it'sNelly wrote: "Now, this is transparency and accountability that SANs wanted. We want to know what happened to the Spaza shops funding which was allocated and if the money was received by intended beneficiaries. Great job, SACR!!!"
User dump wrote: "I still have to say i don't regret giving you guys the support, very proud of you, SACR."
Applicant simkay25 wrote: "Weeh, they asks documents after documents, they even asks for your supply bank statements," highlighting complaints about compliance requirements.
SACR said both successful and unsuccessful applicants should complete the survey and provide supporting documents where possible.
The Azanian has seen the survey consent form which states information will be analysed in aggregate and may be provided to oversight institutions as part of SACR's public-interest work.
The Department of Small Business Development has not yet commented on SACR's audit.
Applicants can access the survey on SACR's official TikTok page @sacronline.
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