The disclosure comes as the department undertakes a comprehensive review of the RAF's legislative framework.
Transport Minister Barbara Creecy has revealed details of the Road Accident Fund (RAF) payouts, as the department reviews the legislative framework amid concerns about payments to undocumented foreigners.
Creecy provided the figures in response to written parliamentary questions from ActionSA MP Alan Beesley.
Billions in RAF funds paid to foreign nationals
The minister said RAF paid out more than R7.3 billion to foreign nationals across 24 520 claims during the past five financial years.
She further revealed that individual payouts of up to R16.7 million were reached.
This revealed fluctuations in both the monetary value and the number of claims settled for foreign nationals between the 2020-21 and 2024-25 financial years.
According to the minister’s response, the 2022-23 financial year saw the highest total payout at R1.97 billion across 5 610 claims.
Meanwhile, the 2021-22 period recorded the largest number of claims at 7 487, totalling R2.11 billion.
The most recent figures for 2024-25 show a decline, with R546.55 million paid out across 1 817 claims.
The highest individual claim paid to a foreign national reached R16.7 million in the 2022-23 financial year.
This was followed by R12.65 million in 2020-21 and R8.59 million in 2023-24.
However, Creecy noted a limitation in the available data. “The Road Accident Fund claims database does not specify the nationality of individual claimants, but distinguishes between those who are South African citizens and those who are not,” she stated.
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Legislative review underway
The disclosure comes as the department undertakes a comprehensive review of the RAF’s legislative framework.
This comes after concerns about the fund’s financial sustainability under the current fault-based system surfaced.
“The Department of Transport is currently busy with the review of the legislative framework under which the Road Accident Fund settles damages. The current dispensation is unaffordable due to the process of proving fault in settling the claims for damages,” Creecy explained.
The minister indicated that the department intends to replace the existing system with a Road Accident Benefit Scheme that would introduce a no-fault benefit dispensation.
“The Bill is currently undergoing the necessary processes before it can be introduced to cabinet for approval for public consultation,” she said.
Political pressure mounts
The questions to the minister reflect growing political pressure over RAF payments to foreign nationals, particularly those who may be undocumented.
MK party MP Thalente Kubheka had asked Creecy by what date she intended to introduce amending legislation “to stop compensating criminals and foreigners in the 2025-26 financial year from claiming against revenue collected from taxes to once again pay billions of Rand to foreigners, who in some instances are undocumented”.
While Creecy’s response focused on the broader legislative review aimed at ensuring the fund’s financial sustainability, she did not provide a specific timeline for when the proposed Road Accident Benefit Scheme Bill would be tabled in parliament.
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