The meeting also examined the broad challenges for the future, as South Africa approaches the 10th anniversary of our democracy.
The outcome of the lekgotla deliberations will inform the President's State of the Nation Address on February 6 when he addresses Parliament.
Cabinet also convened in an ordinary session on Wednesday to examine government business, where it was approved that EL Kganyago was appointed as director-general of National Treasury.
The meeting approved the declaration of February 2004 as Environmental Health Month, which will coincide with World Congress on Environmental Health to be held from February 23- 27.
Cabinet examined the interventions that government has so far made to mitigate the impact of drought conditions in parts of the country where R250-million has reportedly been made available to affected sectors and communities for this purpose.
The amount will be used for emergency relief to vulnerable rural communities, provision of fodder for livestock to established and emerging farmers, water provision for human consumption, water provision for livestock and prevention of communicable diseases in affected poor rural communities.
It was also agreed that the food price monitoring committee should, especially in this period, pay particular attention to the changes in food prices to prevent unethical behaviour in the industry.
The interdepartmental disaster management committee said it will continue monitoring the situation on an on-going basis.
Cabinet noted the preparations towards the national and provincial elections, which will be held this year, and called on those who have not yet registered to take advantage of the registration opportunity this weekend.
With regard to the election date, the President informed Cabinet that he was in consultation with the Independent Electoral Commission on the logistical, legal and other relevant details, and that he intends to announce the election date in Parliament on February 11.
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