SOUTH Africa’s President Cyril Ramaphosa has placed inclusive economic growth at the heart of the programme of the government of national unity, which was put together by nine political parties following the May 29 national and provincial elections.
At a speech to mark the opening of Parliament and the beginning of the tenure of the term of the 7th administration, Ramaphosa said in addition to inclusive economic growth, the other two strategic priorities are to:
– Reduce poverty and tackle the high cost of living.
– Build a capable, ethical and developmental state.
Ramaphosa said: “The circumstances of the South African people today require that we act together as the Government of National Unity. We have decided to place inclusive economic growth at the centre of the work of the Government of National Unity and at the top of the national agenda.
“Our experience over the past 30 years has shown that when our economy grows, jobs are created. When our economy contracts there is no job creation and jobs are lost. The Government of National Unity will pursue every action that contributes to sustainable, rapid economic growth and remove every obstacle that stands in the way of growth. We are determined that growth must be inclusive. It must be transformational. Inclusive growth must drive the redistribution of wealth and opportunity. It must support the empowerment of black South Africans and women, and all those who in the past had been relegated to the fringes of the economy.”
Ramaphosa said the new focus was part of the constitutional imperative to redress the imbalances of the past and deal with the slow process of development. He said through empowerment and transformation, the government would ensure that the skills, capabilities, resources and energies of all South Africans were used to the greatest effect.
The President added: “We will continue to pursue programmes that encourage broad-based black economic empowerment, employment equity and support to small- and medium-sized enterprises. We will continue to protect and uphold the hard-won rights of workers, and continually strive to improve the conditions in which they work and live. Inclusive growth demands that we affirm the position of women and youth in the economy.
“Inclusive growth requires that we remove the social, economic, cultural and other barriers to the full participation of persons with disabilities and other vulnerable groups in the economy. We will support the growth of rural enterprises and invest in public infrastructure in under-serviced areas.”
Ramaphosa promised that the government would increase funding to land reform, prioritise the transfer of state land and improve post-settlement support by strengthening the institutional capacity of responsible structures.
He said to achieve rapid, inclusive growth, the government needed to fix the country’s struggling municipalities.
Ramaphosa explained: “Growth happens at a local level, where people live and work. Our municipalities must become both the providers of social services and facilitators of inclusive economic growth. They must work to attract investment.This approach can encourage businesses to expand and create more jobs in municipal areas. Investors are attracted to areas with reliable and modern infrastructure. Simplifying and speeding up planning and regulatory processes can make it easier for businesses to invest and operate in a municipality, thus creating more jobs.
“As the national government, we have both a Constitutional responsibility and a clear electoral mandate to assist municipalities in the effective exercise of their powers and functions. We will ensure that the institutional structure and funding model for local government is fit-for-purpose, and that municipalities are financially and operationally sustainable. We will put in place systems to ensure that capable and qualified people are appointed to senior positions in municipalities, and ensure independent regulation and oversight of the appointment process. As an immediate priority, we will bring stability to governance in our metros and restore the delivery of services. We have already begun this work.”
