President Cyril Ramaphosa’s debate on Vote One of the Presidency was delivered under a great atmosphere of optimism that characterises the new dawn which has enveloped our country’s governance and economic trajectories, which was ignited by his recent appointment as South Africa’s new president.
This trajectory of renewal is underpinned most by the need to shore up business confidence which points to an encouraging and remarkable trend, he said. “Business confidence indicators produced by the South African Chamber of Commerce and Industry and by the Bureau of Economic Research point to a positive trend. The 11-point increase between the fourth quarter of 2017 and the first quarter of 2018 in the bureau’s index is remarkable. Many institutions have undertaken a positive re-evaluation of South Africa’s economic prospects.”
This has led to the positive revaluation of South Africa by ratings agencies, a reaction to some decisive measures taken by the President in eradicating mismanagement of state resources, he said.
These developments don’t take away the historical structural imbalances inherent in our economy, he said. And the most affected are women and youth. The recently launched Youth Employment Service seeks to right this wrong, he said. “The Youth Employment Service, which was launched in March, promises to equip hundreds of thousands of young people for the world of work over its first three years.
Headways have been registered in this regard, he said. “Twenty early adopter companies have committed themselves to providing 22 000 work experience opportunities, with a further 18 companies engaging intensively with the YES team to unlock a further 21 000 opportunities.”
In addition to that, the Free Higher Education scheme is envisaged as a strategic move to reduce skills deficiency among the youth and advance their prospect of employment, he said.
The President has admitted that as government they have identified their problems, weaknesses and have acknowledged their continued shortcomings. One of which is the need to strengthen and stabilise SOEs (state-owned enterprises) to improve their financial and operational processes, as means to focus on their developmental mandate and operate profitably. An undertaking that has seen the inception of a new board and SOEs council to achieve exactly that, he said.
The establishment of a commission to rekindle the South African Revenue Service’s (Sars’) efficiency was welcomed and could boost the state revenue and its capability to undertake critical service delivery priorities. “The terms of reference for the commission will be gazetted in the coming days. We have also taken steps to address leadership challenges at Sas, including the suspension of the commissioner, the initiation of a disciplinary process and the appointment of an acting commissioner.”
The President said to ignite growth and a productive economy there is a need for a concerted effort to attract investment. “That is why we have launched an ambitious new investment drive that aims to mobilise $100 billion (R1.2 trillion) over the next five years. We have appointed four special envoys on investment to meet with potential investors in South Africa, on the rest of the African continent and in major centres around the world.”
Part of government’s growth strategy is to leverage land reform to unlock resources that have not been properly utilised. Land is an important economic resource that could benefit all our people, he said. “Land reform is an essential part of our economic growth strategy. Through effective land redistribution and tenure reform, we will be able to unlock the value of one of the country’s most important resources.”
A review of the size, composition and efficiency of government is being undertaken by a task team led by the Presidency, he said. “It is examining in detail the modalities of a state that is leaner, smarter, adaptable and more capable of delivering on its mandate to improve the lives of South Africans. This work will be completed and ready for implementation by the start of the 6th democratic administration.”
The President reiterated the new clarion call of the new dawn: “Thuma Mina”, which colloquially means “Send me to lend a hand”. In recognition of the historic contribution of Mandela to our democracy and freedom, the Nelson Mandela Thumamina Fund has been initiated to rekindle Mandela’s spirit of selflessness. “This is a private, citizen-driven initiative that will ask all those with the means to contribute a small portion of their salaries to support the many small projects that build the nation. This fund will be launched on the 18th of July to mark the 100th anniversary of Madiba’s birth and will be called the Nelson Mandela Thuma Mina Fund.”
23 May 2018
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