FEATURE
Writers: Irene Naidoo and Albert Pule
Creating opportunities
for success G overnment is hard at work creating an environment for
The cluster is also stimulating the country’s labour-inten-
citizens to flourish, enter new jobs and benefit from the
sive sectors through various incentive programmes that at-
new investments that it has attracted in partnership
tract investors and businesses that will have a higher impact
with organised labour and business.
on jobs.
This is according to Science and Technology Minister Naledi
The Industrial Development Corporation (IDC) approved
Pandor, who recently briefed the media on behalf of the Economic
R700 million to fund job drivers. Through the IDC’s support,
Sectors, Employment and Infrastructure Development Cluster
441 jobs were created across the automotive and transport
the Economic Cluster on the Medium-term Strategic Framework
equipment; clothing and textiles; heavy manufacturing; and
(MTSF) first quarter progress report. The MTSF is government’s
machinery and equipment sectors.
five-year plan (2014-2019) towards achieving the National De-
IDC funding approvals for 2015/16 amounted to R14.5
velopment Plan (NDP).
billion.
Encouraging private sector investment
including black industrialists, was R4.9 billion. The funds to
The Minister said South Africa remains a sound investment des-
youth empowered enterprises was R 970 billion. The jobs
tination, as it offers potential investors lucrative investment op-
supported through IDC funding was 15 272 in the 2015/16
portunities.
financial year.”
“The funding approval for black empowered companies,
“The country is a gateway to Africa, it possesses advanced tech-
The Black Industrialists Programme, administered by the
nologies and manufacturing capabilities. It also has a stable and
Department of Trade and Industry, which aims to create 100
sound financial sector with a sophisticated services industry.”
black industrialists over the medium-term, approved four
Government’s investment incentives have leveraged substantial private sector investments, she added. Those in the quarter under review included R15.4 billion from leading automotive assemblers, such as Toyota and Ford, and a
applications valued at R500 million in the agro-processing, plastic and pharmaceuticals, electrical equipment and metals sectors.
number of other projects approved for the 12i Tax Allowance In-
Unlocking the potential of small businesses
centive, that demonstrate the measure of confidence that global
Minister Pandor said that to promote more inclusive growth
manufacturers have in the South African economy. The invest-
government is creating an environment for small businesses
ments are expected to create 4 675 new jobs.
to grow and flourish.
“Similarly, government, under the auspices of the Inter Ministe-
Detailing the support provided to these, she said 280 ru-
rial Committee on Investment, has identified 40 priority invest-
ral enterprises, 181 township enterprises and 147 existing
ment projects in critical sectors, such as agro-processing and
SMMEs were assisted with skills and start-up support so that
Agri-Parks, energy and infrastructure, manufacturing and services
they can run their own businesses successfully.
and has the ability to crowd-in further investment.
The Black Business Supplier Development Programme
“We have begun to accelerate the implementation of ten of
supported a further 130 SMMEs which in turn supported
these projects to release massive benefits in job creation, skills
2 116 jobs. The Small Enterprise Finance Agency (Sefa) in
development, better public infrastructure and economic oppor-
partnership with Coca-Cola has committed an additional
tunities,” she said.
R120 million to support SMMEs in townships.
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Public Sector Manager • November 2016