Durban — The Premier of KwaZulu-Natal, Arthur Thamsanqa Ntuli, is concerned about the economy being in a low-growth trap, with average growth lagging behind population growth, leading to a regression in real gross domestic product.
This impact is felt most acutely by the youth and women, Ntuli said in his State of the Province Address on Wednesday.
Ntuli said as part of rebuilding the economy, in the 100 days since he assumed office, his department was committing to a programme of action.
“We will leverage the capacity and collaborate with the provincial public entities in terms of their mandate, in growing and transforming the province’s economy. In the coming days, we will hold high-level discussions with their leadership, including the boards and executive management.”
Ntuli added that government departments will have ongoing discussions regarding the role of key economic institutions, such as the Growth Fund, Ithala Development Finance Corporation, Trade and Investment KwaZulu-Natal, Agri-Business Development Agency, Richards Bay Industrial Development Zone and the Dube Tradeport Corporation, in relation to the employment impact of policy decisions.
Ntuli spoke of major investment projects to the value of R1.4 billion that are under construction in Trade Zone 2 at the Dube Tradeport. In the future, the government will be injecting R2bn into local economic development by building an agri-hub at the Richards Bay Industrial Development Zone. Ntuli said the government will start by injecting R150 million into building the Fresh Produce Market in uMhlathuze Municipality.
“In addition, the state-owned entities will be engaged as they are operating in the province as drivers of contribution in the economic growth of the province,” he said.
Among other initiatives, Ntuli aims to meet with the KwaZulu-Natal Growth Coalition and Economic Council, Chambers of Business to galvanise business and foster collaborations to increase business confidence, impacting growth and job creation.
Ntuli said economic transformation and inclusive growth remain key economic growth and development pillars.
“We will pay deliberate attention to the development of small, youth, and women-owned businesses through partnerships and incubation. The township and rural economies are important elements of socio-economic transformation.
“It cannot be, that our people in townships and rural areas are robbed of these opportunities.”
Ntuli said the government will take a closer look into the matter of businesses owned by illegal foreign nationals.
“We are noting that even those that are in the country legally, some do not comply with environmental health and safety regulations. Some would go to an extent of selling expired products to our vulnerable communities.
“Working with all municipalities and law enforcement agencies, we will enforce environmental health by-laws within the next 3 months,” Ntuli said.
Agriculture is one of the sectors that is pivotal in addressing rural economy. Ntuli said the priority will be to identify all the farms owned by the government that are lying fallow, to “ensure that we fund through the available allocated funds for youth and women SMMEs to turn these farms around and produce to ensure food security”. Ntuli said they will start with a minimum of two of these farms.
“We will ensure that uBukhosi plays a pivotal role in programmes aimed at rural economic development. Rethinking rural development and land management is also key in our strategy. This will ensure improvement in agriculture efficiency and productivity.”
Ntuli said other sectors of the economy that will be catalysed and synergised for growth include the digital economy, green economy, high-value manufacturing, oceans economy, hemp and cannabis.
He said the reconfiguration of the Department of Public Works into the Department of Public Works and Infrastructure was designed to expedite infrastructure development, ensure efficient use of internal resources, and achieve the broader economic growth and development goals set for the province.
Ntuli invited the construction industry to contribute positively to the projects carried out in the province.
“As this government, we must all work together to fight the construction mafia syndrome. There is no place for the construction mafia in our province. We will work with the construction industry to help the industry to grow.”
Ntuli said youth development and unemployment were a concern, and the government is opening a new window for the R100m Youth Empowerment Fund, also the KwaZulu-Natal Women Advancement Fund, which will be done in partnership with the private sector.
Ntuli said they have concluded a partnership agreement with the Services Seta and Property Practitioner Regulatory Authority to implement a 12-month leadership programme in the Real Estate Sector. A total of 800 young people have been contracted and inducted.
The programme’s objective is to transform the property and real estate industry and include previously marginalised youth, especially young women in KZN province. The programme will start in Durban and Pietermaritzburg.
Ntuli said as part of celebrating diversity the unveiling of the King Shaka statue at King Shaka International Airport and the completion of the construction of the 1860 Indentured Indian labourers monument will take place.
He said the minibus taxi industry continues to be a pillar of economic growth and has to be prioritised and treated as a formal business. Permit disputes and the process of issuing permits would be looked into.
In terms of housing, Ntuli said he will monitor the delivery of the following human settlement interventions: 150 serviced sites; 500 breaking new ground houses; 99 households that received subsidies and purchased units under the first home finance programme; and five of the 10 land parcels for 2022 flood victims rezoned.
There will be implementation of the Anti-corruption Strategy and a plan to deal with corruption and service delivery failures at all levels.
“Clean, ethical and good governance will be the order of the day. Fraud and corruption in this government will not be tolerated. We are committed to professionalising the public service,” Ntuli said.
“We have set three primary targets for health systems, including emergency medical rescue service response times.
“We will prioritise monitoring the quality of teaching and learning, school infrastructure and the school nutrition programme to enhance foundational and secondary education.”
Ntuli said he was honoured to have been elected the 10th premier of the province at a time when the country and province needed leaders who can restore the trust of the people in a better tomorrow.
Reacting to the premier’s address, Umkhonto WeSizwe Party leader Dr Kwazi Mbanjwa said his party adopted a wait-and-see approach, adding the premier made a good speech but the concern was whether what he said would be achieved.
Government of Provincial Unity partners which include the ANC, DA and NFP, hailed the speech, DA leader Francois Rodgers saying most of the things said by the premier were what his party promised during the election campaign. Rodgers said his party was impressed that the premier committed to building an ethical and capable province which will focus on jobs and economic growth.
The ANC’s Siboniso Duma also welcomed the address, saying the premier’s speech was aligned with President Cyril Ramaphosa’s address during the opening of the Parliament. NFP leader Mbali Shinga said her party was also impressed by what the premier said.
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