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Business seeks policy certainty and predictability from Mangaung

10th December 2012

By: Natasha Odendaal
Creamer Media Senior Deputy Editor

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Business Unity South Africa (Busa) echoed the sentiments of many individual businesspeople on Monday when it formally appealed for the emergence of policy certainty and predictability at the Africa National Congress’s (ANC’s) upcoming elective conference, which will be held in Mangaung, in the Free State, from December 16 to 20.

The development of a firm policy basis – cemented by the implementation of the National Development Plan: Vision for 2030 (NDP) - at the governing party’s conference would halt South Africa’s percieved economic decline and enable “real” solutions to the country’s structural socioeconomic challenges, Busa argued.

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The NDP, endorsed by Cabinet in September, is a long-term development plan aimed at eliminating poverty and reducing inequality by 2030, which was prepared by the National Planning Commission (NPC), led by Minister in the Presidency Trevor Manuel, whose deputy on the NPC is businessman Cyril Ramaphosa.

Busa said in a statement that a greater sense of purpose and direction was the desired outcome of the ANC conference, which would ensure a “bigger, stronger and better” economy, with higher growth and employment.

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In an opinion-editorial published in the Mail and Guardian newspaper, Justice Minister Jeff Radebe, who is also the ANC’s head of policy, also emphasised the policy dimension of a gathering that is typically dominated by the election of new leasders.

He wrote that the Manguang meeting would be a  “watershed moment” in policy direction for the ANC, with the NDP poised to be at the heart of the event’s discussions.

These sentiments were echoed in an opinion piece written by ANC secretary-general Gwede Mantashe for the Sunday Times under the headline ‘Mangaung is all about the economy’.

Radebe wrote that the “key preoccupation of the ANC is how to accelerate the fight against poverty, inequality and unemployment. The debate in the alliance, civil society and business has thrown up key policy options that need to be discussed”.

Radebe pointed to critical issues, such as the State’s intervention in key sectors of the economy, black economic empowerment, land redistribution, State-owned enterprises and job creation, besides others, as topics requiring attention.

Busa recommitted itself to collaboratively supporting the implementation of the NDP, a sentiment supported in a parallel initiative by a number of prominent business figures from several leading South African companies.

An open letter released over the weekend by 33 South African business leaders, including Telkom chairperson Jabu Mabuza, Gold Fields CEO Nick Holland, AngloGold Ashanti CEO and Chamber of Mines of South Africa president Mark Cutifani and Impala Platinum CEO Terence Goodlace, called for business leaders to support the NDP’s vision of an economy triple in size, with a reduced unemployment rate and significant reductions in poverty and inequality by 2030.

“Poverty, unemployment, pervasive corruption, failures in our education system and the rule of law remain serious challenges for our young democracy. There is an urgent need for a common response to put our country back on track to realise its economic and social potential,” the letter stated.

The CEOs and chairpersons urged government to leverage and effectively implement existing policies and visions while appealing to business leaders to aggressively promote and prioritise appropriate education, skills development and work-related internships through corporate social investment and other initiatives.

The group also committed to promoting "a zero-tolerance approach to bribery, fraud, corruption and anticompetitive business practices". Tiger Brands CEO Peter Matlare, Nedbank CEO Mike Brown, incoming PPC CEO Ketso Gordhan, Izingwe Holdings’ Sipho Pityana, Shell South Africa chairperson and VP Bonang Mohale and Chamber of Mines’ VP Khanyisile Kweyama, besides others, were among those who signed the letter, which was described as a “call to action from South African business leaders”.

Busa acknowledged that the NDP needed “practical traction” if existing policies were to be progressively aligned with it and early outcomes achieved.

The organisation emphasised the need for “powerful signals” post-Mangaung from the political leadership for collaboration with the private sector, based on effective consultation, strong implementation and wide participation, in addition to the establishment of a more certain and predictable policy environment.

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