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Cabinet welcomes summit outcome

12th June 2003

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Cabinet has welcomed the outcome of the recent Growth and Development Summit, and committed itself towards ensuring its objectives are met, government spokesperson Joel Netshitenzhe said yesterday.

Briefing the media at Parliament after the fortnightly Cabinet meeting, he said the summit was seen as a "critical step" towards formulating a people's contract for growth and development.

"The agreement, which identified many concrete activities to speed up the rate of investment and job-creation, is an important milestone in creating national consensus".

Netshitenzhe said countries such as Ireland, Holland and Finland all had some kind of social contract between government, labour and business, with each sector playing a role.

Government reiterated its commitment to the decisions of the summit, and would "as a matter of urgency" attend to the practical issues to ensure the realisation of its objectives.

He said Cabinet had also approved the International Tourism Growth Strategy, which dealt with, among other things, air travel, marketing, visa arrangements and security.

He said the strategy was related to the Growth and Development Summit in that tourism had been identified as one of the economy's growth drivers.

"Tourism is labour intensive and can create job opportunities," he said.

The Cabinet, under the chairmanship of Acting President Jacob Zuma, had also welcomed the outcome of negotiations that had seen agreement on an 8,5% wage increase, plus a one per cent increment, for public servants.

"The point was made that agreement was reached without much conflict, and was a definite improvement in labour relations".

Cabinet had also examined legislation needed for next year's elections, and the need for this legislation to be "expedited".

"At some stage, some thought a constitutional amendment was needed.

The Electoral Act needs to be finalised and passed before the end of the 2003 Parliamentary session".

He said there was still no indication of an early election, perhaps before April, and the final decision rested with President Thabo Mbeki.

"An inter-ministerial committee, which meets tonight, was set up to deal broadly with the 10th anniversary (of the democratic dispensation)," he said.

Netshitenzhe said the actual celebrations would be a "big and major event for the country", and details would be provided by President Mbeki during his budget speech.

Turning to the outcome of the HIV and Aids Mining Summit, held in April this year, Netshitenzhe said it seemed there was "very little" reporting on the summit and its outcomes.

"(This) demonstrated that when positive developments (arose), there was very little reporting... all waiting for matters that are controversial".

Asked when the Cabinet would deal with the task team report on the cost implications of treating HIV and Aids, he said work was continuing.

"My own guess is that it will be three to four weeks before Cabinet deals with this".

Netshitenzhe said Cabinet had also agreed, in principle, to work with neighbouring Mozambique in preparing for the second African Union Heads of State and Government Conference.

This would include helping with logistics, improving security arrangements, transport and broadcasting of the event, he said. – Sapa.

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