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Gauteng Premier David Makhura today met with all MECs, Mayors, Members of Mayoral Committees, including municipal managers as part of the Extended Premier’s Coordination Forum at Emperors Palace.

Makhura outlined the unique context of Gauteng City Region, noting that the province has evolved into an industrial hub, financial nerve centre and technological heartbeat of South Africa.

The Premier said towns and cities still carried a burden of the past and as a result transformation was imperative in South Africa.  He noted that governments were also getting modernised and the way they are managed is changing.

“We have to govern ourselves as a seamlessly integrated city region.  We cannot be caught up in old ways,” said Premier Makhura, adding that Gauteng’s biggest challenge was rapid urbanisation.

Gauteng contributes more than 34% to the country’s Growth Domestic Product (GDP) and contributes 42% of SA’s industrial output and 63% industrial national exports.

“We also contribute 8% to 10% to Africa’s GDP; we are the fifth largest economy in the continent.  The Gauteng Province by land is 1.4%, yet it remains the economic engine of the country,” he said.

He told the meeting that in order to address the triple challenges of unemployment, poverty and inequality the provincial government jointly with municipalities and the private sector partners are making three macro interventions – spatial reconfiguration, township economy revitalisation and massive infrastructure investments.

Makhura said the five development corridors were key drivers of radical economic transformation, decisive spatial transformation and re-industrialisation. Tshwane is known for the automotive, innovation and Business Process Outsourcing (BPO).  In the West Rand the concentration is on tourism, agriculture and solar energy while Sedibeng’s strong point is tourism, agriculture and agro-processing.  Johannesburg is the home for finance, ICT, services and pharmaceuticals while Ekurhuleni’s main attraction is manufacturing, Aerotropolis, jewellery, transport and logistics.

The second major lever to change the economy and space of the Gauteng City Region will be through a massive and well-coordinated infrastructure investment programme, he added.

Over the next three years, the Gauteng Provincial Government’s total investment in infrastructure development will be more than R44 billion while Gauteng municipalities will spend R94 billion over the next five years.

This investment will have a massive multiplier effect on the economy of the Gauteng City Region.

In addition, Gauteng is establishing a Human Resource Development Council to integrate and coordinate all skills development initiatives working with the private sector as well as institutions of higher learning. 

He urged municipalities to continue to support and revive the township economy.
Makhura said there were huge social and economic challenges which include the significant exclusion of millions of black people, women and youth.  Unemployment leaves almost 3 million people without a reliable source of income, extreme poverty leaves out 2, 5 million residents hungry.

“Despite the fact that we have built 1, 23 million houses since 1994, there is still a backlog of six hundred thousand people without houses,” he said.

He advised municipalities that to turn around this situation requires cooperation and collaboration of provincial and municipal governments with the full support of from national government.  

Issued by Gauteng Provincial Government