The scorecards would detect and prevent fronting (use of black faces as tokens in companies in order to gain credibility) by companies seeking financial assistance and procurement from government. Buthelezi said government would use the ratings to monitor companies’ progress and added this would facilitate the process of setting measurable targets for BEE.
“There is a certain test that they (companies) will have to go through before we can confirm whether they are black owned or not,” she said.
The BEE strategy document covers areas of transformation since 1994 as part of government’s plan to overcome economic inequalities in South Africa.
It also defines BEE, instruments to be used by government to achieve it, as well as monitoring and implementation phases and financing.
She said government viewed economic transformation as an important phase of the transformation in South Africa.
‘An economy that does not have the capacity to allow its people to fully participate in it where inequality is extreme, is not an economy that can grow,’ said Buthelezi. –BuaNews.
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