Address by North West Premier Popo Molefe to the Summit of Ambassadors at Sun City on Tuesday, September 12.
Issued by: North West Communication Service
As you all are aware, the leading party in the Government of National Unity is a former liberation movement, whose brief has always been the emancipation of the society of this country from an undemocratic, racially biased and economically exploitative order. The strategic perspectives for the attainment of liberation were conctruction and Development Programme.
In terms of this programme, the organs of government had first to be democratised before the people of South Africa could begin to tackle the social inequalities and the economic imbalances that constitute the legacy of living so long under institutionalised political marginalisation, social segregation and economic exploitation.
We have crossed the first hurdle, with the establishment of a democracy. Our people are now working together to remove racial prejudice, to forge unity, nationhood and reconciliation.
The second phase in our programme of liberation is the attainment of freedom from poverty, unemployment, inequality, illiteracy and under development.
OUR APPROACH
The North West Province regards a process of sustainable human development as the major vehicle for the ultimate removal of the backlogs in human development and the socioeconomic imbalances that are the lot of the majority of our people. But we have first to create a favourable economic climate in which human development can thrive. We have to achieve high rates of economic growth in order to lay the foundation for the participation of our people in the process of their development.
Central to this is a sound financial and economic policy framework which is suitable for the market economy. the build out of partnerships and new investments in the province.
Secondly, we cannot reach our goal without first eliminating poverty, reducing population growth patterns, training and educating people, delcentralising government, liberalizing economic activity and investing material and human resources in our ecosystem.
HUMAN DEVELOPMENT CHALLENGES
Although we have a comparatively low population of 3,5 million, 60% thereof resides in rural areas which lack basic amenities such as water and sanitation, electricity, primary health facilities, modern roads and reliable transport, schools and shelter. Absolute poverty is rife, the Human Development Index is low and many people survive on state social security of about R365 per month or 80 US dollars. Adult illiteracy is very high.
ECONOMIC CAPACITY TO MEET THESE CHALLENGES
Our economy is too small to meet these challenges on its own, due to negative per capita income growth. Although we have mining and agricultural sectors which have the capacity to generate appreciable revenue, much of the raw materials leave the province and there are no forward and backward linkages with the rest of the economy. The manufacturing sector is not yet developed to such an extent that it can be relied upon to contribute significantly to the economy.
THE STEPS WE HAVE TAKEN SO FAR
Institutional Framework
The first task we embarked on upon assumption of office was to create a smooth functioning of state departments and parastatals. These have been restructured and the budget reoriented towards delivery of the RDP.
We have kept within our budgetary limits and put an immediate end to financial wastage.
We put a high premium on building human and institutional capacity to deliver on the RDP. The commission which is charge of the programme has been able to mobilise the rural population to take charge of the programme. With their co-operation, we have been able to build 700 additional classrooms in the rural areas, established water outlets to hundreds, and made it possible for over 300 000 people to have access to electricity.
DEMOCRATISATION PROCESS
HUMAN RESOURCE DEVELOPMENT
In order to reach our goal of achieving maximum human development, meeting the most urgent basic needs and having a strong market economy, we have made human resource training a priority.
Our human development strategy lays emphasis on appropriate technical skills for out youth and the promotion of Adult Basic Education and Training. We have been able to secure the assistance of Vaal Technikon to establish satellite technical education centres in five regions of the province for the purpose of empowering our college students with much-needed technical skills. Our Universities have now embarked on long-distance teaching and literacy programmes for the rural areas, which are mostly inhabited by women.
However, our children still lack facilities for recreation and sports for their development potential.
INFRASTRUCTURAL DEVELOPMENT
The province is well-endowed with infrastructure. But some rural agricultural areas and developing urban centres are desperately in need of infrastructure provision to open up markets to production in these areas.
Our province is ahead of the rest of the country in terms of policy formulation and public works programmes for the purposes of providing modern infrastructure and fast-track provision of jobs.
BUSINESS DEVELOPMENT
Our strategy to spread the economic base of the province and create employment is focused on the establishment, the development and support of small, micro and medium enterprises. This reliance on the informal business sector of our economy is informed by the tremendous success this sector had in reviving the economies of other developed countries.
The labour absorptive capacity of this sector, in comparison to macro-enterprises, is phenomenal and we are not about to ignore it.
We have had successful discussions with mining houses for the strengthening of forward and backward linkages with the small enterprise sector in the localities in which these mines operate, for the purposes of sub-contracting services and the purchasing of goods and perishables from small-scale local producers.
For the government's part, the awarding of public works development programmes is, as a matter of policy, based in favour of emerging entrepreneurs in the areas of building c material, the laying of infrastructure and the maintenance of public buildings.
We have restructured the development parastatals, relaxed their finance - lending criteria and reoriented them to provide emerging entrepreneurs with business-management capacity, after-care, extension services and market opportunities.
In the long and medium term, we are also going to rely on the private financing sector to work in partnerships with the government to give support to this sector. We have had favourable responses form banking institutions in this regard.
The types of small business we are looking into are small-scale mining, light manufacturing industry, the service industry, textile works, welding and metal works, agricultural co-operatives, automobile component supply and repairs, and property development.
CRIME PREVENTION
This is one province which does not experience any major crime wave, however we are concerned at the possibility of a spill-over from neighbouring areas, indeed we are already experiencing the proliferation of petty crime, which is largely due to the stagnant economy in the rural areas.
But we are nowhere near large-scale drug trafficking, vehicle hijacking and arms-dealing and white collar crime like massive corruption is virtually unknown. We are managing to contain petty crime through community participation programmes such as community policing. We intend to embark on a major crime prevention drive by way of retraining the police service and putting into operation the Community Safety Plan.
NATURAL RESOURCES
We have an abundance of mineral and eco-tourist resources in four heterogenous natural zones. Alluvial diamonds, uranium, lime, andalusite and platinum occur in abundance. Base metals such as copper, asbestos and limestone are also found but in lesser quantities.
The northern part of the province boasts unspoilt game parks which with financial backup to emerging black entrepreneurs, could enhance the development of linkages in the form of eco-tourism to provide divergent types of leisure and entertainment.
THE NEED FOR FOREIGN INVESTMENT
There is vast potential for the creation of joint ventures between the foreign investor and the local entrepreneur. The climate is conducive for import/export ventures and in the field of franchising. The social development programmes under the RDP offer open-ended opportunities for the manufacture or supply of electrical material, metal and timber-works, bricks, cement, stone, tar and many other articles that are needed in such a massive programme.
IN CONCLUSION
The North West Province has the peace, stability and resources which stand it in good stead as an investment destination. There is unity and social cohesion.
There is not a modicum of political or policy differences either in the legislative or in the executive. The people display a political maturity and tolerance for multiparty competition much like countries which have long experiences of democratic rule. All ethnic groups practice their customs, cultures and religious beliefs without let or hindrance and are full of pride and confidence in the government of the province. Although it is the third poorest, the people of the province have been tolerant, uncomplaining and trustful of the Reconstruction and Development Programme.
The politicians in this province are not ideological demagogues, they believe in implementing the RDP without muddying the waters with isms.
THANK YOU VERY MUCH