EYES were glued to television sets on Thursday night as the State of the Nation Address quickly descended into violent chaos.
But once the dust settled and President Jacob Zuma resumed his place at the podium his speech, irksome or not, contained some plans commended by both the Zululand Chamber of Commerce and Industry (ZCCI) and economist Dr Irrshad Kaseeram, Deputy Dean in the Faculty of Commerce Administration and Law at the University of Zululand.
One of the biggest plusses for northern KZN is believed to be the 9-point plan to prioritise industrialisation, mining and beneficiation, agriculture and agribusiness, energy, SMME development, conflict resolution in the labour sector, oceans and tourism, science and technology and infrastructure roll-out inclusive of water, energy and broadband.
ZCCI President Judith Nzimande said to remove roadblocks for regional economic growth, the focus should be on using the state’s buying power to empower small enterprises, rural township enterprises and promote local industrial development to stimulate the SMME sector.
‘This is where the major growth should start and local manufacturing should be encouraged.
‘For far too long we have exported raw materials.
‘The local manufacturing sector needs to be supported.’
She praised that an estimated R2.5-billion was made available for the provision of livestock feed, water infrastructure, drilling, equipping and refurbishing of boreholes, auction sales and other interventions.
‘This is welcome news, especially since at the moment Zululand is in the midst of the worst drought in 100 years, and nearing the end of the summer rains, the Goedertrouw Dam is only standing at 27.39%.
‘The announcement that 10 000 unemployed young people were being trained as plumbers, artisans and water agents to tackle wastage of water from leaking municipal pipes will certainly help.
‘We look forward to welcoming that programme in this district.’
On the topic of education, Nzimande agrees with government for settling the outstanding student debt on the NSFAS (National Student Financial Aid Scheme) system and for assisting students who qualify for the scheme.
‘Educating the youth to enable them to play a meaningful role in the country’s economy is vital for future growth.
‘In total, R32-billion will be spent this year to support higher education.’
Questions raised
Dr Kaseeram said while Zuma spoke of the handling of the R900-billion infrastructure spending budget, no mention was made regarding nuclear energy.
‘Interestingly, he instead focused on prioritising renewable sources of energy as coal, oil and gas.
‘Moreover, the importance of independent power producers in electricity supply to the national grid and the new contractual arrangements that are being forged were emphasised.
‘The address took a conciliatory tone with our trading partners in the east, west and on the African continent and emphasised our close strategic developmental alliance with China via the BRICS agenda.
‘New trade deals struck with India and China were noted, but nothing was said about the uncertainties in the bilateral treaties and protection of investment, which have been a cause for concern among our historical investment partners from the west.’
Though Kaseeram gave thumbs up to the speech highlighting the pressing needs of the economy, he expressed scepticism that the reassuring words would lead to action.
‘Many of the right chords have been struck in terms of the concrete actions government will take.
‘But given government’s dismal recent performance, under-performing state-owned enterprises patronage, rigid dominant labour unions and corruption, it is hard to envisage how the waning ANC-led government will achieve the lofty ideals of a well-managed high growth economy.
‘Most of the legislation that government introduced ranging from labour laws to mining rights has served to stymie the economy and dissuade private sector investment.
‘Government’s insistence on even greater involvement in the economy and its reluctance to involve the private sector and labour unions in a joint undertaking to solve the challenges we face, imply that the economy will continue to under perform.’
HAVE YOUR SAY
Like our Facebook page and follow us on Twitter.
For news straight to your phone invite us:
WhatsApp – 072 069 4169
Instagram – zululand_observer
