Statement by the MEC for Economic Development, Tourism and Environmental Affairs Nomusa Dube-Ncube on the signing of MoU between Durban University of Technology and our entity, Ithala Development Finance Corporation
I wish to inform the people of KwaZulu-Natal and entrepreneurs in particular that our entity Ithala Development Finance Corporation and the Durban University of Technology have signed an MoU focusing on the acquisition of knowledge required to redevelop and reconstruct the economy of the province.
We are determined to skill entrepreneurs to become drivers of job creation in various sectors of our economy as projected through Provincial Growth and Development Plan.
It should be remembered that last week I appeared before the National Council of Province. In this sitting I highlighted our commitment as the department towards reskilling of the people of this province as part of the implementation of the economic recovery plan.
I applaud the Board of Ithala, CEO Ms Pearl Bengu and her team; the Vice Chancellor of DUT Prof Thandwa Mthembu, Professor Sibusiso Moyo, Deputy Vice-Chancellor (DVC): Research, Innovation & Engagement and the entire academic community from the University for their Commitment.
The signing of this agreement marks the beginning of the skills revolution. With COVID-19 having devastated our economy, we are focusing on the quality of human capital being produced to turn around the situation.
A modern knowledge-economy we are building demands human resources that are numerically and scientifically literate, technology fluent and skilled at problem solving.
Critically, the parties have agree to pursue innovation for fostering economic development and competitiveness in KwaZulu-Natal Province by:
- Developing and equipping highly skilled human capital with critical skills matching industry needs in priority sectors both regionally and nationally;
- Creating new business opportunities and adding value to small medium enterprises and companies in technology and knowledge-based sectors;
- Enhancing the synergy between industry, government, academic and DUT research;
- Fostering entrepreneurship and incubating new innovative companies;
Providing attractive collaborative spaces that bring together different emerging knowledge companies, organisations and communities;
Sharing or exchange of human resources between the Parties to enhance each Parties human resources pool.
According to the MoU DUT responsibilities will include:
- Ensuring human capital development of critical skills matching industry needs in priority sectors;
- Engaging strategic stakeholders to strengthen DUT/Industry partnerships and performing relevant research and innovation to tackle industrial challenges;
- Identifying areas in KZN where there is no water and electricity and develop new technologies to alleviate the existing challenges;
- Training and equipping academics and students to generate and commercializable patents, essential for economic growth in KwaZulu-Natal;
- Instilling the culture of entrepreneurship amongst students to curb unemployment;
- Establishing an Advisory Board for the Innovation Hub initiative that will have Ithala representatives and DUT representatives; and
- Referral of Service Providers awarded construction or related projects to Ithala for funding applications
Ithala responsibilities will be:
- To support DUT with the Innovation hub project and initiatives through the Advisory Board and through its networks that promote innovation and entrepreneurship;
- Co-design initiative and projects around skills training, research and innovation which seek to promote upliftment of historically disadvantaged communities in KZN. Such initiatives will be supported through a service level agreement where each party will identify what they are responsible for in terms of the delivery of the initiative and funding commitments;
- To co-facilitate the networking of incubated companies with relevant industry and government stakeholders;
- To co-design M and D projects that help to solve real-time problems faced by KZN communities.
The signing is a fitting to Ithala as the entity celebrates more than 60 years of its existence. Over the years Ithala has approved SMME loans totalling more than R478 million for more than 465 enterprises in agricultural, manufacturing, services, construction, energy, tourism and other sectors.
Through the finance provided to SMME`s Ithala facilitated the creation of more than 3,552 job opportunities. Ahead of lockdown we had set aside R59.8-million through Ithala to deliver affordable and accessible banking services to the under-banked in the province.
In addition, we approved a housing loan budget of R319 million through Ithala to enable ordinary members of society to own their own homes. The intention is also to stimulate the peripheral housing industries, such as builders and artisans.
Ithala has also been working with SANTACO and local taxi associations to finance taxis. About R32-million was set aside for that.
Enquiries
Ndabezinhle Sibiya on 082 375 4742
Nathi Olifant on 060 970 5113
