Question 1 – On efforts to accelerate economic growth and increase employment
Yesterday we received the positive news that South Africa is out of a technical recession.
We have seen multilaterial organisations like the IMF, the World Bank, the G20 and the OECD ramp up calls for radical reforms in order to reverse the global crisis of inequality.
Many countries are having to deal with challenges of growth. Therefore, the news of our own Gross Domestic Product rising to 2.5% in the last quarter is encouraging. But, this is not the time to celebrate yet, for the task before us remains huge. We are far behind our NDP target of 5% growth per annum.
The triple challenge of unemployment, poverty and inequality remains. Our young people continue to be at the epicentre of the unemployment challenge, and poverty is rising.
Like several sectors of the economy, mining remains a priority sector. We believe that the sector retains great potential to create jobs and contribute to national wealth. The 10 Point Plan for mining is beginning to bear fruit. Mining production increased to 4, 6% year-on-year in February 2017.
Statistics SA recently reported that compared to previous years, job losses in the mining sector had slowed down substantially in the last quarter of 2016. 2017 employment numbers show that the mining sector is making a positive contribution.
As a demonstration of Working Together, government convened mining industry stakeholders in 2015 in a collaborative Operation Phakisa, which in itself is showing positive results. To raise employment sustainably, we need more inclusive growth.
We need to change the structure of the economy and demonstrably encourage more start-ups and new entrants into our economy, which will stimulate greater competition. We need more regional trade and better integration into global value chains.
We need to work with all social partners to rebuild confidence and to stabilise our State Owned Enterprises. These expectations are matched by our daily actions to reignite growth, such as we are doing with the Invest SA initiative and the ‘Ease of Doing Business’ project.
Reducing red tape and the costs associated with starting new businesses is being worked on. In unlocking our Oceans Economy, Operation Phakisa has to date as unlocked an estimated R24.6 billion in investments, with government contributing R15 billion.
The Department of Trade and Industry is currently providing incentive support to the tune of R428.9 million for investment in ports, marine manufacturing (boat building) and aquaculture, with an estimated 6 453 jobs created. We are working on several fronts to build confidence and productivity in our economy.
In pursuit of stability, peace and fairness in the workplace, we have been working with social partners to reduce the risks of prolonged, violent strikes. The principles of a national minimum wage have been agreed and it should be introduced by 1 May 2018.
Through a collaborative effort, Government and Business have agreed to set up a Youth Employment Service to provide opportunities for up to 1 million young people to gain work experience over the next three years.
These are just highlights of the what government and social partners are doing to improve the investment climate and create work opportunities for our people. We are fully aware that GDP growth is not enough unless the economy creates sustainable jobs for and closes the inequality gap.
It is important for all of us to focus on the positives and to help us produce more positives.
Our nation needs hope and opportunity, which is within our reach. Our potential remains greater than our current difficulties, and it is up to all of us as South Africans to ensure that we stay the course of growth and development.
I thank you.
Question 2 – On achievements of the Nine Point Plan
As I said in this House two weeks ago, in 2015 President Zuma announced the re-prioritisation of government interventions to support economic growth through the Nine Point Plan.
In 2017, our implementation of the Nine Point Plan continues to create a better life and a better economy in our country. In the course of revatilising the agriculture and agro-processing value chain we have seen net exports of agricultural raw products increasing on average by 14.6% per year since 2012.
23 agri-parks are currently being developed and will be completed by 2019. Through the implementation of the Industrial Policy Action Plan (IPAP), four industrial parks have been launched.
We continue to see expansion in the auto sectors of our economy. In May 2017, Beijing AutoWorks (BAW) - together with the IDC - launched the expansion of the New Era Facility in Springs, Gauteng. The investment into this expansion is estimated at R250 million and will create 100 new jobs.
The MAN plant in Olifantsfontein is now producing buses for Tshwane BRT with 80% local content. First Auto Works (FAW) invested R600 million in a truck assembly facility at Coega, Port Elizabeth. The clothing and textile industry turnaround has resulted in 70,000 jobs saved with an estimated 9,550 jobs created and 28 new companies established.
The Black Industrialist Programme has supported 46 projects that have attracted R3.7 billion of private-sector investment and created 19,859 jobs to date. To support localisation, 21 products and sectors have been designated for local production.
This includes products such as bus bodies; clothing, textile, leather and footwear, school furniture; office furniture; steel power pylons, and canned or processed vegetables. Other interventions to support investment and growth through the (9) Nine Point Plan includes unlocking the potential of SMMEs, co-ops and rural and township enterprises by implementation of the 30% set-asides policy adopted and regulated early this year.
The One Stop Shop launched in 2016 is now fully operational.
President Jacob Zuma will on Friday, 8 September 2017, launch the Invest SA One Stop Shop here in Cape Town. This facility aims to provide strategic guidance, reduce regulatory inefficiencies, and reduce red tape for all investors looking to invest in the Western Cape. This initiative aims to improve the business environment for investment in the local economy.
Our work at NEDLAC in reducing workplace conflict has resulted in an agreement on strike balloting, advisory arbitration and compulsory picketing rules before strikes. Notwithstanding the steady gains that we are making we need a more concerted and deliberate effort to have open engagements with the private sector and labour to build confidence and trust around our economic programmes.
We are constantly planting the seeds of future growth, and we are extremely encouraged by the green shoots that are steadily emerging and proving that we are on the right track. Our greatest investment is not cash, but confidence. If we can all remain focused on the progress we are making daily in our economy, this will give us the inspiration to create the South Africa all of us desire.
I thank you.
Question 3 - On the interaction between the Executive and the Legislature
As I have stated in this House on numerous occasions, Members of the Executive are collectively and individually accountable to Parliament, both in terms of the Constitution and in terms of the rules of the National Assembly.
The Constitution further says that members of Cabinet must provide Parliament with full and regular reports concerning matters under their control. The Executive remains committed to ensuring that it accounts regularly and effectively to Parliament. As the Leader of Government Business, I provide Cabinet with regular reports on this matter.
Where difficulties arise between Ministers and Committees, such issues should be escalated to appropriate structures for further action. In fact this House has full rights and authority to sanction Members who miss scheduled meetings without resoanable explaination. Such powers do not reside with the Leader of Government Business.
It is my wish that the Executive and Parliament will maintain the good track record we have established and that disputes will be resolved with the ultimate objective of accountability uppermost in our minds.
I thank you.
Question 4 - Deputy President calls for stronger leadership to move South Africa forward
The Constitutional Assembly process represented a unique moment in the history of our nation.
Although there were strongly opposing positions, it was possible to reach agreement because there was sufficient commitment to the goal of a peaceful and democratic South Africa. From that period we draw strength and lessons to deal with contemporary challenges.
We are required as leaders to see beyond the immediate interests of themselves and our organisations.
We are bound by history to work together to move South Africa forward. The Constitutional Assembly process was possible because leaders engaged each other on matters of substance and were prepared to negotiate in good faith.
Now, as the country faces several challenges, including slow growth and high unemployment, leaders are called on to guide our nation to greater and better things. Such engagement is taking place among leaders in government, business and labour on measures to reignite growth and create jobs.
As leaders of different political parties, we need to ensure that we act at all times in the interests of our people. We need to show South Africans that, collectively, we are committed to and capable of resolving the many challenges that our country faces.
We must constantly be led by the needs, feedback and suggestions of ordinary South Africans who possess a wealth of ideas about how to move South Africa forward. Our leadership must flow from our ability to listen and learn to citizens and communities. Working together, we can move South Africa forward!
I thank you.
Question 5 – Deputy President on diplomatic immunities and protocols
The decision to grant Grace Mugabe diplomatic immunity was taken by the Minister of International Relations and Cooperation, Maite Nkoana-Mashabane. She has indicated that she did so in terms of section 7(2) of the Diplomatic Immunities and Privileges Act, a piece of legislation that the Minister administers.
The Minister has sent correspondence to the Speaker in this regard and I understand that the relevant Portfolio Committee is seized with this matter. Furthermore, both the DA and Afriforum have approached our courts to review this decision.
I trust that this House, through the Portfolio Committee process, and taking into account the courts proceedings currently under way, will deal with whether or not the Minister’s decision was appropriate. This is a difficult case in light of the complexities of balancing diplomatic conventions and protocols against the imperatives of natural justice.
Where violence against women and children is concerned, the authorities must exercise their duties in line with applicable law and in the furtherance of the goal to end this scourge, whomever may be affected.
I thank you.
Question 6 - Social cohesion
South Africa belongs to all who live in it. But it does not belong to abusers, racists and bigots of any kind.
The Constitution provides the basis for a new South African identity and enables South Africans to have a common bond. It is our responsibility – as individuals, as institutions and as the state – to forge that new identity and establish that bond.
In short, we all bear responsibility for building social cohesion. We need to promote increased interaction between South Africans from different social and racial groups so that each group discovers in the other common humanity. It is very difficult to measure social cohesion. Where we have indicators, the results are mixed.
For example, the proportion of people who thought that race relations were improving declined from about 70% in 2000 to the current figure of 37% in 2015. In 2000, 85% of the population were confident of a happy future for all races. This had declined to 65% in 2015.
On the other hand, progress has been made to address social and economic inequality through the provision of housing, basic services, education and health care. The racial incidents to which the Honourable Member refers offer a glimpse of the very worst in our society.
However, the way that most South Africans reacted to these incidents – with shock and condemnation – reflects the extent to which the basic values of our Constitution have become embedded in our national consciousness.
These ugly and humiliating encounters among citizens should not just be met with tweets, Facebook posts, media reports and research studies. They must be met with the full might of the law. Unapologetic bigots and abusers must be put in their place, and that place is off our streets.
We must work to create an inclusive, tolerant society, but those who patently refuse to be part of this society, must be dealt with.
I thank you.
Issued by
More from
More on
