the Republic of South Africa, at the gala dinner in honour of Ms Sonia Gandhi
and the launch of the Jobs for Growth Initiative, Sheraton Hotel, Cape
Town
22 August 2007
Programme Director,
Cabinet Ministers,
Our honourable guest Ms Sonia Gandhi,
Executive Managers of Old Mutual and Independent Development Trust (IDT)
Distinguished guests from India and South Africa,
Officials from the three spheres of government,
Business people,
Ladies and gentlemen
Ms Gandhi: President of the Indian National Congress Party
We are pleased to be hosting this dinner in honour of Ms Sonia Gandhi, who
is the President of the ruling Indian National Congress Party. Ms Gandhi is
also Chairperson of the co-ordinating committee of the ruling United
Progressive Alliance.
Ms Gandhi, the Member of Parliament
Ms Gandhi was first elected as a Member of Parliament in 1999 and is
currently a member of the Lower House of the Indian Parliament. India is one of
South Africa's greatest friends and with Ms Gandhi's visit we are further
strengthening this important relationship.
Ms Gandhi's work at an international level
Ms Gandhi is a patron of the Round Square, an international group of schools
based in the United Kingdom (UK). Ms Gandhi also served as a member of the
international advisory group which assisted in marking the 50th anniversary of
the United Nations (UN).
Ms Gandhi, the author
Ms Gandhi has authored two books entitled 'Rajiv' and 'Rajiv's World.' She
has edited two volumes of letters exchanged from 1922 to 1964, between Indira
Gandhi and Pandit Jawaharlal Nehru. The volumes are titled 'Freedom's Daughter'
and 'Two Alone � Two Together.' Ms Gandhi is in many ways, a woman of substance
that many people internationally look up to we are proud to host her and for
her to have come notwithstanding significant pressures at home. We will be
hosting Ms Gandhi during her three-day visit to South Africa, which we hope
will further strengthen the historic ties between our two countries. We wish to
see women of South Africa and India forge closer alliances.
Partnership between Government and Old Mutual
Tonight, I am particularly pleased that Ms Gandhi is our guest of honour at
this partnership launch between government and Old Mutual, one of South
Africa's important corporate citizens and one of the old and time-tested
companies with a global footprint including in India. Government and Old Mutual
are building a partnership through an investment in women. It is an idea that
has enjoyed input from colleagues in India.
Jobs for Growth (J4G)
The Jobs for Growth (J4G) programme has a number of partners from the
business sector. This evening we are focusing on a joint "Jobs for Growth
Initiative" with an Old Mutual section 21 Company called Masisizane (Let's help
one another). In this relationship, we will have a mechanism to finance these
micro- enterprises and co-operatives so that they grow from a small idea that
graduates to:
1. Either small or micro businesses that we can duplicate and create many,
many small and sustainable ones that can grow into bigger businesses. Without
imposing a super structure that over formalises the business. Either way, they
should create jobs and sustainable livelihoods for the women and their
families. On that we will pay great attention and give other help as will be
needed.
2. This idea and the training we have already done, was inspired by a
Non-Governmental Organisation (NGO) from India that we have been working with
called "Helping hands". To date they have helped us train a total of one
thousand and sixty four (1 064) women-owned co-operatives and six hundred and
fifty (650) community based organisations in social mobilisation for effective
co-operative participation and on management and technical aspects of
co-operatives. This has shown the devotion of our Indian partners as they have
visited the country four times to pursue this training. Indeed, they are a
helping hand! Thanks to the Independent Development Trust (IDT), which reports
to Minister Thoko Didiza, for their unfailing support.
3. We see our relations with India going from strength to strength. We are
glad that Ms Gandhi has been part of this history. What is going to be unique
about this initiative is that, together with the Ministers of Agriculture,
Public Works, Water Affairs and Forestry and the Deputy Minister of Arts and
Culture; Deputy Minister Elizabeth Thabethe will help us all find a value chain
and markets and products that will make J4G work. Old Mutual has gone an
extra-mile not to throw money at the problem but to walk the talk. I therefore
like to thank Rojie, Paul and the team. Jim, thank you for your support as
well.
Economic growth, small, medium and micro enterprises (SMMEs) and
co-operatives
If government is to meet its target of economic growth, which includes
halving poverty by 2014, then it is important that women be active in SMMEs and
co-operatives. Our strategy for growth must be geared towards the grassroots
people. This is but one of our strategies for growth to move from a total
dependence on the formal economy and large companies to investing in people
where they are shared growth is about direct redistribution economic justice
not trickle down. Growth at formal economy level will not redistribute itself,
we need to creative and people centred. Development of poor people is labour
intensive and unorthodox. We have to address the inequalities in our society by
going to where people are at a grassroots level in order to liberate our women,
one woman at a time while gathering momentum and building hundreds and
thousands of seeds and flowers that must blossom. That is the essence. Every
municipality and ward must be a site of economic struggle.
Department of Trade and Industry (DTI), one municipality, one product
And we will build blossoms at every municipality together with the
Department of Trade and Industry through the proposed one municipality one
product initiative. In doing so, we are forging partnerships with bigger
players who can support through access to finance, as we have with Old Mutual
South Africa (OMSA), business skills, as we have with Helping Hand, retail
networks and product development as we have done with Score, Mr Price and
Shoprite.
In the preliminary evaluation of J4G we identified weakness for example
double counting, cost of creating jobs, quality, design capabilities,
middle-personing. For each weakness we want a correction.
SMMEs and co-operatives
In many countries women are active in SMMEs and co-operatives. For example,
in some countries up to 90% of businesses are either family-owned, SMMEs or
co-operatives. We have to stop over formalising small enterprises while not
entrenching the exploitation of women. J4G is, therefore, for creating many
opportunities prioritising women and decentralising Black Economic Empowerment
(BEE).
Getting ordinary people into Local Economic Development (LED)
In terms of "democratising" our economy, we want to greater spread the
benefits of economic growth to rural areas and to townships and to use their
indigenous knowledge and the so-called dead assets in the hands of the poor,
land, indigenous knowledge and more. This is about getting ordinary people,
ordinary women and their families to become part of the LED. Thank you OMSA for
believing in ordinary women the so called high rise.
J4G and women businesses
This is the best investment you will ever make. We intend through J4G to
create a nest to hatch women businesses, to grow them. No idea is too simple or
irrelevant if it will help us get jobs and empower women.
Relevance of women-owned businesses
In an economy such as ours, the fastest growing businesses are women-owned.
In fact, this is because self-employed women are able to balance their lives by
being economically active whilst "running" families. We do not wish to disrupt
that as we support women getting into commanding heights of the economy.
Masisizane
We are pleased that Old Mutual's programme Masisizane has set up a R20
million project to fund co-operatives and women entrepreneurs in partnership
with government's "Jobs for Growth" Initiative. This capital we intend growing
by contributing from government and other corporations. This is about building
South Africa where it matters most.
The agreement between the Government and Old Mutual
Government and Old Mutual will work in partnership to ensure co-operatives
receive business agreements with major retailers and other corporations.
Co-operatives will also receive mentoring and business support
arrangements.
IDT's role
The fund will be housed within the Independent Development Trust (IDT), that
has done a good job and an Investment Committee comprising of Old Mutual, IDT
and the government will assess projects. Once the Investment Committee has
approved projects the IDT will disperse the monies.
Wishing Ms Gandhi well
We are glad to have Mrs Gandhi to witness this day and to share her own
thoughts with us. We look forward to Ms Gandhi's presentation called, The
Relevance of Gandhian Philosophy in the 21st century, at the Inaugural Lecture
in the Gandhi Lecture series, to be held at the University of Cape Town
tomorrow. We wish Ms Gandhi well in the future and wish the people of India all
the success.
Gandhian philosophy
What we want to take with us today and for all of us, from the Gandhian
philosophy, is relevant to what we are trying to achieve here giving the
ordinary people a chance to build their future and to liberate themselves.
Our future depends on what happens to ordinary women
To use what we have and to believe in our own resources, what we often call
Proudly South Africa, this is what this is about. A future we are building for
the people of South Africa which in many ways depends on what happens to women
at grass-root levels � if we do not change that reality everything else we
change is superficial and women will not be emancipated by a trickle down
approach. We have to deal with their needs directly and they are part of the
solution. Gandhi lived that philosophy and now 100 years later with
globalisation, thinking global and acting locally remains even more relevant.
Through partnerships we can create and better South Africa, a better Africa and
a better world.
I thank you.
Issued by: The Presidency
22 August 2007
Source: The Presidency (http://www.thepresidency.gov.za)
