The struggle to de-racialise the control and ownership of the economy and ensure the meaningful participation of the black majority continues, says President Jacob Zuma.
Mr. President made the remark while he was paying tribute to black business individuals who managed successful businesses during apartheid. He acknowledged that these individuals were strong-minded to have ache
He acknowledged that these individuals were strong-minded to have achieved great success in the face of the apartheid evils. But then pointed out that the struggle for the economic emancipation of black South Africans isn’t over.
He said: “The struggle to de-racialise the ownership and control of the economy and ensure the meaningful participation of the black majority continues. We have not yet reached our destination that is true economic emancipation.”
President Zuma told his audience at a Black Business Pioneers dinner that the government’s Black Economic Empowerment legislation, including legislation aimed at opening up state procurement to black entrepreneurs and small business, are a critical component of the national effort to banish poverty, joblessness and inequality.
He added that the B-BBEE policy must be powered by government’s procurement muscle in order to sustain and grow black businesses.
Zuma indicated that government amended the Preferential Procurement Policy Framework Act (PPPFA) to provide for BEE preference points in the last five years.
With that, he said:
“…We have now realised, this amendment has not worked or led to the desired impact. Instead, we have now found that the preference points system prescribed in the PPPFA is rigid and is not responsive to government objectives.
Due to these shortcomings, the regulations have failed to substantially re-shape the skewed ownership and control of the South African economy. Government is now determined to ultimately repeal the PPPFA and its associated regulations and introduce a more flexible preferential procurement framework that is responsive to government objectives.”
Meanwhile, South Africa and Norway are currently, exploring new business opportunities in the blue economy. Both nations have also agreed to look at other innovative solutions that will help address global challenges like rising poverty, inequality and increased demand for energy.