VIDEO- Jonas: SA needs to encourage business

Mcebisi Jonas
Mcebisi Jonas
Mcebisi Jonas returned to the Eastern Cape this week to blame inefficiency for holding back the South African economy.

Jonas, the former economic development, environmental affairs and tourism MEC and now deputy minister of finance, was speaking to the audience at a Daily Dispatch and University of Fort Hare Dialogue on Tuesday night.

Jonas was in conversation with authors Greg Mills and Dr Jeffery Herbst. His role was to review their newly launched book How SA Works and Must Do Better.

He said serious transformation away from a high level of inequality was needed to stimulate growth.

“Government reform must deal with a whole range of issues including the issue of efficiency. We need to build a capable state – a state that understands we must create an environment for business to thrive in,” Jonas said.

He said there had to be a greater focus on developing cities.

“Take the Eastern Cape – its metros are small and slow in growth and are just disorganised. There has to be a greater focus on making our cities work better by creating a better environment.”

He said it had become fashionable to talk about the failure of municipalities and government departments.

“Choosing officials in government is a fundamental issue. We cannot continue with the trajectory where we choose the most incompetent,” Jonas said.

Co-author and American political scientist Herbst, said government, businesses and labour unions had to unite to grow the economy.

“Government, business and labour all have an important role to play, with government taking the lead,” said Herbst.

The South African economy needed to be structurally transformed and this would only come about through redistribution of wealth and resources.

“We believe BEE and its associate policies have reached a ceiling and further improvement in the economy must come through growth,” he said.

Mills said: “A tremendous amount has been achieved in South Africa since the end of apartheid despite the legacy that continues to bedevil us.

“We’ve done well in some areas.

“But we have done poorly in comparison to other countries in their 21st year since independence.

“In the old days your life chances were determined by race, but today it’s determined by whether you have a job or not which is a new form ... of apartheid.” — siphem@dispatch.co.za

subscribe

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.