South Africa has made strides in the struggle to “de-racialise” the ownership and control of the economy to ensure meaningful participation of the black majority in South Africa, President Jacob Zuma said on Friday.
“We have not yet reached our destination, that is true economic emancipation,” Zuma said in a speech prepared for delivery at the Black Business Tribute Dinner, to honour black business pioneers, in Johannesburg.
“Our collective task is to fast-track economic transformation so that black business can be part of the mainstream, and not be regarded as an alternative sector of the economy. In this regard, government continues to implement its policies aimed at the radical transformation of the economic landscape, including changing the patterns of ownership of the economy.”
He said that these would include the Broad-Based Black Economic Empowerment laws which are aimed at ensuring the transformation of the economy.
Black Economic Empowerment legislation including legislation aimed at opening up state procurement to black entrepreneurs and small business, is a critical component of our national effort to banish poverty, joblessness and inequality, Zuma said.
Zuma said that despite all the challenges black entrepreneurs faced during apartheid, they worked hard and became household names and an inspiration to all.
“These organisations soldiered on, and demonstrated their determination never to give up the fight against racial exclusion and economic injustice over these years. We are pleased that today many black business owners have become business icons of our nation and continue to inspire young entrepreneurs,” he said.
“You have demonstrated that it is possible to succeed, especially now, in a free and democratic South Africa, with a government that has as its mission, the emancipation of black people from economic bondage. Black entrepreneurs are succeeding in various sectors of our economy, including mining, information communication technologies, agriculture, construction and manufacturing.”
As part of advancing B-BBEE procurement, government has in the past five years amended the Preferential Procurement Policy Framework Act or the PPPFA Regulations to provide for BEE preference points. He said that the Preferential Procurement Policy Framework Act would be repealed by the Public Procurement Act.
“The Public Procurement Bill is now going through the different government stakeholder engagement processes before it is tabled in Parliament. This is targeted for early 2017,” Zuma said.
“In the interim, government is working on regulations that will improve the PPPFA to make them more responsive to the economic transformation imperatives. One of the key deliverables will be the 30 percent set asides for small businesses, which will be compulsory for all big contracts.”
He urged business owners to engage the National Treasury and the Small Business Development Department to ensure that the views of black business are taken into account into the drafting of the new procurement bill and in amending the procurement regulations.
South Africa Today – South Africa News
