• Inside Labour

    Terry Bell explores the connection between poultry, poverty and desperation.

  • A new ANC sweeper?

    Have the Guptas' new auditors mastered how to look the other way on cue, asks Solly Moeng.

  • Strategy for the big boys

    Formulating strategy across the span of huge companies is a marathon, says Ian Mann.

All data is delayed
See More

NEF defends funding Dlomo's luxury store

Aug 01 2013 11:30
Sapa, Fin24

The store stocks nearly 80 designer labels including Givenchy, Stella McCartney, Oscar de la Renta and Alexander McQueen. (Shutterstock)

Related Articles

More support for Dlomo boutique probe

Davies wants details on R34m Dlomo deal

SA fashion mogul hits back

Money to burn

New fund to aid small business

Applications at BEE fund surge


Johannesburg - National Empowerment Fund CEO Philisiwe Mthethwa has defended the decision to fund a high-end Johannesburg boutique, saying the retail sector needed transformation, The New Age reported on Thursday.

"The past four days has seen transformation put on trial, perhaps because some people do not see the need for women empowerment, perhaps because some do not see the need for transformation in the retail sector," Mthethwa was quoted as saying.

She was reportedly speaking at a Black Business Council (BBC) conference in Midrand.

According to The New Age, she said the people who supported the retail sector in South Africa were black, yet the sector remained white, and more black people needed to participate on the business side.

"I look forward to the day when the work of black people will be greeted with trust and appreciation, and not with instinctive suspicion of wrongdoing and impropriety that has come to characterise reaction to endeavours by black people."

The NEF approved R34.1m in financing to Ndalo Luxury Ventures (NLV) to establish the Luminance boutique, which sells luxury clothing and related goods, in Hyde Park, Johannesburg.

The boutique is run by media mogul Khanyi Dhlomo, her mother Venetia, and businessperson Judy Dlamini.

In a statement, Trade and Industry Minister Rob Davies said he had asked for a detailed report from the NEF on the funding of NLV.

Probe gains support

The SA Chamber of Commerce and Industry (Sacci) on Wednesday has welcomed the probe.

Sacci said in a statement that it was critical to ensure that the funding was in line with the NEF's mandate.

"The fact that the funds are public necessitates transparency and accountability."

The Cosatu-affiliated Southern African Clothing & Textile Workers’ Union (Sactwu) is also outraged at the finance deal.

"We are of the view that this is completely inappropriate in a country where the main challenges are to tackle our triple crisis, of poverty, inequality and unemployment," said André Kriel, Sactwu's general secretary.

On Wednesday, the DA said it would write to Davies asking that the report be tabled in parliament.

"Providing financing to wealthy individuals for luxury boutiques that cater for the super-rich is anything but broad-based and essentially amounts to 'empowering the empowered'," DA MP Wilmot James said.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

ndalo media  |  da  |  sactwu  |  bbc  |  wilmot james  |  rob davies  |  khanyi dhlomo


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

The drop in inflation:

Previous results · Suggest a vote