Business welcomes Zuma address

2011-02-11 07:09

Johannesburg - President Jacob Zuma's State of the Nation address laid the ground for business and government to work towards job creation, Business Unity South Africa (Busa) said on Thursday.

"We are pleased that the President committed his government to a disciplined macroeconomics approach," Busa spokesperson Masego Lehihi said in a statement.

"The expectation in business circles has been high for the President to use his State of the Nation address to concretise some of the proposals in his government's New Growth Path initiative."

He said Busa was encouraged by government's intention to link social grants to the promotion of economic activity.

It was also pleased with government's intentions to combat corruption, to cut costs for small businesses and to provide a more streamlined support service for business development.

Busa welcomed government's plan to provide incentives for greenfield developments and the expansion of existing businesses

"We believe that reducing the costs of doing business in South Africa, across the spectrum, will be imperative.

"We need to encourage vigorous entrepreneurship, as well as a rapid improvement in our improved global competitiveness to improve job creation."

Busa was awaiting specifics and implementation deadlines on government's commitments.

It said it was behind the government in its goal of creating a performance-oriented state.

It also believed that the improving the pace, efficiency and quantum of infrastructure was important.

"Business looks forward to the unpacking of the details of infrastructural spending. In order to ensure success in this regard, leveraging of the capacity of private sector through targeted increases in public-private partnerships will be particularly important."

Business, Lehihi said, would play its part in saving electricity and avoid load shedding.

Busa was encouraged by Zuma's emphasis on the need to improve service delivery at grass roots level.

"This is important for business, especially for our smaller and emerging enterprises, many of whom are deeply dependent on the efficient delivery of basic services from and proper administration of the municipalities in which they are located."

  • Tasmee Hylkema - 2011-02-11 08:03

    After being retrenched last year from the PBMR, I am well on my journey to establishing my own business. Unfortunately, it is now 5 months and CIPRO still have not registered my company, the Banks require more security than is possible for a start up business, never mind that they open a business account and charge you while processing your application. Khula have not been very helpful to date, forget IDC or any state owned enterprise to assist if you are not involved in a business that is labour intensive or veers more towards rural upliftment. Well that is my experience, so I would sincerely like to see this fund in operation. They can certainly start with CIPRO,and stmulate the environment for small and medium sized enterprises, not stifle it with red tape!!!

  • Zunaid - 2011-02-11 09:41

    Government must stop lying to the people about job creation. Where employment is concerned in a third world country like South Africa, you can either have "decent work" or "low unemployment". You cannot have both. These ideals are mutually exclusive and we cannot enjoy both at the same time. We need leaders that are not afraid to tackle the difficult questions. For one the labour market has to be liberalised and small business must be exempt from complying with the ridiculous and onerous conditions that impede and frustrate their effective operation. More tax breaks for SMMEs are a given if we are serious about creating employment. Also, the grants that government are planning for the manufacturing sector will only be accessed by a few and possibly the same few that understand the complexities of securing these grants. Tax breaks for both existing and new SMMEs on the other hand are more direct and is simple and easy to be accessed and to be administered by government. For as long as we are in the grip of power hungry populist leaders, the "people" will have to wait for their freedom."Government by the people but not for the people" is different from "Government By The People and for the people".

  • Fikile - 2011-02-11 10:07

    more jobs for friends?, state departments gets fat salaries and have consultants doing their work that even earn fatter salaries

  • Prem Rahoo - 2011-02-11 10:37

    This government is, at least trying, compared to the orevious one.

  • Gavin - 2011-02-11 12:26

    If I heard correctly, that govt will now be involved in mining strategic minerals. Isn't this nationalization. This is a dangerous step for our economy

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