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SOPA 2023: Lesufi sets out plans for Gauteng’s economic growth, says “townships are a new gold”

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CHARLES MOLELE

GAUTENG Premier Panyaza Lesufi has announced a raft of initiatives aimed at accelerating economic recovery and reconstruction in the province, saying that the opportunity for economic growth lies mainly in turning around the township economy.

The premier says that as the country emerges from the COVID-19 pandemic, the informal township economy will play a key role in tackling the unemployment crisis in Gauteng.

Lesufi was delivering the State of the Province Address at the Johannesburg City Hall, in the Central Business District (CBD).

“We are of the strong view that our townships are our new gold. With new malls and
filling stations rapidly going up in our townships, we must ensure these investments
benefit our people,” said Lesufi.

“This house unanimously adopted the Township Economic Development Act, a blueprint on how we will support township businesses and fund them. We want this act, the Township Economic Development Act to migrate from paper to practice.”

He said as of 1 April, Gauteng will use 60% of the R34 billion goods and services budget to
support township initiatives. Lesufi added that his administration will also establish a digital database (Township Business Register) of all businesses in the townships.

“We have now finalised a financing model to allow township businesses to have their own bulk buying mechanism through the establishment of township-based warehouses and distribution centres, such as the ones we already launched in Katlehong and Mamelodi,” said Lesufi.

“We have also adopted a prototype for these retail shops (loosely known as Spaza shops) so that we can differentiate them from shops owned by foreign nationals. We are now firmly reclaiming our shops in the townships.”

Lesufi said through the Gauteng Broadband Network, the province will also provide reliable internet in the townships and make free WiFi available in strategic areas in various townships.

“We are bringing free WiFi in our communities,” he told MPLs.

Lesufi said his administration will also heavily invest in the taxi industry because it plays an important role in townships.

“We have put together a taxi fund to the tune R20 million as a seed capital for the taxi
association to raise money in the market,” he said.

“Taxi ranks will be our future shopping stations. We will be launching taxi ranks of the
future, a one stop shop, for taxi parts and tyres, banks, restaurants, and many other
related businesses such as filling stations. A new model of taxi rank of the future will
be unveiled. We are excited about this project.”

The premier also announced that all major sporting and government gatherings will now be held in townships in an attempt to support the township economy.

“We are proud, after 11 years, this year’s Gauteng Sports Awards were held in the township of Soshanguve, and they were a major success. This initiative boosted lots of township business. We are now walking our talk,” he said.

Lesufi said Gauteng is in the process of upgrading 179 informal settlements at a budget of R3.1 billion.

He further said that Gauteng has budgeted at least R6 billion to build new schools in high pressured communities in a desperate bid to deal with the issues of overcrowded schools and unplaced learners in the province.

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