By Alicia Mmashakana
The Democratic Alliance (DA) has criticised the announcement of a R100 billion Transformation Fund aimed at promoting economic transformation through support for black-owned businesses and Small, Medium, and Micro Enterprises (SMMEs).
According to DA spokesperson on Trade, Industry & Competition, Toby Chance, the Trade, Industry, and Competition Minister Parks Tau’s fund bypasses necessary Cabinet discussions and approvals and undermines the Government of National Unity (GNU).
“The DA cannot support such unilateral decisions,” said Chance.
“This policy is a clear violation of the principle of good governance. It is unthinkable that the Minister would announce a policy of this magnitude without ensuring the necessary legal processes are followed. The government cannot arbitrarily impose taxes or new financial obligations on businesses without proper legislative procedures.”
DA’s criticism of the fund centers on Tau’s proposal to enforce additional obligations on the private sector via Broad-Based Black Economic Empowerment (B-BBEE) codes,
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