Riyaz Patel
The national executive committee (NEC) of the African National Congress (ANC) has said it’s time to implement a range of economic interventions to spur the economy and create jobs.
The NEC, which convened from 27-30 September, said most of the recovery strategies are already set out in various policy documents, including the National Development Plan (NDP), Government’s 2018 Stimulus and Recovery Plan and the ANC’s 2019 Manifesto.
ANC secretary general Ace Magashule said the NEC reached agreement on how macroeconomic policy could support job creation, a reimagined industrial strategy while reaffirming the importance of investment in infrastructure.
President Cyril Ramaphosa last week announced the 18-member Presidential Economic Advisory Council mandated to ensure greater coherence and consistency in the implementation of South Africa’s economic policy.
Also on Inside Politics: Ramaphosa Names Presidential Economic Advisory Council
The ANC NEC also noted the contested economic recovery plan drafted by the National Treasury, and hurriedly made public by Finance Minister Tito Mboweni in August, drawing the ire of alliance partners SACP and Cosatu.
It said the document was discussed at the meeting, but there was no clear indication whether Treasury’s economic blueprint was endorsed or rejected.
The NEC did reaffirm, though, that macro-economic policy must support the country’s overall development strategy and contribute towards higher growth and employment.
On stimulating demand for goods and services, the NEC agreed that the package should include, amongst others:
– deeper localisation policies through strong public procurement
measures
– new partnerships with the retail industry to promote the
Proudly SA campaign;
– exploring new markets through trade policies that expand
opportunities for exports to regional, continental and global
markets
– measures to support domestic industries, especially SMEs and
cooperatives.
It particularly emphasized the role of SMMEs in economic strategy, job creation and inclusion.
The NEC, the highest organ of the ANC between National Conferences, adopted a further package of measures to support SMMEs, in the areas of “access to information and SMME policy coordination; enterprise development and support; SMME funding; products and markets support; and an appropriate regulatory framework for SMMEs.”
Magashule said the growth-enhancing reforms will include prioritising growth in labour intensive sectors, such as agriculture and increasing competition and lowering costs and barriers to entry for small business.
The ANC’s economic recovery plan also includes modernising network industries such as energy, transport and telecommunications.
“The ANC emerges from this NEC meeting with a clear determination to act decisively and resolutely,” a post NEC statement said, adding that ” the ANC will meet its Alliance partners in the Political Council and also engage other social partners to build an overarching social compact for the implementation of an economy recovery and transformation plan.”
