FINQUESTION OF THE WEEK
LERATO RATSOMA marketing manager at Empowerdex
THERE’S NO NEED to review the policy on broad-based empowerment. The codes were only Gazetted recently and call for regular review by the Minister of Trade & Industry. The codes are trying to address some of the issues Finance Minister Trevor Manuel referred to, such as fronting and window dressing, beneficiaries.” and having a wider range of
EBRAHIM FAKIR a senior researcher at Centre for Policy Studies
Should the South African Government review
black economic empowerment rules?
EMPOWERMENT is like motherhood and apple pie. People like it in a warm, fuzzy kind of way – which means eventually it’s all things to all people. Empowerment is necessary but nowhere near sufficient for real transformation and development: for that we need a strong, capable State with executive and administration capacity to intervene in the economy to direct surpluses to productive areas in the economy.
I THINK an extensive feedback process that’s also public can be started as soon as possible. But resources shouldn’t be expended as yet on reviewing the codes. It’s naïve to think that policymakers are in control of the outcomes of a process such as empowerment, which is located within a business context and then also within a market context. The State needs to first get its house in order to ensure that their procurement officers don’t
empowerment.” only focus on black ownership as the main measure of
COLIN REDDY an empowerment research director at BusinessMap PIERRE RABIE DA trade & industry spokesperson
A REVIEW of empowerment policy is extremely important and it must be a thorough investigation to see whether it’s succeeded. If you look at the shortage of skills and the number of young people leaving alarming.” the country it’s