THE IDC AND JOB CREATION
I have just read your article in the 19 September 2013 ( IDC key to job creation). I would like to just make a comment that the R842 000 per job is not a cost per se, the money is a loan which IDC [Industrial Development Corporation] earns interest on. It will only really be cost if the IDC is reckless and they need to write off most of the money. This is unlike the DBSA-administered Jobs Fund, which is a grant.
Incidentally, we are an SMME finance business to which the IDC lent R29m and we have created about 1 000 jobs through on-lending in the past three years and we report these figures to the IDC quarterly.