Business Reaction to Sona is favourable

President Ramaphosa’s Sona is setting the country on course to become a dynamic future-orientated economy

and unambiguous about its policy direction, as well as setting the country on the course to become a dynamic future-orientated economy.

It is Busa’s considered view that the economy is the foundation stone of creating a just and equitable society. Creating a conducive investment environment by lowering the regulatory burden and ensuring policy certainty is key to increasing South Africa’s chances of reaching its investment goals.

Furthermore, a fit-for-purpose education and skills system, ensuring that South Africa is ready for the realities of the Future of Work, addressing poverty and inequality, dealing decisively with state capture and corruption, and ensuring that the state has adequate capacity are all fundamental pillars that will help support an optimal operating environment.

Although Eskom is the most pressing case among state-owned entities (SOEs), this is also the opportune moment to take decisive action on parastatals to ease pressure on state finances.

At its recently concluded Business Economic Indaba, Busa expressed a willingness to work with the government to play a constructive role in addressing the challenges faced by the country’s SOEs.

Busa emphasises that meaningful and aligned action, as well as implementation, are now needed to give tangible expression to and reinforce the national vision articulated in the Sona. It will also be crucial to hold the Cabinet to account on ineffectual delivery.

“The announcements pertaining to the signing of the Competition Act Amendment Bill, the National Health Insurance, changes to the National Prosecuting Authority Act and land policy are noted. Of significance is accelerating the release of high-speed spectrum, which will aid efforts to ready South Africa for the 4th Industrial Revolution, as well as the President’s emphasis on creating a conducive environment in which business can participate in the economy,” said Pityana.

The organisation also notes plans to develop the oceans economy and to further liberalise the visa system to attract more tourists. Busa welcomes the emphasis on collaboration and the call for business to work with other social partners – the government, labour and community.