Business Day

Blind, failed socialism

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That economic growth, with its attendant public benefits, can best be achieved through the government, with only a limited role for the capitalist private sector, is an article of faith for the socialists and communists that appear to drive the basic ideals that supposedly underpin ANC policy.

A hundred years of practical experience demonstrat­ed in the Soviet Union, Cuba, collective farming in East Africa and myriad of examples elsewhere have demonstrat­ed clearly that this is simply not so. In contradist­inction it is noticeable that China has in effect adopted rampant capitalism as the means by which it has grown its economy for the benefit of all its people.

The ANC cannot point to a single example within government that is successful. All are riddled with inefficien­cy at best, mostly hollowed out by corruption for the benefit of present and past leaders of the ANC at all levels. Yet the ANC is determined on an all-encompassi­ng National Health Insurance (NHI) scheme.

Yet another block of evidence of ANC incompeten­ce is the State Informatio­n Technology Agency (Sita). Its function is to facilitate the procuremen­t and delivery of IT processes and concomitan­t hardware for the government. Its outgoings are wages, salaries, contract payments for specialist consultant­s and hardware purchases for government projects. Its income is, or should be, payments from government department­s, which in terms of government policy should be settled on a 30-day invoice basis.

However, from current informatio­n given to parliament this is not the case. With a R2bn annual turnover how can the unit run up R1.6bn in receivable­s?

Clearly the Sita offers significan­t opportunit­ies for sticky ANC fingers, apart from the effects of incompeten­ce. It is just another SAA holding out a begging bowl to taxpayers; yet another government entity replete with cadre deployment that needs close scrutiny from the state capture enquiry.

Robert Stone

Linden

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