Gauteng focus ‘can shift to economy’
As the rate of Covid-19 infections in Gauteng continues to fall, the province’s focus will now shift to its plans to help the recovery of SA’s economic hub, premier David Makhura has said.
As growth in the rate of Covid-19 infections in Gauteng continues to fall, the province’s focus will now shift to its plans for the recovery of SA’s economic hub, premier David Makhura says.
Gauteng contributes more than a third of SA’s GDP, but this year, in line with devastating national projections, its economy is expected to contract 6%.
Gauteng has been the epicentre of the Covid-19 pandemic for weeks, and while modelling initially projected that the peak would hit the province later in August or September, the number of daily infections has gone down dramatically since its high point in July.
While most of the economy had opened up at the beginning of June, which contributed to the surge in infections, some sectors have still not been able to do business, especially key industries such as alcohol and tobacco product sales.
The justification for the reintroduction of the alcohol ban — which came at great economic cost for a sector that contributes 3% to SA’s GDP and is responsible for more than 1-million jobs — was based on the need to free up hospital beds in trauma units that may be occupied by victims of drunken violence. The DA-led Western Cape government said at the weekend that alcohol sales should be allowed immediately with guidelines for outlets.
In a sitting of the Gauteng provincial legislature on Tuesday, Makhura said President Cyril Ramaphosa was expected to address the nation on the lockdown later in the week.
The province’s residents had “every reason” to continue having hope in the battle against the pandemic, Makhura said. The rate of infections is not merely stabilising, but declining, and the peak in infections has not panned out as expected.
HOSPITALS COPING
Makhura said Gauteng’s hospitals are coping and that the number of daily admissions is vastly lower than in June and July. This raises questions whether it will be necessary to increase hospital bed capacity in the province.
“When the situation improves, it means we can focus on additional measures on the economy,” Makhura said.
This means the province can focus on its growth plan, and Makhura specifically mentioned the construction sector, which has been badly affected by the lockdown. He said the residents of Gauteng must be assured that the provincial government was going back to all the projects and initiatives that were part of its economic roadmap.
Regarding other matters that were delayed as a result of the pandemic, Malesela Ledwaba, an EFF MPL, asked Makhura when he had last engaged with Ramaphosa and transport minister Fikile Mbalula on the controversial e-tolling system and what the outcomes of those engagements were.
The e-toll saga has been running for years, with a large proportion of Gauteng residents refusing to pay for the system installed on the province’s highways. It is a highly politicised matter that has cost the ANC votes during elections.
Ramaphosa had appointed an interministerial task team to look into the matter last year, but a decision was kicked down the road to 2020.
On Tuesday, Makhura said there had been no meetings over the issue during the lockdown, which has been in place since late March. Given that the Covid19 situation is stabilising, especially in Gauteng, it is now possible to raise issues such as etolling again, he said.