Makhura wants bold steps for Gauteng
Gauteng premier David Makhura says his administration is focusing on large-scale infrastructure projects and small business development to reignite the provincial economy, which was damaged by the coronavirus lockdown.
Gauteng premier David Makhura has said his administration is focusing on large-scale infrastructure projects and small business development to reignite the provincial economy, which was damaged by the coronavirus lockdown. The province which contributes about R1.5-trillion, or 35%, to GDP is the epicentre of the pandemic in SA, with more than 219,700 confirmed cases and more than 4,240 deaths.
During a media briefing by the provincial coronavirus command council in Johannesburg on Thursday, Makhura said that of the 2.2-million jobs lost during the second quarter of 2020, 661,000 were in Gauteng.
He said that according to the modelling the province used, between 700,000 and 1.5-million jobs are expected to be lost during the lockdown. This is as companies continue to struggle and others close completely.
Makhura said the move to level 1 of the government s riskadjusted strategy to curb the spread of Covid-19 should be underpinned by getting every sector of the economy going
JOBS LOST
Sectors such as hospitality and tourism, construction, sports, and arts, culture and the other creative industries need to resume full operations to ramp up economic activity as they employ a substantial number of people in the province, he said.
There are now 4.5-million people employed in the provincial economy.
The pandemic has really been bad because 661,000 jobs were lost in one quarter. We are working extremely hard with all municipalities [in Gauteng].
We are meeting every Tuesday ... to look at how to revitalise the economy. At the heart of that is [the question of] what we can do to give small businesses in the province, including township businesses, an opportunity,” said Makhura.
He said the province is working with national government to make sure that planned infrastructure projects, such as roads, bridges and dams, happen. The government has already committed R100bn over the next 10 years towards the infrastructure fund.
Makhura said the province is going to need big economic interventions, such as setting up special economic nodes or zones, to mitigate the effect of Covid-19 on the economy.
We are in level 1 to reignite and revitalise our economy, but we can t go back to the same economy where black people are left out, where townships are left out, where women-owned businesses are barely surviving,” he said.
The key intervention is going to be in the economy. We can t afford a surge in Covid-19 infections. Let s focus on keeping infections lower and lower. A surge will slow down interventions in the economy.” The premier said he is confident the effect of Covid-19 on the economy will be mitigated by the end of the financial year in March 2021 ”.
CORRUPTION
He warned, however, that such attempts would be futile if the government does not deal with corruption decisively. He said the Special Investigating Unit (SIU) briefs him weekly on its corruption investigation relating to the procurement of personal protective equipment ( PPE) in the province.
Makhura extended health MEC Dr Bandile Masuku s leave of absence in September pending the finalisation of an investigation.
Masuku and his wife, Loyiso, a member of the mayoral committee in the City of Johannesburg, are accused of influencing decisions in the awarding of contracts for PPE.
Makhura said he is awaiting another report from the SIU before the end of the week.
We will make sure that the recommendations of the SIU are acted on ... We will act firmly on every finding that comes from the SIU. We want to send out the message that corruption doesn t pay.”