Floods, unrest hit hard on KZN economy
DEVELOPING efficient regional airports to support tourism, job creation, widening export markets for local goods, and investing in infrastructure to unlock further investment are among the key priorities to boost the KZN economy.
This was revealed by Economic Development, Tourism and Environmental Affairs MEC Ravi Pillay who tabled the department’s budget for the 2022/23 financial year.
He said last month's flooding, as well as the July unrest and Covid-19 pandemic, have been a major setback for the province.
'As economic reconstruction and rebuilding efforts after Covid and July's civil unrest were gathering momentum, we woke up on the morning of 12 April to the devastating news of flooding.
'Crops, livestock and infrastructure were destroyed, threatening food security across the province.
'National, provincial and regional roads, bridges, railway lines, and telecommunication infrastructure were damaged.
'As were sewer lines, water treatment plants and water pipes, drainage systems, electricity infrastructure, and commercial and residential properties.
'The economic impact is estimated at close to R20-billion,' he said.
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Pillay said key to boosting the economy and creating jobs is investing in infrastructure projects, some of which aim to support the informal sector.
‘In Nongoma's ward 17, the construction of the KwaMajomela Centre for small and informal businesses is 75% complete and is due for completion by July,' he said.
Five new informal infrastructure projects in Newcastle, Umdoni, Manguzi, Hlabisa and eThekwini (Folweni) were contracted in the financial year, and are in various stages of procurement and construction.
'All of these projects, with the exception of Manguzi and eThekwini which are to be completed in 2022/23, have thus far supported 94 construction jobs.'
In the next financial year, six informal economy infrastructure projects will get under way, including one in Mkhuze.
The MEC said construction of the uTshwayelo aquaculture and fish processing facility at Kosi Bay in uMhlabuyalingana is progressing and is set for completion by the end of May.
The R2.85-million project is a legacy project identified in the Kosi Bay Integrated Border Development plan (IBDP) formulated by the department in the 2019/20 budget year.
‘EDTEA has made a provision of R1million in 2022/23 for the operationalisation of co-operative beneficiaries.’
With these, and other ongoing efforts to revive the economy, Pillay warned against the ongoing ‘mafia style’ disruption of business operations and construction sites by some business forums.
‘If people want to engage genuinely about empowerment opportunities, our doors will be open for good faith engagement,’ said Pillay.
He said these engagements must respect all procurement processes within the framework of the law.