Where to next with the BBBEE policy and implementation that cuts across all sectors?
Representatives of political parties shared party views and suggested next steps at the Black Business Council Summit, held at the Radisson OR Tambo last Friday, the 30th June 2023. The summary below is in the order of the speeches at the Summit.
The African National Congress’ Parks Tau
- Black business is misperceived to be “inherently corrupt and incompetent.
- Implementation challenges of the policy include fronting, abuse of legislation.
- The future: Accelerate implementation by deploying fiscal tools and incentives.
- Such tools to also benefit what is termed the township economy.
- A review of the legislation and policy with a focus on the architecture of empowerment in the country.
The Democratic Alliance’s Baxolile Nodada
- 18 million people living under $2 a day.
- BEE a deeply flawed approach for the highly educated, and connected and does not trickle down redress.
- 97000 jobs lost.
- “We are failing to focus on broad-based prosperity.
- The future: Address inequalities by focusing on the Sustainable Development Goals which are globally recognized.
- Targeted programmes encouraging a “hand up instead of a handout.”
- “We can’t sit and watch a match we should be playing. “
The United Democratic Movement’s Nqabayomzi Nkwankwa
- The intention of BBBEE was to transform.
- “We keep crying at the wrong funerals.”
- How far did the Black Industrial Programme go?
- How many fully owned JSE listed companies are there?
- In the last 20 years of the 20th century, China took a decision to develop an export – led economy.
- Of the $3,4 trillion Free Trade Agreement Area that came into effect in 2019, SA not participating. Black business not accessing new markets.
- Future: Deploy limited resources properly and pair up with developmental institutions.
- Allow black people to be captains of industry.
- “We should speak up in favour of transformation because black businesses are victimized and undermined.”
The Inkatha Freedom Party’s Velenkosi Hlabisa
- 2023 marks 20 years since the passing of the Broad based economic act.
- Businesses suffered, some closed. Government is to blame.
- 97,000 jobs lost from March 2022 and March 2023.
- Grants dependents increased 35% compared to 2021.
- Government has failed to increase the growth rate and provide more equitable income.
- The future: Better coordination among Government Departments such as the Department of Trade and Industry and Small Business Development.
- Money needs to be pumped to Municipalities and ring fenced for black business only.
- Encourage the Department of Trade and Industry and the Black Business Council to access and participate in economic development.
- “After 20 years of freedom, there is no reason why black business people are not succeeding.”
The Economic Freedom Fighter’s Mbuyiseni Ndlozi
- “Losing is consistent with BBBEE, dramatic failure.”
- “BEE is a black boys clubs consistent with white boys clubs.”
- “BEE based on the logic that the oppressor can empower you.”
- The future: The state must be a developmental, socialist state. “Strengthen the state.”
- Black business can’t get involved in innovative businesses.
- “We need a bank of our own.”
- “Land is everything.”