Civil society organisations have blasted “political grandstanding” after the release of the State of the Nation (Sona) commitment document.
The document provides an update on promises made by President Cyril Ramaphosa during his Sona earlier this year.
The document states: “Over the coming year, significant investment in infrastructure projects will boost economic growth. Through cutting red tape and supporting small businesses, we will drive job creation and enable entrepreneurs to thrive.”
Some of the other commitments that have been concluded by October according to the document, include the creation of 50 000 new work opportunities through the Social Employment Fund and the creation of 50 000 opportunities for unemployed youth through a revitalised National Youth Service.
Pay the Grants movement activist Daddy Mabe described the document as mere promises, saying projections were nothing but political grandstanding until tangible job creation initiatives were put into place.
“The 2012 ANC NDP document projected that unemployment would be at 14% by 2020 and 6% by 2030 but we are currently sitting at 44%.
“We have to look at aspects of the China model that works. Investing in infrastructure must be secondary to the investment in factories because that is the root of job creation,” Mabe said.
Isobel Frye, director of the Social Policy Initiative, said while the document was a commendable attempt to evaluate progress against commitment, government needed to change its macro economic policy from focusing on debt and inflation to growth and jobs.
“There needs to be a mass public employment generated initiative. At the moment there is a strange assumption with the government assuming the private sector will create jobs and the private sector expecting government to create jobs … and neither are creating jobs,” said Frye.
She said the medium-term budget speech had highlighted the government’s macroeconomic policy of servicing the country’s debt but this was preventing growth from happening.
“This is a sterile formula and the whole of the government needs to shift its focus if they want to target job creation.”
