Political parties have cautiously welcomed last night’s State of the Nation Address by President Jacob Zuma, saying it touched on key areas and that his plans can go a long way in addressing decades of socio-economic problems.
Zuma’s speech focused on job creation. He declared 2011 the year of job creation, promising to reduce unemployment with a R9 billion jobs fund over the next three years. He said the private sector would get billions in tax breaks to stimulate job growth in manufacturing.
A further R10 billion will be set aside over the next five years by the Industrial Development Corporation (IDC).
Reacting to the address, the ANC said it was happy that Zuma touched on most of the key priority areas, which include fighting crime and corruption, rural development, job creation, education and health.
Secretary General Gwede Mantashe welcomed the job creation targets, the R9 billion fund and combined company tax breaks, saying they will stimulate the economy and make a huge difference in the lives of many South Africans.
Mantashe echoed Zuma’s call that all sectors of the economy, particularly the private sector, collaborate and work closely with government in making the realisation of job creation a priority area.
The United Democratic Movement said the R9 billion over three years was a step in the right direction. “We sense that there is a paradigm shift on economic policy, with a new willingness by Government to invest in the economy with a view to create jobs,” the party’s leader Bantu Holomisa said.
While job creation was the main focus of the President’s speech, he also said government would work towards improving service delivery and ridding the country of corruption.
Zuma revealed that a special anti-corruption unit has been established in the Department of Public Service and Administration to handle corruption related disciplinary cases involving public servants
On health, Zuma promised a fresh approach to the fight against HIV and Aids, adding efforts to curb the spread of the disease were still top of government’s mind, while upgrading health care facilities in the country.
Unions and political parties also welcomed Zuma’s endorsement of the African Exploration, Mining and Finance Corporation as the state-owned mining company that will undertake the mining of minerals of significance.
Zuma said the company would take advantage of US$ 2.5 trillion worth of mining assets, which could be mined over the next century.
The African Christian Democratic Party Youth Foundation (ACDPYF) said the proposed state mining company was better than nationalisation.
Zuma’s endorsement comes against the backdrop of calls by the ANC Youth League for mines to be nationalised and the wealth used to fund education and social welfare.
“We do not think the government should be involved directly in mining, but the promotion of state-owned mining companies is better than nationalisation,” ACDPYF chair Lusani Mulaudzi said in response.
Mulaudzi said the proposed state mining company would have to be run competitively in order for it to be viable.
While commending Zuma on emphasising co-operation between government, the private sector and labour in creating decent jobs, the foundation also urged government to focus on giving incentives to the private sector to provide jobs.
This would be easier for the government to manage, the ACDPYF said.
National Education Health and Allied Workers’ Union raised a number of issues. It welcomed several pronouncements on a range of issues, though with some qualification.
“We are happy with the pronouncement that government must fill all funded vacant posts,” the union said.
But Nehawu was concerned about the silence of government on the agreement to create a “special purpose vehicle” for providing housing to public service workers.
“Nonetheless, we look forward to the report of the Department of Performance Monitoring and Evaluation in six months time as undertaken.”
The address didn’t go without criticism. The UDM felt that the President missed a number of opportunities.
Leader Holomisa said Zuma did not mention that South Africa will later this year be hosting the latest round of the international climate change talks. He said Zuma could have used the his speech to set the stage for a year of environmental activism leading up to the international climate change conference
Holomisa also felt that Zuma also missed an opportunity to give former President Thabo Mbeki the credit he deserves for his role in the successful referendum for independence that was recently completed in South Sudan.
Human rights organisation, Black Sash, said the President had failed to deliver the bold and decisive leadership needed to relieve poverty, inequality and unemployment.
“He has failed to take a risk with his multiple and often contradictory constituencies and cut through government’s political inertia to offer us convincing solutions that will translate his pledges into real change.”
Black Sash had hoped that President Zuma would have recognised in his speech the extent to which poverty diminishes the dignity of our entire society and leads to social instability. – BuaNews
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State owned mines??? not a good idea!!