President Cyril Ramaphosa is in luck concerning his Government of National Unity. After the president delivered his State of the Nation Address during Parliament’s State Opening many South Africans have high expectations that the Government of National Unity can steer the nation into progress and address past shortcomings. Here are some of the goals the president has to acknowledge in his speech:
Crime and corruption
The President praised the Asset Forfeiture Unit’s progress in retrieving monies tied to state capture, indicating a continuous fight against corruption. “This State of the Nation Address is about seeing hope where there is despair. It is about showing a way out of these crises,” expressed Ramaphosa.
NHI Bill
“We plan to incrementally implement the NHI, dealing with issues like health system financing, the health workforce, medical products, vaccines and technologies, and health information systems,” said Ramaphosa. “The National Health Insurance (NHI) will provide free health care at the point of care for all South Africans, whether in public or private health facilities,” added Ramaphosa.
Unemployment and Poverty
South Africa’s unemployment rate rose to 32.9% in the first quarter of 2024, the highest level in a year, from 32.1% in the previous period. Addressing the continuing issue of unemployment, particularly among the young, President Ramaphosa discussed prospective investments for job creation.
There are still lessons to be drawn from state capture during the era of former president Jacob Zuma. Millions in monies were extracted from the treasury and being transparent and accountable took a back seat. There is a need to alter the perception of the culture and thinking that public funding (taxes) is there for the personal use of political figures and their associates. It is good that President Ramaphosa has made attempts to rectify the damage.
The National Health Insurance (NHI) Bill is another quagmire that the state should review. Although its purpose was to introduce affordable health care to the wider public the NHI Bill could lead to the creation of another poorly monitored slush fund that could become depleted if the powers that be decide otherwise. Doctors and civil society are concerned that the all encompassing NHI could undo decades of medical research in the private sector rendering it redundant.
The president’s focus on job creation is good, but since the end of the Covid Pandemic and the hike in inflation as regards to food and oil prices due to the Ukraine war this is proving to be a herculean task. Ramaphosa could turn things around by offering subsidies on food. He could also encourage the younger generation to become self-employed and efficient by having them trained as manufacturers and traders.
Exactly 50 days ago, the people of South Africa went to the polls to decide the future of our country. Ahead of the elections they had expressed their concerns and their hopes, their wishes and their expectations. Through their votes, they determine that the leaders of our country should set aside their political differences and come together as one to overcome the severe challenges that confront our nation. They sent a clear message that without unity, cooperation and partnership, our efforts to end poverty, unemployment and inequality will not succeed. Guided by this directive from the people, political parties from across the political spectrum have elected to establish a Government of National Unity. In an act that is unprecedented in our democratic history, ten political parties represented here in our parliament have agreed to craft a common programme to build a better, more equal and more just South Africa.
Democracy is meant to place the power of choosing our leaders and representatives in the hands of we, the people. The formation of the Government of National Unity (GNU) is meant to reflect the democratic will of the people. The current parliament which Ramaphosa is addressing is a hung parliament. This means no party was able to have an outright majority. This means the once ruling African National Congress (ANC) had to form a government with the lesser, opposition parties. This has led to a composition of different views and agendas into a single government programme. The reason for the formation of the GNU is to reflect the resentment felt by ordinary South Africans feel towards the status quo. They have called for change. The formation of the GNU will not be simple as it had to address not only the concerns of the coalition partners in the executive branch but possibly their egos.
As the Government of National Unity, we are resolved to intensify our investment drive, encouraging and enabling businesses to invest in productive capacity. These investments will lead to increased employment creation for unemployed South Africans especially for young people. We will drive growth in labour-intensive sectors such as services, agriculture, green manufacturing and tourism. To create more jobs for South Africans, we will focus on processing our minerals so that we export finished products rather than raw commodities. We will pursue a smart industrial policy that focuses on the competitiveness of our economy, and that incentivises businesses to expand our exports and create jobs. We will continue to work with stakeholders to develop and implement Master Plans to grow important industries, increase investment, create jobs and foster transformation.
South Africa is still the path to doing business in southern Africa. The GNU needs to come up with a plan to encourage businesses through incentives. Ramaphosa having spent some time in the private sector and the arena of business has the ear of that community. As president he needs to rein in the other GNU members on trade and show that he has a plan. This is the time to be decisive. Ramaphosa has a tough road ahead when it comes to growing the labour-intensive sectors. These industries bring about their own set of challenges and require an intense focus on training and being prepared. Solar and wind which are as vital as ever in the face of climate change and need firm support. When Ramaphosa speaks about a smart industrial policy he refers to the development of artificial Intelligence and robotics.
The stakeholders Ramaphosa are referring too are the business magnates in the mining and manufacturing sectors. It is said that it is more important to teach a man how to fish than to give him a fish. Ramaphosa has to listen to all sides of the GNU then reign them in with a final decision.
Article written by:
Yacoob Cassim
Journalist at Radio Al Ansaar
