There exists a dissonance in SA between the government and the private sector, and the trust deficit between the two needed to be tackled, presidential hopeful Nkosazana Dlamini-Zuma says.
While the government was dealing with a big deficit and rising debt, the private sector was "flush with cash", she said on Tuesday in Johannesburg.
South African businesses thrived globally, yet SA was seen as dragging down the growth trajectory of the rest of the continent due to the "business as usual" approach at home.
Dlamini-Zuma, who is challenging for the ANC presidency on a radical economic transformation campaign ticket backed by President Jacob Zuma and his allies, warned that maintaining the status quo in the economy would lead to instability.
She deviated considerably from her prepared speech, which bemoaned "white monopoly capital" and its effect on the economy. Instead, she punted a consultative and conciliatory tone in the relationship between business and government.
Sectoral advisory groups should be set up with business for "consultation" and "discussion" on radical economic transformation and policy shifts after the ANC’s elective conference in December.
Dlamini-Zuma told the Gibs Forum that no patriotic South African would be comfortable with the current state of poverty, unemployment and glaring inequality. Everyone should work with the government to turn things around.
It could no longer be business as usual. This was a time when the relationship between the government and business was strained after a series of actions by President Zuma and his administration, which negatively affected business confidence.
She said the government, opposition political parties and the business sector ought to combine efforts to transform the economy.
"Policy change should not be in and for itself ... it should address the challenges that we are facing," she said. If the economy did not become more inclusive, the stability of the country was at risk.
"The ability to do business in a calm and peaceful atmosphere will be compromised.
"If you look at research on violent crime, it is not common in areas where there is general poverty, but it is common where there is opulence on one side and poverty on the other … all patriots would want to deal with that," Dlamini-Zuma said.
She cited her previous experience in government, saying in all major decisions, she had consulted with others.
"I never did anything without sitting down and explaining my objectives," she said, using the tobacco and pharmaceutical industries as examples.
Asked about potential coalitions after the 2019 elections due to a decline in ANC support, Dlamini-Zuma said she did not like "planning for loss". But all parties should first agree on what the challenges facing SA were and come up with ideas to fix them no matter from what side of the political divide.
Asked about her legacy should she become president, Dlamini-Zuma said education and skills were at the top of her list. "One key thing is education and skills.... If you skill your people, in the end, they figure out what they want to do."
She emphasised industrialisation and entrepreneurship, saying the focus of black economic empowerment should shift from ownership to growing entrepreneurs who, in turn, should be supported by the government through its procurement expenditure.
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