Under siege from his political opponents, President Cyril Ramaphosa says he will not be distracted by “political theatre” and remains firmly focused on growing the economy and rebuilding state institutions damaged by years of state capture.
Replying to the presidency budget vote debate in the National Assembly on Wednesday, Ramaphosa highlighted the reforms his government has implemented. He said South Africa is beginning to see the benefits of years of structural economic changes.
“We are not distracted by the clamour of some political parties for attention. We are not distracted by political theatre or electoral posturing,” Ramaphosa said.
“We will not be side-tracked by narrow agendas that have nothing to do with the needs, interests and concerns of the people of South Africa.”
He hit out at what he described as pessimism and cynicism about the country’s future, arguing that South Africa is beginning to see the results of reforms undertaken over the past several years.
“Investment is growing. Infrastructure is being rebuilt. Energy supply has stabilised. Institutions that were weakened are being restored. Opportunities are being created for millions of South Africans,” he said.
“While much work remains to be done, we can say with confidence that our country is moving forward.”
Ramaphosa also briefly addressed the section 89 impeachment process before parliament saying his approach remains guided by the constitution and the rule of law.
“The institutions of our democracy must be allowed to perform their work without interference and without intimidation,” he said.
“I have every confidence in the constitutional processes of our country and will continue to respect and abide by them.”
On corruption, Ramaphosa said the government is continuing efforts to recover money lost through state capture and strengthen institutions against future abuse.
The institutions of our democracy must be allowed to perform their work without interference and without intimidation.
— Cyril Ramaphosa
He said recoveries linked to state capture investigations now exceed R17bn while the Special Investigating Unit has recovered R1.3bn in cash and assets in the past financial year alone.
“The fight against corruption is therefore not simply a governance issue. It is a development issue, a service delivery issue and a moral imperative,” he said.
He said crime, violence and gender-based violence remain urgent national priorities. The government is focusing on organised crime, gang violence and gun-related crime, he said.
Ramaphosa said the presidency is focused on growing an inclusive economy, creating jobs and ensuring that economic growth translates into opportunities for citizens.
“Economic growth is not an abstract concept. It is about whether a young person can find work. It is about whether a small business can expand. It is about whether investors have confidence to build factories, establish enterprises and create opportunities.”
The president devoted much of his speech to defending the role of the presidency as the centre of government, arguing that it is responsible for co-ordinating reforms across departments and ensuring implementation of national priorities.
He said the institution has been rebuilt since the state capture era, when centralised power was used to facilitate patronage, shield wrongdoing and weaken key state institutions.
“Co-ordinating the repair of the damage wrought by state capture from the centre of government has been, and will continue to be, a critical function of this presidency,” he said.
Ramaphosa said modern challenges such as economic growth, energy security, infrastructure investment, logistics reform and national security cannot be addressed by departments acting in isolation. It requires co-ordination from the centre of government, he added.
He pointed to several initiatives led by the presidency, including the response to the Covid-19 pandemic, the fight against gender-based violence, investment mobilisation and efforts to end load-shedding.
The president also defended the government’s investment drive, saying it has delivered measurable results.
He said R634bn of the R1.5-trillion in investment pledges secured during the first five years of the government’s investment campaign has already been invested in factories, production lines, mines, renewable energy facilities, data centres and machinery.
“This year’s South Africa investment conference recorded the highest cumulative value of pledges to date, encouraging us to set our ambitions even higher,” he said.
Ramaphosa said the energy action plan, Eskom’s generation recovery programme and investment in renewable energy has effectively ended load-shedding after years of severe economic damage.
He said Transnet is showing signs of recovery, with rail volumes increasing, vessel traffic improving and cargo volumes recording their strongest growth in 15 years.
The president further highlighted the work of Operation Vulindlela, saying reforms in electricity, telecommunications, logistics, water and the visa system are steadily improving conditions for investment and long-term growth.
He said the presidential employment stimulus has created work and livelihood opportunities for more than 2.5-million unemployed South Africans.
“While public employment programmes provide important opportunities, our ultimate objective is to create a growing economy capable of generating sustainable employment at scale,” he said.
Ramaphosa also highlighted the government’s social spending programmes, saying more than 60% of government expenditure before debt-service costs is directed towards the social wage.
He said research shows that social grants have helped beneficiaries start businesses, search for employment and invest in education.
The president said local government elections scheduled for later this year will take place alongside major reforms proposed in the revised White Paper on Local Government.
Among the changes being pursued are plans to professionalise the delivery of water and electricity services through utility-style models that would ring-fence revenue and improve accountability.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.