EditorialsPREMIUM

EDITORIAL | Cabinet is failing on growth and corruption

Like his cabinet colleagues, Parks Tau seems to have a penchant for admiring problems instead of solving them

President Cyril Ramaphosa. Picture: (Rodger Bosch/Pool via REUTERS)

President Cyril Ramaphosa’s cabinet has battled to tackle two distinct challenges: growth and corruption. Almost two years after he cobbled together the government of national unity (GNU), styled after Nelson Mandela’s 1994 GNU, the country is stuck in a low-growth rut and corruption is rampant.

Green shoots seen a year ago, such as credit ratings upgrades following the removal from the greylist and a growth uptick, have remained just that. They were arguably the result of myriad role players, such as business, not just a clear government agenda.

Critical structural reforms are snarled up, and the partnership with the private sector is losing momentum.

While Ramaphosa needs to be commended for expending his political capital in establishing the GNU and keeping it together, we’ve reached the point where we have to ask if it is for the benefit of South Africa beyond merely keeping the ANC in power.

The government agenda, authored largely by the ANC, is adrift. Key policies, such as National Health Insurance (NHI), broad-based BEE, the Transformation Fund and employment equity, are mired in costly litigation.

This week, the Constitutional Court is hearing a case around the proposed introduction of the NHI. At the heart of the matter are concerns around the affordability of the scheme as well as lack of proper consultation.

Poor consultation, including malicious compliance, is increasingly becoming the hallmark of this administration.

Introducing new populist schemes is another concern. On the eve of the 2024 general elections, Ramaphosa rushed to sign into law the NHI and Basic Education Law Amendment bills. This was despite opposition from his would-be GNU partners.

On Monday, Busisiwe Mavuso, the CEO of Business Leadership South Africa, singled out Parks Tau, the trade, industry & competition minister, as the latest cause of policy uncertainty. Among others, Tau is behind the fund’s launch and BEE amendments.

Mavuso warns that an amended dispensation could undo years’ worth of work done to advance transformation and could disincentivise original equipment manufacturers from investing further in this country. These are valid concerns.

Like his colleagues in Ramaphosa’s cabinet, Tau seems to have a penchant for admiring problems instead of solving them. Recent cases in point include the tardy response to the outbreak of foot-and-mouth disease, the collapse of ArcelorMittal South Africa, the governance meltdown at the National Student Financial Aid Scheme, the crisis in the sector education & training authorities and the questionable handling of revisions to the equity equivalent schemes for multinationals.

The response to foot-and-mouth disease is among reasons John Steenhuisen, the agriculture minister, lost his job as DA leader.

It would be pointless to call for the scalps of individual ministers.

Regardless of party affiliation, Ramaphosa’s cabinet doesn’t inspire confidence that tomorrow will be better than today for millions of South Africans. Turning South Africa’s fortunes around isn’t one man’s job. But constituting an effective cabinet ― not a chaotic henhouse ― is the president’s responsibility.

Ramaphosa owes South Africans a fit-for-purpose cabinet that can credibly deliver growth through reforms, and tackle crime and corruption.

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