NATIONAL ASSEMBLY
WRITTEN REPLY
PARLIAMENTARY QUESTION NO 1169
DATE OF PUBLICATION: 15 MAY 2013
Mr M G P Lekota (Cope) to ask the Minister of Economic Development:
Whether the Government, in keeping with the National Development Plan, has
started to address structural constraints in the economy to overcome (a)
high unemployment, (b) shortcomings in public education, (c) a weak skills
base, (d) a resource-intensive economy bias and (e) spatial distribution
patterns; if not, why not; if so, in each case, (i) to what extent has
success been achieved and (ii) what are the further relevant details?
NW1410E
REPLY
Yes, government is addressing structural constraints in the economy to
address outcomes (such as high unemployment) through policy measures such
as improved public education and skills development.
On unemployment, the various measures taken to address the underlying
challenges and respond to the immediate needs include
⢠The rollout of infrastructure through the National Infrastructure Plan
⢠Focus on industrialisation through IPAP, public local procurement
policies, significant increases in the level of industrial funding
through the IDC and a better small business funding institutional
arrangement
⢠Job creation through the EPWP and Community Works Programmes.
⢠Rural development programmes intended to lift agricultural output and
the livelihoods of the rural poor.
⢠Skills programmes as noted below.
On addressing shortcomings in public education, the Minister of Basic
Education has set out the key steps taken by the Department in the Budget
Vote held on 18 April 2013, details of which are contained in the relevant
Hansard records. In addition, government entered into an Accord with social
partners and progress with the Accord has been tabled in parliament.
Details may be obtained at www.economic.gov.za .
On skills development, the Minister of Higher Education and Training has
led a refocus to vocational training, including a greater emphasis on the
role of FET Colleges, as well as greater emphasis on engineering and other
high level skills at university level. Government entered into a Skills
Accord with social partners and progress with the Accord has been tabled in
parliament. Details may be obtained at www.economic.gov.za.
On the resource-intensive economy, steps have been taken to improve local
beneficiation through greater focus on industrial opportunities. Amendments
to the relevant legislation are under consideration.
On spatial distribution, actions through the National Infrastructure Plan
are intended to change to spatial patterns of apartheid, including through
a greater focus on rural infrastructure, connecting small-scale farmers to
urban markets and addressing the gaps in social and economic
infrastructure.
The initial indications of these various interventions show progress. Jobs
have increased in the past three years, in spite of tougher global economic
conditions and new challenges in the domestic economy, particularly through
a less stable industrial relations environment in the mining sector. The
infrastructure rollout and skills plans, as well as industrialisation
efforts, have yielded positive results. The Honourable Memberâs attention
is drawn among others to the Budget Vote speeches of the Ministers of Trade
and Industry, Economic Development, Higher Education & Training,
Agriculture Forestry and Fisheries as well as Mineral Resources. More
will, however, need to be done in all the areas referred to in order to
achieve our national goals.