Madam Deputy Speaker, while the concept of a developmental state is used to explain the exceptional growth performances in East Asian countries, the success of a democratic developmental state will depend on the capacity of that state to manage the complex and very delicate balance between growth and social development. Balancing requires trade-offs, with democracy and equity on the one side and economic growth policies and strategies within a demanding competitive global on the other. Capacity and capability are of course conditions for success and these factors present enormous challenges in South Africa.
When we look at the continent of Africa we see a kaleidoscope of rich cultures and historical traditions, but we also see a gap between the poor and the rich that continues to widen. And, in South Africa we are still plagued by inequalities, which are the cause of much tension.
Neither economic growth nor poverty alleviation programmes alone will be sufficient to eradicate poverty. There is no substitute for creating more productive employment and supply and demand for labour must change. While education and skills development are key it will take two to three decades for these sorts of interventions to begin to impact on the situation, so long-term and short-term solutions must go hand in hand.
Some economists do not see South Africa as a developmental state but as a redistributive state, focused on the transformation of the economy and society.
Observers, both inside and outside the government, struggle to make sense of South Africa's role and identity in Africa. Some argue against a hegemonic role for South Africa; others say we have hegemonic power whether we like it or not, largely due to the fact that South Africa is less vulnerable than other African states and presently more politically stable. Dr Adam Habib of the Centre for the Study of Civil Society who supports South Africa in the role of a hegemony, says simply being a pivotal state means that South Africa will be rejecting a role of leadership which is neither in our, nor the region's best interest.
If being a hegemonic power means being in the forefront of addressing issues of poverty, unemployment, marginalisation and inequality, how bad can that be? Because of South Africa's precarious First World and Third World qualities, perhaps the argument that South Africa could best be described as a potential hegemony makes most sense.
The ACDP would like to see South Africa's position, whether hegemonic or not, being sensible and realistic with a view to producing results rather than posturing for position or being overly concerned with our image. South Africa has a responsibility to do its utmost to actively and positively impact the lives of not only the citizens of the SADC region but this continent as a whole. Thank you, Madam Deputy Speaker.