Hon Chairperson, hon Minister, hon Deputy Minister and hon members, I rise to inform this House that the ANC supports Budget Vote No 28: Economic Development. [Applause.]
Hon Minister, the ANC gave you a child to raise named the Department of Economic Development. You did not have the luxury of time to nurse it to crawl. You had to put it on its feet and make it run; run very fast and very far. Not only must it run the length and breadth of South Africa, but it must also run in the Southern African region and on the whole continent. No one in this House dares to contest the assertion that within a very short space of time this child has been running.
The 52nd conference of the ANC in Polokwane, in 2007, recognised that South Africa must develop an economy which is connected to the world, in particular an economy which is increasingly integrated into the Southern African region and the continent as a whole.
Through the New Growth Path, the ANC seeks to create five million decent jobs by 2020, reduce income and social inequalities and eradicate poverty and hunger. However, our country has also taken on the responsibility of looking beyond its borders in order to achieve economic growth and economic development. Shared economic growth across the Southern African Development Community region and the whole continent are preconditions for sustainable development in our own country.
His Excellency the President of the Republic, President Jacob Zuma, observed at the ANC's national general council last September that there is evidence of growing and robust growth in large parts on the African continent. Many economists agree with the President's observation. They point out that African countries are among those developing economies that are making rapid economic progress, in contrast with continuing elements of economic depression in developed countries. It is estimated, for instance, that the economy of sub-Saharan Africa is likely to register a growth of between 4,5% and 5% in 2011.
There is therefore a growing conversation about the need to enhance intra- African trade in order to develop the continent's economies. There is a strong belief in our own country that greater continental trade and economic activity have to be at the centre of any plan to transform South Africa and the rest of the continent from a developing region to a developed one by 2040.
It is certainly in our interests to broaden the 49 million-people market through trade with and economic development in the SADC and on the continent. For example, broadening the market comprising the Southern African Development Community, SADC, the Common Market for Eastern and Southern Africa, Comesa, and the East African Community, EAC, with a combined population of 700 million and a combined GDP of $624 billion is the key target for sustainable development.
Most African countries are resource rich, yet they also offer great opportunities in other sectors of economic activity with tourism, agriculture, manufacturing and construction having the greatest potential.
Regional integration and co-operation offer an opportunity for the development of national markets, achieve economies of scale and enhance competitiveness for our country and the continent to participate in the global economy. These considerations inform South Africa's commitment to the Southern African Customs Union, to the establishment of the SADC Customs Union and the Tripartite Free Trade Area agreement processes in the context of the SADC, Comesa and EAC arrangement.
Therefore, our country views the strategic challenge as that of developing and strengthening "real economy", developing road, rail and telecommunications infrastructure and deepening co-operation in the African region.
It is estimated that for this entire infrastructure to exist, Africa has to spend about $90 billion per year, and the ANC government is ready to play its part and make its contribution to this African effort. I am certain that governments and people on the rest of the continent are prepared to do the same. I thank you. [Applause.]