Mr Chairman, allow me the opportunity to congratulate Minister Patel and Minister Davies and their deputies on their appointments. I wish them well for this coming year. Both of their portfolios are key portfolios for the future development of our country.
This particular budget must be seen in the light of the fact that our tax revenue is R10 billion below what was expected, coupled with a future 31% escalation in the price of electricity, a domestic recession, falling exports, a high current account deficit and the ratio of personal household debt to disposable income has reached alarmingly high levels.
The present prevailing conditions will force the private and the public sector to prioritise spending and to cut costs. Our present unemployment rate of 21,5% is also a further reason for concern.
Millions of South Africans are tightening their belts and thousands have been retrenched. In the first quarter, 179 000 South Africans lost their jobs and it is estimated that up to 400 000 companies cut jobs. Allow me to refer to the following sectors and the job losses in them: The wholesale and retail sector lost 66 000 jobs; the financial sector lost 43 000 jobs; the manufacturing sector lost 29 000 jobs; the construction sector lost 19 000 jobs; and the mining sector lost 18 000 jobs.
The DA says that the economic recession requires a holistic response with a realistic growth strategy, which accentuates an equal, open society where merit, and not race, gender, etc, is the norm.
'n Sleutelveranderlike rakende moontlike potensile ekonomiese groei en meer werkskepping, is om 'n openbare sektor daar te stel wat doelmatig en koste-effektief dienste lewer. Of dit wel in die praktyk gebeur, is 'n ope vraag. (Translation of Afrikaans paragraph follows.)
[A key variable regarding possible potential economic growth and greater job creation, is to bring about a public sector that delivers efficient and cost-effective services. Whether this actually happens in reality, is the question.]
The DA has already achieved service delivery where it is in power. We rooted out corruption, we stopped inappropriate appointments and we removed nonperformers irrespective of their political persuasion.
Suid-Afrikaanse nywerhede bevind hulle in 'n oorlewingstryd. Die hulppakkette wat die agb Minister van Handel en Nywerheid aangekondig het, word verwelkom. 'n Spesiale pleidooi word ook vandag gemaak vir landelike gebiede se sosio-ekonomiese ontwikkeling. 'n Derde van die Suid-Afrikaanse bevolking bevind hulle in landelike gebiede.
'n Navorser van die Ontwikkelingsbank berig in die Business Day van 24 Junie 2009 dat indien daar slegs na die voormalige tuislande gekyk word, word gevind dat slegs 35% van werkende volwassenes 'n vaste inkomste het, teenoor 45% in stedelike sentra. Daar is ook gevind dat 45% van huishoudings in die gebiede geheel en al afhanklik van sosiale toelaes is, versus 20% in die res van Suid-Afrika.
'n Pleidooi word gelewer dat die nuwe Departemente van Ekomoniese Ontwikkeling en Handel en Nywerheid dringend aandag skenk rakende die verbetering van die ekonomiese infrastruktuur. Daar moet spesifiek aandag geskenk word aan paaie, bestaande spoorlyne, die skepping van indiensopleiding en sleutelinstellings wat die agterstand in vaardighede van inwoners in die gebiede sal verminder.
Dit is ook gebiedend noodsaaklik dat grondhervorming en ekonomiese ontwikkeling in die landelike gebiede gentegreer word. Toekomstige landelike ontwikkeling is van sleutelbelang vir alle Suid-Afrikaners en die rol van landbou kan nie gering geskat word nie. Tewens, dit moet as vertrekpunt geneem word. Nywerhede wat landelike produkte verwerk sowel as toerisme en dienste, moet uitgebrei word, sodat meer inwoners van permanente werk voorsien word. (Translation of Afrikaans paragraphs follows.)
[South African industries find themselves in a fight for survival. The relief packages announced by the hon Minister of Trade and Industry are welcomed. Today we are also making a special plea for the socioeconomic development of rural areas. One third of the South African population find themselves in rural areas.
A researcher at the Development Bank reports in the Business Day of 24 June 2009 that if we were to look at the former homelands, we would find that only 35% of working adults have a fixed income, compared to 45% in urban centres. It has also been found that 45% of households in the area are totally dependent on social grants, versus 20% in the rest of South Africa.
We are making a plea that the new Departments of Economic Development and Trade and Industry urgently attend to the improvement of the economic infrastructure. Specific attention needs to be paid to roads, existing railways, the creation of in-service training and key institutions which will decrease the backlog in the skills of residents in the areas.
Also, it is of utmost importance that land reform and economic development in the rural areas are integrated. Future rural development is of key importance for all South Africans and the role of agriculture cannot be underestimated. At the same time, it must be taken as a point of departure. Industries that process rural products, as well as tourism and services, must be extended, in order for more residents to have permanent employment.]
Before I conclude, I would like to differ with the hon Prof Ben Turok. It seems to me that quite a number of the senior members of the ANC have also been converted to privatisation. It is my considered opinion that the sooner we privatise the better. I thank you. [Applause.]