/ 21 May 2004

Let’s get down to work, says Mbeki

In a state-of the-nation address remarkable for its emphasis on targets and delivery, President Thabo Mbeki on Friday signalled government’s intention to roll up its sleeves and get down to the business of building a better South Africa.

Addressing a joint sitting of Parliament’s two Houses, he committed government to raise the rate of investment in South Africa’s formal economy, and implement a detailed programme to respond to the challenges of the informal economy.

Government would engage its social partners to implement the decision of the growth and development summit that five percent of funds held by institutional investors be invested in the real economy.

”This discussion should be completed before the end of the current calendar year.

”At the beginning of September, we will announce the detailed and enhanced investment plans of the state-owned enterprises, including the financial development institutions,” Mbeki said.

Government would also continue working to reduce the cost of doing business in South Africa.

Among other things, the process of restructuring the ports to bring in new investment and lower the costs of moving imports and exports would be speeded up, and Spoornet would increase its freight capacity by 30% over the next five years, Mbeki said.

Particular attention would also be paid to the further growth of the small and medium business sector.

”In this regard we will carry out a comprehensive review of the regulatory framework that impacts on this sector, to facilitate its further growth and development.”

This would be completed by September this year, followed by any changes if needed.

Ntsika and the National Manufacturing Advisory Centres would be merged before the end of the year, to create a unified enterprise development agency that would provide non-financial support to small and medium enterprises.

This year’s budget for the unified agency would be R120-million.

Government would also work with the financial institutions to implement the provisions in the financial charter relevant to the development of small and medium enterprises, Mbecabki said.

More police officers

He said the government would ensure that by 2006 there would be 152 000 officers on active duty in the South African Police Service. He has also pledged that in the next three months government would set up special teams to target serious crime and to put ”the top 200 criminals” in the country behind bars.

”The process of recruitment and skilling of the agencies is already underway,” said Mbeki.

”We will in the current financial year establish at least two community courts in each province modelled along the Hatfield Community Court in the city of Tshwane which in the first month of its operation has already finalised 200 cases with a 100% conviction rate.

”We have a duty to improve the safety and security of all our citizens and communities,” said the president.

He pledged that in the next two months the Cabinet would finalise a victims’ charter and by the end of the year ”we will commence with the implementation of the Victim Support Services Programme so as to attend urgently to needs of the victims of crime”.

”The programme to set up specialised courts, including those dealing with commercial crimes and women and child abuse, will be intensified as will the process of transforming the entire judicial system.”

Lifeline

Mbeki said the government would be providing 53 000 people with treatment for HIV/Aids by March 2005.

”We have already started with the implementation of our comprehensive plan on HIV and Aids.”

He added that 113 health facilities would be fully operation by March next year.

Mbeki, who has faced criticism over his government’s slow progress in providing anti-retroviral drugs to those infected with HIV, said more impetus would be given to the Khomanani social mobilisation campaign ”as we intensify home-based care”.

Simultaneously regulations on the pricing of medicines were now in effect.

”We anticipate that by the end of this year the consumer will pay less for the medicines at the retail outlets.”

No delay for SNO

Mbeki pledged that there would be no ”undue delay” in the progress to establish a second national telecommunications operator.

”The final decisions on the second national telecommunications operator will be taken without undue delay to ensure more development and competition in this sector.”

He also said that his government — elected with nearly 70% of the vote in the April 14 election — would also lead the process of ensuring that administered prices ”do not unnecessarily add to the general costs of production and the inflationary pressures in our economy”.

”Our policies in this regard will be announced by October this year,” he said.

The plan to establish a second national operator — in competition with Telkom (TKG), the semi-privatised former parastatal — has failed to get off the ground in the last two years. – I-Net Bridge, Sapa