The economic vision of the formerly ruling Inkatha Freedom Party in the KwaZulu homeland is being played out even today in the KwaZulu-Natal province, former premier Lionel Mtshali argued on Tuesday.
He also said the institutions set up in the former non-independent homeland are still providing key financial and banking services to the poor.
Mtshali in particular praised his party’s leader, Chief Mangosuthu Buthelezi — the erstwhile KwaZulu chief minister — for founding the Ithala Bank through the KwaZulu Finance and Investment Corporation (KFC) ”under the leadership of the late Bishop Alphaeus Zulu”. The bank ”continues to provide service to that sector of the community that is excluded by major banking institutions”.
Speaking in the economic-development budget vote in the KwaZulu-Natal legislature in Pietermaritzburg, the former premier — who served in that post until the African National Congress became the predominant party in the province in the 2004 election — told fellow members that his party ”takes great pride in its development vision, which has been adopted and expanded upon by our provincial government”.
The IFP now serves as a minority party in the ANC-led government and Mtshali himself is his party’s caucus leader.
The former premier said KwaZulu-Natal owes it to the erstwhile KwaZulu government, controlled entirely by Inkatha until homelands were dismantled in 1994, for the founding of the KFC, which provides ”specialist assistance including financial packages, industrial sites and supporting management and professional services designed to successfully establish industrial undertakings”.
Mtshali said the KFC provides loan finance to emerging entrepreneurs to purchase business premises and stock — and, in some instances, to erect trading facilities.
Housing development is also part of the KFC mandate. ”Let me note with appreciation the provision of houses in Ulundi, Sundumbili, Ngwelezane and Umlazi. In addition, the KFC provided housing loans to public servants in various government departments.
”The KFC contributed to the establishment of industrial parks at Isithebe, Madadeni, Ezakheni and Pinetown.”
Turning to the present, he noted ”with concern” the withdrawal of incentives to industrialists establishing themselves permanently in Isithebe, Ezakheni and Madadeni.
Food production forms another part of the KFC mandate. Maize cultivation is promoted to reduce hunger and starvation. Among agricultural projects set up by the KFC are the Makhathini cashew-nuts project and the Ntingwe Tea Estate at Nkandla.
”The future of these projects is a matter of serious concern to those who place a premium on crop production for export and generating permanent jobs in deep rural areas. We would that the provincial department of agriculture and environmental affairs invest in these worthy, well-established development projects.” — I-Net Bridge