​On Thursday MEC for Gauteng Department of Social Development Morakane Mosupyoe engaged with local business people and communities to report back on the passing of the township economic bill during Ntirhisano Programme at Ramosa Hall, Mohlakeng in the West Rand.
During her report MEC Mosupyoe said, “On 24 March 2022 the Gauteng Legislature passed the Township Economic Bill to rebuild the economic geography of the country’s townships and disadvantaged communities. This Bill is a victory because it will ensure the economic development of our townships. In due time, through this Bill, our residents will no longer have to travel long distances to economic hubs within the province for work, but they will work where they live our townships will also develop in leaps and bounds”, she said.

The Township Economic Development Act was passed with the intention to pave the way for province-wide implementation of game-changing interventions aimed at directly benefiting township enterprises. The Township Economic Development Act is a game-changer that should be supported since it facilitates a multi-dimensional way for the Gauteng provincial government (GPG) to change how townships are regulated and governed so that they become areas of employment-creating commercial activity. It is a progressive Act to set up better procurement rules that allow government and contractors to buy from large groups of township-based firms.

MEC Mosupyoe further indicated that this Act will deploy a dedicated financing mechanism to establish a Small and Medium Enterprises Fund to provide wholesale and blended finance to intermediaries that can de-risk lending to township-based firms and companies. The act will also link township investment facilitation to value-chain transformation and SMME empowerment through active enterprise development and supplier development. It also includes incentivising the installation of broadband in township enterprise zones and empowering township-based Internet service providers, whilst in the process unleashing the Global Business Services sector thereby contributing to much-needed job opportunities, especially for the youth. This Act introduces funding designed specifically for township-based enterprises.

“In essence ladies and gentlemen this Act was designed and passed to focus on development and enable transformation within our townships. It ought to be celebrated and bring excitement to our communities because it means we are making progress in our agenda to reverse the ills of the past, when townships were developed by the apartheid regime, they were never intended to be areas of economic activity”, she added.

Some local business people raised concerns saying they want all the local businesses to be treated equally in terms of funding and awarding of tenders.

“I can assure you that we will treat all equally without discrimination. If you witness our officials discriminating others or getting involved in corruption, please report them to us and the authorities. We want to afford you equal access to economic opportunities”, she concluded.