Among many things performed by Government, one of its key functions is to create the enabling environment for the private sector to thrive.

The spin-off of having a thriving private sector is the resulting unprecedented national economic growth, low level of unemployment and elimination of abject poverty and inequity. When these objectives are achieved the nation achieves social cohesion, better quality of life and most critically regains its national pride.

It is a common knowledge that developed nations have all achieved their unprecedented economic growth through the private sector.

Growth, poverty reduction, and improving people’s lives require a vibrant private sector. South Africa as a developing nation has recognised this as reflected in its well-publicised National Development Plan.

The world over, governments of the developing nations, recognise that there are still enormous challenges in increasing inclusive growth, reducing poverty, and improving people’s lives.

The private sector has a key role to play in addressing these challenges by inter alia job creation, enabling access to critical goods and basic services and by providing tax revenues.

My experience gained from both the public and private sector has revealed a very disturbing trend in South Africa, namely a disorganised private sector, which is out-of-sync with the national development objectives. In particular and simply stated, the private sector displays a cynical attitude, combined with an obsessive self-interest, while blaming government at all costs and bringing little to the table to move this nation forward.

On the other hand my observations reflect that the government is becoming more and more adept with its role and aligning its policies with the Continental mission of becoming an integrated, prosperous and peaceful Africa, driven by its own citizens and representing a dynamic force in global arena.

This spirit by government is reflected not only through the South African National Development Plan but also through the State President, Mr Jacob Zuma and his Executives, “walking the talk”. The initiative known as the “Presidential Business Bilateral for Inclusive Growth” that the President established, has dispelled the criticism that Government is standing aloof and not providing the leadership needed to achieve the necessary economic growth.

The fifth term of democratic government has shown the highest political and professional maturity of the executive. The Ministers appointed by the President undoubtedly have talent and competent knowledge of their portfolios, which continue to inspire the nation at large and leave the private sector gasping with awe!

The recent mid-term budget frame work statement by the Finance Minister Mr Nhlanhla Nene at his maiden Speech on the 22nd October 2014, simply proved how the performance bar has been gradually raised, term after term of the Government. Minister Nene reflected a comprehensive but in-depth understanding of the National Fiscal landscape and how the economy can be jump-started to address growth, unemployment and poverty challenges.

He was brutally honest and revealing about the challenges faced by the national fiscal and tabled austerity measures and proposals to reduce the budget deficit from the current 4.1% of the GDP to the 2.5% of GDP by March 2018. The revised economic growth forecast from the 2.9% to a low 1.4% of the GDP is a worry but transparent enough for the market to see and to gain the confidence. This is the kind of courage and leadership required to make a progressive change.

My wish for the private sector who is the benefactor of government spending, especially on infrastructure development projects, is that it should be more organized and take responsibility as the national instruments and mechanisms to realising the national developmental goals.

This begins with an understanding that it, the private sector, is the creator of jobs and key products and developer of services for the country. In this regard, Unity of Purpose is critically important and Business principles directly linked with the developmental objectives of countries must inform the business strategy and purpose of existence in South Africa and the continent.

The private sector must start seeing business framed within a prism that reflects a concerted effort to eliminate poverty, unemployment and inequity. This will realise the much needed ‘inclusive growth’ and ‘social cohesion’ dream that our leaders strongly advocate.

The government will achieve its national development goals through vibrant and dynamic private sector, which in turn will receive its functionality and effectiveness through a competent and skilled labour force. No one in this critical triple helix of State, business and labour must be inward looking for short-lived self-interest, but rather should be outward looking towards the achievement of the National Development Goals.

In this context there will be no losers, no accumulation of wealth at the expense of another, instead fair profits and fair wages will be reaped, tax revenue will be earned, and most importantly, national pride will be firmly established in SA Inc., and our competitive developmental state mandate shall be achieved.

We all have a duty to making this country and the continent of Africa an equally better place like the most developed nations of our present time, for the sake of our children and their children. If we truly love life, let us stop thinking color and categorising business as ‘established’ and ‘emerging’, because every business begins as a ‘start-up’, it ‘emerges’ and grow to the ‘established’ status through the zeal and commitment of its founders. ‘Help is for those who start by helping themselves’ according to the Sesotho idiomatic expression: ‘Moketa ho tsoswa o e tekang’

It is all in our hands, let us move South Africa and the continent forward, know and understand the NDP, comprehend how it is aligned to the African Agenda 2063 and ensure that your company Strategy is accordingly informed by these visionary plans so that your company can remain relevant to the developmental objectives of our Nation and Continent. It is indeed all in our hands; let us move South Africa and the continent forward.

Lefadi Makibinyane

Chief Executive Officer
Consulting Engineers South Africa

Disclaimer

This is not the official view of CESA but that of the CEO in his own capacity.