Gayton McKenzie: 'If I were President, I would scrap BEE and start an empowerment bank'
Minister of Sports, Arts and Culture Gayton McKenzie proposes bold reforms, criticizes Black millionaires for lacking community investment, and blames illegal immigration for unemployment, urging South Africans to embrace 'unpopular decisions' for collective growth.
Image: File
Patriotic Alliance (PA) leader and Minister of Sport, Arts and Culture, Gayton McKenzie, says if he were made president, he would completely scrap the Broad-Based Black Economic Empowerment (BBBEE) policy.
He was speaking at the Black Business Council Summit on Friday.
Instead, he proposes replacing it with a single empowerment bank, funded by a mandatory contribution of 1% of turnover from all white-owned businesses and previously empowered individuals.
'You can't build wealth without collateral,' McKenzie said. He believes the new bank would provide loans where 'your blackness will be your collateral. Your black skin.'
According to him, this model avoids the counterproductive practice of forced partnerships, such as the 26% equity expectations under current BEE frameworks.
'Instead of telling white people, come make me a 26% partner, I will not do that. That's not business. That's counterproductive.'
McKenzie highlighted that the new bank would enforce accountability, mentorship, and evidence of impact before extending further loans.
On the current implementation of BEE, he is critical of how it's benefited a small elite rather than addressing broad economic disparities.
'BEE has not failed. We have failed BEE, and I'm including myself in all the Black millionaires today.'
'It is the same people doing deal after deal, and that is the truth. We can't run away from it.'
He said black business leaders have become complicit, often choosing repeated partnerships over building independent ventures, even after attaining significant wealth.
'You do a deal, you're no longer poor; you are now a dollar millionaire, yet you still insist on becoming a partner in a business that a white man has built. That's a conversation we don't want to hear.'
McKenzie drew a contrast with the Jewish community, suggesting that Black millionaires should show similar communal responsibility, especially in addressing the country's staggering Black unemployment.
Video Player is loading.
Play Video
Play
Unmute
Current Time
0:00
/
Duration
-:-
Loaded :
0%
Stream Type LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text Color White Black Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Transparent Semi-Transparent Opaque
Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps
Reset
restore all settings to the default values Done
Close Modal Dialog
End of dialog window.
Advertisement
Next
Stay
Close ✕
Ad Loading
'We have so many black millionaires, but we have the highest unemployment rate. We just get more, we get more, but you're not even giving back to where you stay.'
On illegal immigration, he blames the national budget deficit and service delivery failures on unaccounted foreign nationals.
''The ANC is getting an F, but they don't deserve an F. The ANC should be getting a D. But the reason why they don't deserve, don't know why they're getting an F, because they budget for South Africans.
''Mabahambe, and you will see jobs will appear.'
'Two million of them have jobs, waiters, whatever. So when we chase them away, immediately we have two million jobs for locals.'
He says South Africa is budgeting for people not counted in the census, which causes direct economic strain.
Ultimately, McKenzie argued that real empowerment comes not from forced partnerships, but from building institutions and taking 'unpopular decisions' that directly benefit the broader Black population.
'Let us get rich, all of us, but let's take the unpopular decisions. Mabahambe.'
hope.ntanzi@iol.co.za
Get your news on the go, click here to join the IOL News WhatsApp channel
IOL Politics
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
IOL News
42 minutes ago
- IOL News
Ramaphosa reaffirms BBBEE policies as vital for South Africa's economic transformation
President Cyril Ramaphosa has once again reaffirmed the country's commitment to defending its BBBEE laws as the only way to realise economic inclusion. Image: ANC/X South Africa's Broad-based Black Economic Empowerment (BBBEE) policies are here to stay. These are the words of President Cyril Ramaphosa who has once again, re-affirmed the country's affirmative action policies as key to economic transformation and inclusion. This comes as the Democratic Alliance (DA) and other commentators have recently voiced their opposition to the country's economic policies. Ramaphosa and Minister of International Relations, Ronald Lamola during their recent address before the Black Business Council summit, affirmed the current legislative framework. On Monday, in his weekly newsletter, Ramaphosa indicated that the country's economy will not succeed without the current policies, adding that now is not the time to back-track on these policies as they are the corner stone of economic inclusion and the much-needed economic growth as enshrined in the constitution and the Freedom Charter. "Our Constitution reflects the promise we made to one another and to future generations to redress the injustices of our past and realise the full potential of our country. For this reason, we reaffirm that broad-based black economic empowerment is not just a policy choice but a constitutional imperative. "In recent months, the world has entered what many now term a 'poly-crisis' where global conflict, economic stagnation, mistrust in institutions and environmental degradation are challenging even the most resilient of nations." Ramaphosa said now is not the time to abandon the measures that have been put in place to drive transformation. "To the contrary, it is the time to move forward with greater purpose and raise our ambition. Since 1994 we have built a robust legislative framework to advance the transformation of our economy, anchored in the Broad-Based Black Economic Empowerment Act and the Employment Equity Act. The progress we have made is undeniable," he said. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading In his address to the Black Business Council summit on Thursday, Lamola encouraged black entrepreneurs to take a firm stand in the country's ailing economy. "Promoting inclusive trade and investment can help bridge both domestic and global divides, supporting the resilience of developing countries in particular. "In the context of our country, inclusive growth has a broader meaning, it must mean the inclusion of black entrepreneurs in the mainstream of our economy and into the South African business playing a role in the world. This is a constitutional imperative. Further to the above small businesses have a key role to play, exchange program and collaboration becomes key," Lamola said. Despite the DA saying the BBBEE laws have not worked, Ramaphosa indicated through legislative frameworks such as the BBBEE policies and other interventions, the country has realised and seen real changes in ownership patterns and more businesses owned by women. "We have seen changes in management control, enterprise development and skills development. According to Statistics SA, between 2006 and 2023, black African households experienced real income growth of 46%, coloured households of 29% and Indian households of 19%. "Despite this progress, the average income of white households is still nearly five times higher than that of black African households. This is the gulf we must close through deliberate and sustained efforts to expand opportunity. Transformation is not a favour. It is a necessity," he added.
TimesLIVE
an hour ago
- TimesLIVE
Reprimanded Judge Ratha Mokgoatlheng apologises for outburst
Judge Ratha Mokgoatlheng has issued a public apology after a courtroom outburst at a lawyer which some deemed racist. Mokgoatlheng was furious last week when defence advocate Charles Mnisi asked to be excused from court on Monday to accommodate his travel plans for the Comrades Marathon. 'I don't think a white advocate can have the gall to ask me that,' the judge said. Mnisi, who ran and completed the ultra-marathon on Sunday, was absent from court on Monday. Attorney Sipho Ramosepele stood in for him. Addressing the court on Monday, a remorseful judge said he regretted his remarks. 'I have never behaved the way I did' in his 26 years as a judge and 30 years as an attorney. He said the judge president and deputy judge president had spoken to him and the JP had rightfully reprimanded him. 'I agree, my conduct was questionable and incorrect.' Mokgoatlheng also shared that his wife urged him to apologise publicly, saying his actions were worse than those of lawyers accused of stealing money from Road Accident Fund clients. 'She told me I should apologise to the whole of South Africa,' he said. He mentioned his late son, an advocate who died of cancer, saying his son would have been disappointed in his conduct. 'I apologise to the accused, the lawyers, the public, the judges, magistrates, students, religious leaders — to everyone in South Africa who felt hurt or insulted by my actions,' he said. Responding to claims that he was a racist, Mokgoatlheng said he found this to be hurtful and untrue. He spoke about his upbringing in a politically active household, where leaders such as Nelson Mandela and Walter Sisulu would often visit. He also listed several respected South Africans who know him personally. 'If people say I'm a racist, maybe I'm not aware of that, but I apologise.' The judge invited the accused in court who believed they could not get a fair trial from him to say so. 'If you think I am not fit to be your judge, please tell me and I'll recuse myself.'
IOL News
an hour ago
- IOL News
Trump-Musk showdown threatens US space plans
Elon Musk says his time as a Special Government Employee comes to an end. Image: Brandon Bell / Getty Images via AFP SpaceX's rockets ferry US astronauts to the International Space Station. Its Starlink satellite constellation blankets the globe with broadband, and the company is embedded in some of the Pentagon's most sensitive projects, including tracking hypersonic missiles. So when President Donald Trump threatened on Thursday to cancel Elon Musk's federal contracts, space watchers snapped to attention. Musk, the world's richest person, shot back that he would mothball Dragon -- the capsule NASA relies on for crew flights -- before retracting the threat a few hours later. For now, experts say mutual dependence should keep a full-blown rupture at bay, but the episode exposes just how disruptive any break could be. Founded in 2002, SpaceX leapfrogged legacy contractors to become the world's dominant launch provider. Driven by Musk's ambition to make humanity multiplanetary, it is now NASA's sole means of sending astronauts to the ISS -- a symbol of post–Cold War cooperation and a testbed for deeper space missions. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading Space monopoly? The company has completed 10 regular crew rotations to the orbiting lab and is contracted for four more, under a deal worth nearly $5 billion. That's just part of a broader portfolio that includes $4 billion from NASA for developing Starship, the next-generation megarocket; nearly $6 billion from the Space Force for launch services; and a reported $1.8 billion for Starshield, a classified spy satellite network. Were Dragon grounded, the United States would again be forced to rely on Russian Soyuz rockets for ISS access -- as it did between 2011 and 2020, following the Space Shuttle's retirement and before Crew Dragon entered service. "Under the current geopolitical climate, that would not be optimal," space analyst Laura Forczyk told AFP. NASA had hoped Boeing's Starliner would provide redundancy, but persistent delays -- and a failed crewed test last year -- have kept it grounded. Even Northrop Grumman's cargo missions now rely on SpaceX's Falcon 9, the workhorse of its rocket fleet. The situation also casts a shadow over NASA's Artemis program. A lunar lander variant of Starship is slated for Artemis III and IV, the next US crewed Moon missions. If Starship were sidelined, rival Blue Origin could benefit -- but the timeline would almost certainly slip, giving China, which aims to land humans by 2030, a chance to get there first, Forczyk warned. "There are very few launch vehicles as capable as Falcon 9 -- it isn't feasible to walk away as easily as President Trump might assume," she said. NASA meanwhile appeared eager to show that it had options. "NASA is assessing the earliest potential for a Starliner flight to the International Space Station in early 2026, pending system certification and resolution of Starliner's technical issues," the agency said in a statement Friday to AFP. Still, the feud could sour Trump on space altogether, Forczyk cautioned, complicating NASA's long-term plans. SpaceX isn't entirely dependent on the US government. Starlink subscriptions and commercial launches account for a significant share of its revenue, and the company also flies private missions. The next, with partner Axiom Space, will carry astronauts from India, Poland, and Hungary, funded by their respective governments. Private power, public risk But losing US government contracts would still be a major blow. "It's such a doomsday scenario for both parties that it's hard to envision how US space efforts would fill the gap," Clayton Swope, deputy director of the Aerospace Security Project at the Center for Strategic and International Studies, told AFP. "Both sides have every reason to bridge the disagreement and get back to business." Signs of a rift emerged last weekend, when the White House abruptly withdrew its nomination of e-payments billionaire Jared Isaacman -- a close Musk ally who has twice flown to space with SpaceX -- as NASA administrator. On a recent podcast, Isaacman said he believed he was dropped because "some people had some axes to grind, and I was a good, visible target." The broader episode could also reignite debate over Washington's reliance on commercial partners, particularly when one company holds such a dominant position. Swope noted that while the US government has long favored buying services from industry, military leaders tend to prefer owning the systems they depend on. "This is just another data point that might bolster the case for why it can be risky," he said. "I think that seed has been planted in a lot of people's minds -- that it might not be worth the trust."
