Mashatile pledges to protect R100 billion transformation fund from corruption
The fund, proposed by Minister of Trade and Industry Parks Tau earlier this year, aims to create a R100 billion pool to support businesses owned by black entrepreneurs and drive inclusive growth across South Africa's economy, with R20 billion set to be allocated annually over the next five years.
Deputy President Paul Mashatile has vowed that the government will put stringent measures in place to ensure that the proposed R100 billion transformation fund does not end up in the wrong hands.
The proposed fund has faced criticism from several political parties, including the Democratic Alliance and Freedom Front Plus, who argue that it is merely a rebranding of unsuccessful programmes from the past.
Tau has maintained that participation in the fund would be voluntary and emphasised that the government would not interfere with companies already succeeding with their own Enterprise and Supplier Development efforts.
During a business breakfast in Pretoria on Monday, Mashatile stated that the government is dedicated to fostering a more inclusive economy, highlighting that corruption in both the public and private sectors continues to be a significant barrier.
'We will not achieve an inclusive economy as long as corruption persists, both in the public and private sectors. Corruption hinders the growth of Small and Medium-sized Enterprises (SMEs) by increasing costs, reducing profits, and creating uncertainty," Mashatile said, according to EWN.
He further stressed that to promote an inclusive economy, it was crucial to address corruption by strengthening institutions and fostering transparency and accountability.
'To promote an inclusive economy, we must commit to addressing corruption by strengthening our institutions, fostering transparency and accountability, and promoting citizen engagement. This includes developing and implementing robust anti-corruption frameworks, strengthening our criminal justice system, and encouraging public participation and oversight,' he said.
mthobisi.nozulela@iol.co.za
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