Latest news with #SEZs
Daily Maverick
2 days ago
- Business
- Daily Maverick
Eastern Cape needs action, not another decade of planning, says acting premier
This moment calls on us to pause and ask: has the Eastern Cape Socio-Economic Consultative Council truly lived up to its founding vision? Are we doing enough to reconfigure this strategic entity to meet the evolving socioeconomic challenges and opportunities of our time? The ECSECC was birthed in 1995, a period of deep transition and transformation in our country, following South Africa's protracted struggle for liberation and a more just and equitable society. It was born of a progressive idea: that socioeconomic development must be inclusive, co-created by government, labour, civil society, and business, and tailored to the real developmental needs of our people. It was a powerful and necessary vision for a province emerging from the scars of colonial neglect, apartheid-induced underdevelopment, and systemic marginalisation. The ECSECC was never meant to be a bureaucracy unto itself. It was meant to be the developmental conscience of the province, a think-tank and catalyst, mobilising evidence, strategy, social partners towards alignment of the integrated development agenda. Three decades on – a mixed report card Thirty years later, we must engage honestly. We have made strides, yes, but the gains made have not been without challenges. The Eastern Cape is still one of the poorest provinces in South Africa, with high levels of poverty, unemployment and inequality, particularly among youth and women. Yet we are also a province of immense potential. The Eastern Cape is emerging as South Africa's hub in automotive manufacturing, green energy infrastructure, agriculture, coastal tourism, and digital innovation. We host two of the most competitive Special Economic Zones (SEZs) in the country, Coega and East London, with an ever-expanding export footprint. Our province is fast becoming South Africa's green energy corridor, with vast solar and wind assets attracting global attention. We are home to some of the country's top agricultural regions, yet large tracts of arable communal lands remain underutilised. The Eastern Cape also produces top talent, yet we lose many of our brightest to urban migration and a lack of economic opportunities. This is a tale of two Eastern Capes. One is striving, rising and investing. The other is stuck in the cycle of structural poverty. The question before us, and indeed before ECSECC, is simple: How do we close this gap? If ECSECC is to remain relevant, it must undergo a fundamental strategic renewal, from passive research to catalytic implementation support. The ECSECC must become more than just a research institution. It must be embedded into the implementation machinery of the province, tracking delivery, aligning strategies across departments and municipalities, and ensuring policy coherence. From policy advice to strategic foresight and risk anticipation The world is changing rapidly. ECSECC must equip the province to anticipate and prepare for future shocks — be it climate disruption, geopolitical shifts, AI-driven job displacement or energy transitions. From consultation to true social compacting The founding mandate of ECSECC placed it at the heart of social partnership. But dialogue without follow-through has bred consultation fatigue. ECSECC must restore trust by ensuring that the voices of workers, the unemployed, the youth, rural women and communities directly influence planning and delivery. From provincial focus to global connectivity The ECSECC must help position the Eastern Cape not just as a South African opportunity zone, but as an African frontier for investment, innovation and sustainable development. What must the ECSECCs do now? This critical institution in our developmental quest as a province must undertake a candid audit of its impact with ruthless honesty, with clarity as to where it has made a difference and where it has fallen short of expectations. The ECSECC must be bold in renewing its leadership ethos and attract bold thinkers, implementers and connectors of ideas to opportunity. It must build technical depth in areas like climate finance, smart agriculture, digital economies, and labour market reforms. This entity must strengthen its data systems to support evidence-based decision-making at all levels of government. And most crucially, ECSECC must align every strategy to the needs of the people, not the architecture of bureaucracy. The province will match this ambition As the executive council, we are committed to supporting the ECSECC's repositioning. We want it to serve as a key arm in helping the Office of the Premier monitor impact, fast-track priority interventions and work more closely with municipalities, the private sector and academia. We are also reviewing the Provincial Growth and Development Plan (PGDP) and will require ECSECC to lead the integration of climate resilience, spatial justice, inclusive industrialisation and digital transformation in this strategy. We want an ECSECC that is lean but sharp, nimble but grounded, and visionary but rooted in the realities of our people. In closing, it is time to be bold As we engage in this dialogue, I urge all of us to speak frankly and think boldly. This is not just about ECSECC's future, it is also about the Eastern Cape's future. We dare not waste another decade on planning alone. We must do. We must deliver. We must develop.
Time of India
2 days ago
- Business
- Time of India
Tax department probes over 20 insurers over breach of expense limits
The Income Tax Department is looking into over 20 insurance companies they to see if that have breached regulatory Expense of Management (EoM) limits over the past two fiscal years, according to people familiar with the development. The move could impact five to six life insurers and as many as 15 general insurers, including standalone firms such as Niva Bupa Health Insurance and GoDigit General Insurance. Explore courses from Top Institutes in Select a Course Category Data Analytics Data Science Healthcare healthcare Finance Operations Management Product Management Cybersecurity Others Public Policy PGDM Technology Project Management Management MBA Leadership Artificial Intelligence Digital Marketing CXO others Data Science Degree Design Thinking Skills you'll gain: Data Analysis & Visualization Predictive Analytics & Machine Learning Business Intelligence & Data-Driven Decision Making Analytics Strategy & Implementation Duration: 12 Weeks Indian School of Business Applied Business Analytics Starts on Jun 13, 2024 Get Details To be clear, no notices have been sent as yet. These insurance companies under the scanner either overshot their regulatory expense limits or failed to provide sufficient explanations for cost overruns. Notices are expected to land in the coming weeks, with tax implications likely if companies are unable to justify the expenditures post change in norms by IRDAI in April 2023, sources in the know added. The income tax scrutiny follows 2022 notices by the DGGI to around 20 general insurance companies operating in SEZs, alleging unpaid dues of ₹2,000 crore. Similarly, life insurers have been facing a huge tax battle with the GST authority for allegedly issuing invoices without rendering actual services, with the adjudicating authority concluding that transactions were not actual. HDFC Life , for instance, is facing ₹5,500 crore tax notice for 2017-2022. Similarly, others including ICICI Prudential Life have also allegedly routed excessive commission payments to corporate agents under the guise of advertising expenses through marketing vendors. Following these tax notices, IRDAI, in April 2023 removed product-specific commission caps, putting an overall cap on expenses. This led to a jump in commissions paid by life insurers by 22% year-on-year in FY24 to ₹51,524 crore, while those by general insurers nearly doubled to ₹39,600 crore, according to IRDAI's annual report. About half of those companies are yet to limit their EoMs to 30% or 35% that the regulator has stipulated. The regulator has asked for a clear roadmap every quarter in terms of what is their plan to achieve the numbers within that limit of 30% or 35%. Listed Niva Bupa had reported expense of management ratio of 37.4% for FY25, which is 190 basis points above the allowable expense ratio of 35.5% considering 35% and some allowances on insure tech. The company has given a glide path in achieving EOM norm. While Go Digit has been able to reduce expense ratio to 33.4% in FY25 against 36.3% in FY24, it is still above the regulatory requirement of 30%. "Now, IRDAI obviously would be very serious about this, and this is my personal opinion, that I would expect IRDAI to take some corrective actions on EOM so that they can actually achieve the objective of lower commissions," said Kamesh Goyal, founder Go Digit Insurance, during an investor call in May. "So, we are on the path of reducing EOM, and the reduction has been decent. But the industry's trend is otherwise, especially with 1/n, and a lot of companies would actually be seeing an increase in EOM, bigger or smaller ones both."
United News of India
3 days ago
- Business
- United News of India
MP CM holds meeting with Global textile machinery leaders in Barcelona
Bhopal, July 19 (UNI) Madhya Pradesh Chief Minister Mohan Yadav chaired a high-level round-table meeting in Barcelona with representatives of leading global textile machinery companies on the third day of his visit to Spain. The meeting was organised with the objective of establishing Madhya Pradesh as a hub for textile machinery manufacturing and promoting partnerships with European technology providers. The Chief Minister highlighted the investment-friendly environment and investor-centric policies in Madhya Pradesh's textile sector. He stated that Madhya Pradesh is a leading state in India in attracting textile investments. Yadav highlighted the state's leadership in attracting textile sector investments and outlined dedicated infrastructure such as textile parks, Special Economic Zones (SEZs), and targeted incentive schemes for investors. He stressed that the state government understands investor expectations and tailor policies and facilities accordingly to attract long-term partnerships, according to official sources. 'Madhya Pradesh is also ideal for textile machinery manufacturing. The state dispensation is committed to promoting technology transfer and sustainable production in partnership with global companies,' Yadav said. During the meeting, European textile machinery companies were encouraged and invited to set up their production units in Madhya Pradesh. Discussions centred on establishing a textile machinery manufacturing hub in Madhya Pradesh, fostering partnerships between Indian and European firms, and exploring avenues for technology transfer and knowledge exchange. This initiative was centred on boosting world-class textile machinery production under the Make in India and Make in MP campaigns and establishing special textile parks and SEZs. The meeting was attended by Arthur Emmanuel, founder of the US-based textile tech startup Launch; Enrique Silla, CEO and founder of Jeanologia; representatives from J Jaminter National, a premium Italian weaving and spinning machinery manufacturer; Graziano MacTech, an Italian specialist in fibre processing and yarn production; and Jose Maria Bronco, a textile engineering expert from Italy Prominent textile companies from Madhya Pradesh, including Best Corp, Pratibha Syntex, Shreeji Polymers, and the DB Group, also participated. UNI AC AAB
IOL News
5 days ago
- Business
- IOL News
Mashatile calls for increased Chinese investment as trade deficit with China surges
Deputy President Shipokosa Paulus Mashatile delivers a keynote address at the South Africa-China Investment Forum, as part of his working visit to the People's Republic of China. Banele Ginidza Deputy President Paul Mashatile has issued a compelling invitation to Chinese corporations, advocating for increased investment in South Africa. Speaking at the South Africa-China Investment Forum in Beijing on Thursday, Mashatile highlighted a significant shift in the trade dynamics between the two nations, revealing that the trade deficit with China has escalated dramatically from less than $1 billion in the period between 1988 and 2000 to an alarming $9.71bn by 2023. Mashatile said ddressing these challenges necessitated expanding South Africa's export portfolio, encouraging value-added exports, and establishing a more balanced trade relationship. "We need to develop a more coordinated and strategic approach. We need to address challenges such as access to the Chinese market due to factors like tariff and non-tariff barriers, distance, and competition from other countries," Mashatile said. The essence of this trade imbalance, as Mashatile pointed out, stems from the current nature of the economic relationship where South Africa primarily exports raw materials and minerals while predominantly importing manufactured and capital goods from China. This disparity has raised concerns regarding the sustainability of such a model, particularly as both South Africa and China navigate increasing tariff barriers imposed by the United States. "As South Africa-China relations continue to deepen, new opportunities emerge for Chinese businesses seeking to enter the South African market, particularly in sectors such as renewable energy, green hydrogen, energy storage, infrastructure and logistics, our Special Economic Zones (SEZs), pharmaceuticals and medical devices, and the beneficiation of critical minerals, as well as in the digital economy," he said. Mashatile said South Africa sought to attract investments to increase greenfield investments, infrastructure investments, unlock funding or financial support, partnerships with SOEs, technology transfer and innovation partnerships, investments in SEZs and industrial parks, black industrialist partnerships, as well as capacity and technical assistance for SEZs. "Our SEZs offer an internationally competitive value proposition for the country with an attractive suite of incentives," Mashatile said. "They are located across the country, and each SEZ has unique offerings for investors, some of which could include tax relief, reduced corporate rate taxes and reduced costs for key inputs such as land, water and electricity." Mashatile highlighted the infrastructure investment plan as being in place to drive a range of projects in energy, water and sanitation, transport, digital infrastructure, human settlements, and agriculture and agro-processing. "The plan is supported by an Infrastructure Fund, offering investment opportunities in water development and irrigation projects across nine provinces, a road network expansion, a rehabilitation and maintenance program for construction companies, and high-demand spectrum," he said. Mashatile said South Africa's mineral exports, agricultural commodities, and manufactured items have achieved significant penetration in the Chinese market, aided by a steady flow of investment from Chinese companies since the announcement of President Cyril Ramaphosa's investment mobilisation drive. He said some of the existing partnerships included a major significant investment by the Industrial and Commercial Bank of China (ICBC), which purchased a 20% stake in the assets and earnings of Standard Bank for $5.5bn. Another major Chinese electronics manufacturer, Hi-Sense, entered the South African market in 1997. In 2013, the company established an industrial park. Mashatile cited other Chinese flagship companies such as Zhong Xing Communications (ZTE) and Huawei Technologies that were also expanding their presence in South Africa. "Over the last decade, 48 Chinese companies invested in South Africa with a capital investment of over $11.69bn," he said. BUSINESS REPORT
Business Recorder
5 days ago
- Business
- Business Recorder
Public welfare projects: PM directs third-party validation
ISLAMABAD: Prime Minister Muhammad Shehbaz Sharif on Thursday directed to ensure third-party validation for transparency in public welfare projects, especially those related to clean water, electricity, communications, and education. He emphasized the importance of maintaining high standards in completed and near-completion projects through independent validation. Chairing a review meeting regarding the development projects of the current fiscal year, the prime minister instructed that delayed projects must be completed as soon as possible. PSDP: PM wants fund allocation to high impact projects He said that the construction of high-quality educational centers like Danish Schools in Gilgit-Baltistan, Azad Jammu & Kashmir, and all provinces was a top priority of the government. The prime minister added that educational institutions were a vital part of the current fiscal year's development plans, aimed at providing international-standard education and training to children from economically disadvantaged backgrounds, ensuring equal development opportunities. He highlighted that water reservoirs were crucial for national integrity, and several projects were currently under construction to this end. He noted that the establishment of technology parks in Karachi and Islamabad will make Pakistan a significant economic hub for information technology both in the region and globally. He emphasized that the development of Special Economic Zones (SEZs) was a key component of the government's economic vision for the country. During the meeting, the prime minister was briefed on the completed development projects as well as those currently underway in the current fiscal year. The briefing informed that multiple projects across the country in sectors such as communications, IT, water reservoirs, electricity, educational institutions, and hospitals had been completed, and work on new projects was progressing rapidly. The meeting was attended by Minister for Planning and Development Dr. Ahsan Iqbal, Minister for Economic Affairs Ahad Khan Cheema, Minister for Information and Broadcasting Attaullah Tarar, and senior officials from relevant institutions.
