South Africa: Zuma Blames Monopoly For Lack Of Economic Change

South African President, Jacob Zuma

VENTURES AFRICA – The cartel-like control of the South Africa’s economy was a hindrance to the objectives of the country’s economic transformation, growth and development, President Jacob Zuma said at the weekend.

Zuma, speaking at the ANC’s annual January 8 statement on behalf of the party’s national executive committee (NEC), added that a decisive action was required to thoroughly and urgently transform the economic patterns of the present in order to realise “our vision for the future”.

He made it clear the ANC was not intending to change its current economic policies, which have widely been blamed, particularly by some leaders from the left and the ANC Youth League.

The recent ANC national conference rejected calls to nationalise mines and other key sectors of the economy. Instead, the ANC resolved to create a state mining company that will compete with the private sector.

“We have also resolved that the state must capture an equitable share of mineral resources rents through the tax system and deploy them in the interests of long-term economic growth, development and transformation. Government must implement this resolution,” said Zuma.

Zuma said the ANC national conference opted for a mixed economy, where public, private, cooperative and other forms of social ownership complement each other in an integrated way.

“Within this mixed economy, we re-affirm the active and interventionist role of the state in ensuring economic development.

“It must be a state that has the capacity to intervene in the economy to lead development,” Zuma said.