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To grow the local economy of the Free State province, it is essential for government to team up with the private sector and also empower local small businesses, which in turn, will create the much needed jobs in the province.
The Free State Premier Ms MaQueen Letsoha-Mathae has expressed unhappiness in the manner in which business is conducted in the province, she said during the recently held post-budget business breakfast in Bloemfontein, where the businesses community from diverse sectors and government officials came together to discuss ways of growing the economy of the province, and for business to raise their concerns.
The Premier said most of government spend is on companies from outside the province, after the projects are done, the money leaves the province. She said the pratice must come to an end and that government projects must benefit local businesses. She said business has been complaining to government in the manner in which business is being awarded and that they are not getting support from the province.
“I did a little bit of research with just one department, I just looked into the department of health and I said ‘just tell me how you spend your money from 2022/23 financial year, 2023/24,’ just one component for me, which was chemical area, and I said just give me how you spend your money in that component.
What I observed is that, they spent close to R277 million, but out of that R277 million, companies from the Free State only managed to get about R15 million out R277 million. The problem is we are empowering outsiders more than the people from Free State,” said Premier MaQueen Letsoha-Mathae.
The Premier also emphasised the inclusion of women and youth in the participation of economic growth and empowerment. She urged companies doing business with government to prioritise the appointment of women. She said a 40% women representation in procurement will become the norm.
The Free State MEC for the department of Finance, Economic Development and Tourism, Mr Ketso Makume, said there needs to be equal economic opportunities for all, and mainly the previously disadvantaged while sustaining those who benefited from the previous regime. He said there needs to be a different approach in the manner which things are done in the province.
“In building an equal society, we must alter the patterns of the economy. This requires a collaborative effort between business, government and civil society. Without doubt, for us to realise a truly prosperous society, we cannot proceed in the exclusive path; wherein the black majority are excluded from economic participation.
We must pioneer a new path, one that ushers in new entrants in key economic sectors,” said MEC Makume.
