Address by President Cyril Ramaphosa at the Annual General Meeting of Business Unity South Africa (BUSA)

Wednesday, 28 August 2024

Business Unity South Africa President, Mr Mxolisi Mgojo,
BUSA Chief Executive Officer, Mr Cas Coovadia,
Members of the BUSA Board,
Business leaders and members of BUSA,
Distinguished guests,
Ladies and gentlemen,

Good afternoon.

Thank you for this opportunity to address the BUSA AGM.

Deepening the partnership between government and business is essential to the growth of our economy and the progress of our country.

This is the first BUSA AGM since the elections in May and the formation of a Government of National Unity.

By its very nature, a Government of National Unity brings together viewpoints and ideological and political positions that may at times be at variance with each other.

However, as the parties to the Government of National Unity, we have been able to achieve broad consensus on the most pressing issues facing our country.

We are clear that our most critical task now is to build an inclusive economy that generates sustainable growth, creates jobs and eradicates poverty.

We are equally clear that this effort requires collaboration with all social partners.

This is an undertaking that calls for the involvement of all South Africans.
A fine example of such collaboration is the partnership between government and business that we launched just over a year ago.

We have made significant progress in tackling the challenges we identified in energy, logistics, and crime and corruption.

South Africa has now gone for five consecutive months without loadshedding.

On Monday, Eskom released encouraging data about the progress of its Generation Operational Recovery Plan and about new generation capacity brought online.

It also reported on improved financial and operational performance.

The role of business in this work has been extremely valuable.

Business has deployed substantial resources, capacity and expertise to Eskom and government to support the implementation of the Energy Action Plan.

With the assistance of business and other partners, we have improved the performance of the Eskom fleet.

We have gotten more capacity onto the grid. And we have increased the contribution of renewable energy sources.

We have driven far-reaching structural reforms to further support this effort.

This includes lifting the restrictions on private power projects and the introduction of the Renewable Energy Tax Credit.

We have made gains in the other focal areas of the partnership.

We have worked together through the National Logistics Crisis Committee to deal with inefficiencies in the transport and logistics sectors.

Business has provided technical support and resources to Transnet Freight Rail and Transnet Port Terminals.

We are working with Transnet to implement the critical actions contained in the Freight Logistics Roadmap.

We have agreed that there is much more that can be done - and needs to be done - to urgently increase the volume of goods carried on rail lines and through our ports.

Business has lent its support to the fight against crime and corruption.

This includes working with the National Treasury to remove South Africa from the Financial Action Task Force grey list.

Business has also provided expertise to the National Prosecuting Authority and the Investigating Directorate to manage complex corruption investigations.

With our far-reaching reforms gaining momentum, the second phase of our partnership with business requires a firm focus on employment creation.

This is where we need to strengthen the partnership.

Business continues to support programmes like the Youth Employment Service and the SA Youth National Pathway Management Network.

These initiatives connect young unemployed South Africans with opportunities for work experience, jobs and skills.

But there is much more we need to do.

We must accelerate the work to overhaul the visa regime to attract critical skills, investment and tourism.

We need to make use of the opportunities we have identified in tourism, business process outsourcing and the digital economy.

We agree on the urgency of equipping the workforce with digital skills to take advantage of the new world of work.

We agree on the need to use private sector capital to fund the growth of small businesses, particularly in under-serviced areas like townships and rural areas.

The progress that we have made shows the value of partnership.

It also underlines the essential role that BUSA continues to play in building our economy and society.

As the Government of National Unity, we seek to deepen this partnership so that we can together build a conducive environment for investment, growth and job creation.

As we outlined in the Opening of Parliament Address, the apex priority of this administration is to drive inclusive growth.

This is essential if we are to create employment.

We are therefore focused on sectors with high potential for growth and employment, such as technology, manufacturing, agriculture and renewable energy.

We are committed to ensuring that economic growth benefits all South Africans, especially the marginalised and underserved communities.

This means supporting SMMEs and ensuring equitable access to opportunities.

Growing our exports is a priority.

We are committed to working with business and other social partners to improve the global competitiveness of local industries.

We are working to streamline export processes. To address tariff and non-tariff barriers. And to provide financial and technical assistance to exporters.

Our economic growth and developmental priorities must be sustainable.

The transition to a low-carbon economy is a necessity.

It is also an opportunity to create new industries and jobs while preserving our resources for future generations.

We will continue to count on the support of business for the just energy transition.

This just transition requires a massive investment in renewable energy, green technologies and the circular economy.

Investment in economic and social infrastructure is also key to growth and job creation.

This administration will continue to call on private sector expertise and investment in areas such as transportation, energy, housing, water and sanitation.

We are revising the framework for public-private partnerships, as these are vital for bridging gaps in public resources and delivering services efficiently.

We will continue on the path of structural and regulatory reform to improve the business operating environment.

We are committed to a stable policy environment that stimulates investment.

A skilled workforce is the backbone of a thriving economy.

As government we will continue to invest in education and vocational training to equip young people with the skills needed in a rapidly changing economy.

We once again call on business to scale up its support for this effort by providing more training, learnerships, internships, work placements and on the job training.

As government, we remain committed to working with BUSA to drive economic growth that improves the quality of life of all South Africans.

The success of our partnership depends on active and continuous engagement.

We must accept that there will, from time to time, be areas on which we may disagree.

We should not let this deter us from the work we need to do.

Rather we should remain engaged in dialogue with a view to finding solutions that serve the interests of the country.

Clear communication is crucial for building trust and ensuring that policies are informed by the realities on the ground.

We must continue to work together. We must leverage our collective resources, expertise and passion for our country's future.

Let us seize this moment to build a more inclusive, prosperous South Africa.

Let us build a South Africa where every citizen has the opportunity to contribute to and benefit from our economic progress.

We look forward to the continued partnership with Business Unity South Africa as we embark on this shared journey towards inclusive growth and job creation.

Together, we can turn our vision into a reality.

I thank you.