Cape town: Minister in the Presidency, Khumbudzo Ntshavheni, has welcomed the interventions announced in the State of the Nation Address (SONA) to deal with critical challenges facing South Africans, including economic growth, job creation, water security, and support for small businesses.
According to South African Government News Agency, Ntshavheni emphasized the government’s renewed focus on expanding the economy and supporting small businesses as central to creating employment opportunities. She expressed approval of firm interventions aimed at growing the economy and creating jobs, with a particular emphasis on supporting small businesses, which play a crucial role in job creation.
The SONA, delivered by President Cyril Ramaphosa at the Cape Town City Hall, outlined that more than R2.5 billion in funding will be allocated this year to over 180,000 small and medium enterprises (SMEs). Additionally, a further R1 billion in guarantees will be introduced to improve access to finance. The government aims to
prioritize women-and youth-led businesses to promote economic empowerment and plans to amend regulations under the National Credit Act to facilitate easier access to credit for businesses at a lower cost.
President Ramaphosa highlighted the necessity of transforming the economy to drive sustained growth, reduce inequality, and correct historical injustices. A review of the Broad-Based Black Economic Empowerment (BBBEE) framework is underway to refine, realign, and strengthen it, ensuring it supports greater transformation and inclusive growth.
Ntshavheni also acknowledged progress in the logistics sector, underscoring the country’s readiness to export. She pointed to the government’s clear industrial policy direction, which includes expanding local manufacturing, supporting mining exploration, and positioning the mining sector as a contributor to the green economy.
On water security, Ntshavheni welcomed the establishment of a National Water Crisis Committee, which President Ramaphosa will personally chair.
This committee aims to consolidate existing efforts into a single coordinating body, deploying technical experts and resources from national government to municipalities facing water challenges.
To address revenue shortfalls affecting water infrastructure, a new R54 billion incentive program was announced to support reforms in water, sanitation, and electricity services. This initiative is intended to ensure that revenues from water usage are reinvested directly into maintaining and upgrading critical infrastructure, including pipes, reservoirs, and pumping stations.
Ntshavheni further welcomed interventions targeting the fight against crime, particularly organized crime, and efforts to strengthen the criminal justice system. These measures are expected to enhance the system’s effectiveness and contribute to a safer and more secure country.