JOHANNESBURG–The South African government intends to source 30 per cent of its business needs for goods and services from small, medium and micro enterprises (SMMEs).
The commitment was made at the 8th annual Global Business Roundtable World Congress and Exhibition which began in Sandton, Johannesburg, on Tuesday. Delegates from various parts of the African continent have gathered here to look at ways to enhance the development of SMMEs and help grow the economy.
The SMME sector is expected to create about 11 million jobs by 2030 in South Africa. The contribution of
SMMEs to the country’s gross domestic product (GDP) was 45 per cent in 2016 while South Africa is ranked number 47 out of 138 countries in the world when it comes to SMME development.
One entrepreneur at the exhibition, Ashantewaa Ngidi, on Tuesday raised concerns about the incubator programmes that have been developed to enhance SMME development in South Africa. She said SMMEs did not want hand-outs from the government but access to markets and opportunities.
Other delegates stressed that monitoring and evaluation should be prioritised to ensure that the targets set are met.
However, it remains to be seen whether a central procurement process administered by South Africa’s National Treasury will help deal with issues of tender irregularities and corruption in the issuing of tenders.
Source: NAM NEWS NETWORK