The Small Business Institute (SBI) has expressed hope that the reform agenda, which began in the 6th government administration would continue with fresh impetus under the Government of National Unity (GNU).
This comes as President Cyril Ramaphosa retained Stella Ndabeni as small business development minister and appointed Jane Sithole as her deputy, when he announced his new Cabinet for the 7th administration on Sunday night.
SBI CEO John Dludlu yesterday described the announcement of the Cabinet ministers to serve in the GNU as the first step towards getting the wheels of government running again.
“We would like to see small business being at the core of this (reform) agenda,” Dludlu said.
“While our preference would have been for a smaller administration, we recognise and respect the will of the voters who wanted a power-sharing arrangement that accommodates more than one party. This is a new institution for us all; we need to respect it and learn.”
Dludlu said they would work collaboratively with all the ministers for the benefit and prosperity of the local small business segment of the economy.
“We believe that the National Development Plan (NDP) aspiration of in excess of 90% of all jobs coming from this segment by 2030 will only be achieved if we redouble our efforts to unleash the potential of small businesses, and work in a focused manner to free up small businesses from the shackles of red tape, late payment, power outages, and failing infrastructure,” Dludlu said.
The issue of late payments, particularly by government entities is crippling to small businesses that mainly rely on state contracts for work.
According to the National Treasury yesterday, the number of invoices paid after 30 days by national and provincial departments in the 2023/24 financial year amounted to 362 068 invoices to the rand value of R35.1 billion.
The number of invoices older than 30 days and not paid by national and provincial departments at the end of March, 2024 amounted to 114 908 to the rand value of R10.7 billion
Treasury said the national departments recorded an improvement of R13 million of invoices outstanding from the previous financial year end, while there was a regression of 24% in the number of invoices older than 30 days, and not paid at the end of March, 2024 which amounted to 1 427 invoices to the rand value of R53m compared to 1 149 invoices to the rand value of R66m reported at the end of March, 2023.
Provincial departments recorded a regression of 53% in the number of invoices older than 30 days and not paid at the end of the 2023/24 financial year which amounted to 113 481 invoices to the rand value of R10.6bn compared to 73 974 invoices to the rand value of R6.8nn reported at the end of March, 2023.
Meanwhile, the Tourism Business Council of SA (TBCSA) chairperson Jerry Mabena has welcomed the retention of Patricia de Lille Tourism Ministry.
Mabena said De Lille’s new tenure would ensure continuity of the initiatives that the sector has been working on with her support.
“Key among them is to reach our stated goal of 15.6 million arrivals to South Africa by 2030,” he said.
BUSINESS REPORT