Johannesburg - The North West needs to rely less on mining for job creation and economic growth, finance MEC Paul Sebegoe said on Tuesday.
“The North West economy is composed of three sectors of which the primary sector (mining) and the tertiary sector (community service) drive the local economy,” he said in a statement.
He was commenting on a socio-economic report on the province.
“The province alone produces a quarter (25.2 percent) of the national mineral output.”
He said the recent labour unrest in the mining sector had an undesirable impact on the province's economy.
“Given the sensitivity of the province's economy to world mineral prices, the North West needs to adopt a strategy that will diversify the provincial economy and rely less on the mining sector for job creation and economic growth,” Sebegoe said.
The strategy needed to focus on activities such as agro-processing, tourism, and manufacturing.
The report was compiled by the recently-established macro-economic analysis unit in the finance department.
Despite the provincial economy recovering from the 2008/09
economic downturn and increasing provincial expenditure, high unemployment and inequality remained, according to the document.
“The advent of the National Development Plan... is an ideal macro-economic framework in which the provincial government will attempt to achieve economic growth, create jobs and address inequality,” he said. - Sapa