JOHANNESBURG – Small businesses and emerging farmers received a multibillion-rand boost from the National Treasury with the establishment of a Small Business and Innovation Fund and further financial support for emerging black farmers.
The budget review said the government would launch the fund in the current financial year.
“The fund will receive R3.2 billion over the medium-term, which it will lend to small business intermediaries, such as fund managers and incubators. The intermediaries will fund and support ideation and start-up companies and small businesses focusing on innovation,” the Treasury said.
The government further allocated R481 million to the Small Enterprise Development agency to expand its small business incubation programme.
The Treasury said spending on economic development would increase by 7 percent in the next three years.