Nomusa Dube-Ncube
TOMORROW, I will present the Provincial Special Adjustment Budget, an exercise that will demonstrate our commitment as government towards the rebuilding and transformation of our economy following the outbreak of Covid-19.
Critically, the presentation of this budget speech marks the beginning of my work in this important department.
With the support of all categories of staff, members of the executive council and members of the portfolio committee on Finance, I am confident that we will succeed in ensuring that state resources are not diverted for other purposes, but are used to speed up socio-economic development.
On top of our programme of action is the issue of good governance.
I commit to clean governance that is free from any form of maladministration. We have a responsibility to live up to the mandate given to us by the South African electorate.
The people of this province want this government to deliver them from poverty and bring about a better life for all. Critically, it has been proven all over the world that a clean bill of health not only improves the public image of government but attracts national and foreign direct investment.
Therefore, this is the area that will receive our immediate focus. In dealing with challenges created by Covid-19, I will be scheduling meetings with key role-players as part of efforts to turn around the situation.
The government has taken a decision to use public procurement as an instrument to uplift the majority of our people, especially women, youth and people with disability. We have identified products and services that should be provided by previously disadvantaged groups such SMMEs and co-operatives.
As Provincial Treasury, we remain committed towards ensuring that small players in different sectors of the economy are brought into the mainstream economy.
We undertake to remove the red tape in public procurement. It’s been reported that globally, public procurement represents on average 15% of Gross Domestic Product (GDP). In 2016, the South African National Treasury anticipated that between 2016 and 2019 the government’s total expenditure across all spheres of government would at least be around R1.5 trillion towards procurement of goods, services and infrastructural improvements aimed at developing the country in various ways.
At around R926 billion in 2018, public procurement accounted for approximately one fifth of South Africa’s gross domestic product (GDP). Clearly, this is a strong indication that public administration is the lifeblood and a backbone of the country’s economy.
We want emerging entrepreneurs, marginalised businesses and those in the informal economy to benefit from the government’s procurement spend. We will also provide support to municipalities, and I will work with the local sphere of government to ensure the financial health of municipalities.
With more mega projects, especially with respect to government-driven infrastructure development as part of the recovery plan, it is my wish to see more black-owned and run accounting and auditing firms being granted the task of handling these accounts.
Adequate skill in financial management will also be my main focus. In order for us to achieve our goals, we need an adequately skilled and experienced pool of financial professionals to ensure that the prudent fiscal policies we have in this country and the province are applied effectively, without fail.
This is crucial for boosting investor confidence. I will also ensure that I work with professionals bodies such as the Association of Black Accountants of South Africa.
I want to focus on advocacy work and inspire black children to consider accounting as their career choice. People from previously disadvantaged communities need to be exposed to financial literacy programmes.
Financial education has been broadly defined as the capacity to have familiarity with and understanding of the financial market products, especially rewards and risks in order to make informed choices.
I want every member of society in KZN to be empowered in order to take effective actions to improve overall well-being and avoid distress in financial matters.
The lack of this basic tool of wealth creation translates into a society which has a huge debt burden that stifles and stunts economic independence.
These are areas that I want to focus on. It is hugely gratifying to note the number of accountants from previously marginalised groups thriving.
As government we are impressed with the gains made in this previously exclusive field, which goes to prove that with determination, nothing is impossible.
The challenge today is for the profession to actively seek out and recruit potential accountants from the pool of our youth who are at the threshold of entering tertiary institutions, including those already receiving tertiary education, to enter the challenging field of accounting.
Dube-Ncube is the MEC for Finance
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