By: Bosman Grobler MPL, DA Spokesperson on Economic Development
The Mpumalanga Economic Growth Agency’s (MEGA) continued poor performance is one of the main reasons why sustainable job creation and fair access to jobs is unlikely to become a reality in Mpumalanga under this failing ANC-led government.
In its first quarterly performance report for the 2018/19 financial year, MEGA reported that in two of its main programmes, (programme 5 – Properties and Infrastructure and programme 6 – Funding), it had only managed to achieve 2 out of a total of 7 targets.
These programmes command over 88% of MEGA’s billion Rand budget and a delay in their performance and expenditure results in the following:
- a delay in the Mpumalanga International Fresh Produce Market;
- a delay in the refurbishment of properties being rented out by MEGA for business ventures;
- Fewer loans being disbursed in the much publicised Standard Bank/MEGA SMME funding venture (disbursed R0 in loans from an annual budget of R110 million) and
- Delays in the implementation of phase II of the GNP (Planned to procure goods worth R60.5 million, but managed to procure goods worth R19.2 million).
This will in turn stifle sustainable job creation and deny qualified and experienced individuals fair access to jobs.
With South Africa falling into a technical recession and Mpumalanga’s 41.7% unemployment rate, it vital that entities geared towards economic growth operate at an optimal level to stimulate the economy but, in Mpumalanga, the ANC-led government has deliberately ignored the failures of MEGA and the effect this has had on the provincial economy.
The DA has long held the view that MEGA should be disbanded and its functions shifted back to the Department of Economic Development as the only thing MEGA has excelled in is being a vehicle for state looting.
We will continue to monitor MEGA’s performance and once again call on MEC Eric Kholwane to urgently address MEGA’s continued failure before it collapses the provincial economy.
The people of Mpumalanga need fair access to sustainable jobs, putting this responsibility on a failed entity such as MEGA is essentially sentencing the people of this province to an uncertain future.
Ends
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