DA calls for Mpumalanga Economic Growth Agency to be disbanded

Issued by Bosman Grobler: MPL – Spokesperson on Finance & Economic Development
04 May 2021 in Press Releases

The DA calls for the disbandment of the Mpumalanga Economic Growth Agency (MEGA).

MEGA is one of the parastatals mandated to create jobs in the province, but it is practically broke and thus have very little impact on the province’s job creation efforts.

According to the 2019/2020 Consolidated General Report on Provincial and National audit outcomes which was released on 31 March 2021, MEGA’s finances are 373% in the red. This means that the SOE is practically bankrupt and will not be able to commit and realise its expected mandate.

In 2010, MEGA was created to drive economic growth which in turn creates employment opportunities and promotes sustainable development through partnerships. However, despite being envisaged to foster economic growth and in turn providing much needed services to the residents of this province, it has become nothing more than a looting pot set up to line the pockets of the connected individuals whilst stealing away from much needed service delivery.

In a bid to save our provincial economy, which has already been ravaged by the Covid-19 pandemic and the related lockdown of the country and subsequently our province, the DA calls on the MEC of Economic Development and Tourism, Vusi Mkhatshwa, to disband MEGA.

Currently, Mpumalanga’s expanded unemployment rate is standing at 46.4%, which is the third highest among the nine provinces. With dysfunctioning Parastatals like MEGA, the ever-growing population of Mpumalanga are facing a depressing and a bleak future in terms of job opportunities.

The lack of real growth in Mpumalanga and MEGA’s dysfunctionality is a clear indication of how the Province was governed for the past two decades. Incoherent policy positions as well as rampant corruption in the public sector have had devastating effects on the economy. Without sound and up-to-date infrastructure, businesses are unable to grow, prosper or create jobs.

A complete change in government is what is needed. A DA-led government in Mpumalanga will create an environment conducive for job creation by stopping corruption within government departments and entities and by implementing policies which attracts investors.

The DA has demonstrated that it can create jobs. It is a fact that most of the jobs created in South Africa in past years came from the DA governed Western Cape.