President Cyril Ramaphosa has pledged to address the concerns of Durban business leaders, who have raised issues about illicit imports, unreliable infrastructure, and regulations affecting companies in distress. Speaking at the Durban Chamber of Commerce and Industry's 170th Annual Gala Dinner, Ramaphosa acknowledged the challenges faced by businesses and households in Durban, particularly due to unreliable municipal services. He emphasized the need for capable leadership, sound management, and sustained action to resolve these challenges.
The Durban Chamber of Commerce and Industry NPC's chief executive, Palesa Phili, told Ramaphosa that cheap imports, counterfeit products, and illicit goods entering Durban through the port were severely affecting local industries. She called for his intervention on regulations governing industries in distress, which needed to be reviewed to protect businesses affected by cheap imports. Phili also emphasized the need for reforms to support small, medium, and micro enterprises (SMMEs), which faced obstacles including unreliable electricity and infrastructure, red tape, limited access to finance, and labor-market regulations.
Phili highlighted that SMMEs employed about 80% of the population in emerging markets such as Brazil and China, compared with about 60% in South Africa. She urged Ramaphosa to implement SMME reforms to enable them to create much-needed jobs. Ramaphosa acknowledged that the government was responsible for providing infrastructure, services, institutions, and policy certainty, while business had to invest, innovate, and create employment. He added that investment and economic prosperity depended on social stability.
Ramaphosa noted that the government was identifying areas where the time needed to obtain permits and licenses could be reduced, and where unnecessary administrative stages could be removed. He emphasized that reliable municipal services were the foundation of economic development, while public institutions needed to be accountable, efficient, and responsive to citizens and businesses.
KwaZulu-Natal Premier Thamsanqa Ntuli, who attended the gala dinner, noted that he had inherited an administration struggling to restore confidence after the July 2021 unrest. He emphasized the importance of listening to business leaders, who stressed that restoring confidence required safety and responsive governance rather than speeches. Ntuli vowed to protect every factory, shop, port, and livelihood in Durban, declaring that the city would never again experience violence and unrest.
During the July 2021 unrest, the business community actively partnered with the government to keep the city moving and protect livelihoods. Ramaphosa referred to the unrest as a reminder of the cost of instability, emphasizing that business and investment cannot thrive amidst violence, intimidation, lawlessness, or fear. He acknowledged that these challenges demanded capable leadership, sound management, and sustained action.
The gala dinner, attended by various dignitaries, including Economic Development, Tourism and Environmental Affairs MEC Reverend Musa Zondi and eThekwini Municipality Mayor Cyril Xaba, provided a platform for business leaders to engage with Ramaphosa and other government officials on issues affecting Durban's economy. Ramaphosa's pledge to cut red tape and address the concerns of Durban business leaders is seen as a step towards boosting economic growth and investment in the region.
Key points
- President Cyril Ramaphosa pledges to remove bureaucratic obstacles holding back businesses in Durban.
- Durban business leaders raise concerns about illicit imports, unreliable infrastructure, and regulations affecting companies in distress.
- Ramaphosa emphasizes the need for capable leadership, sound management, and sustained action to resolve challenges facing businesses and households in Durban.