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21 July 2021 | Story Prof Philippe Burger | Photo Sonia Small (Kaleidoscope Studios)
Prof Philippe Burger is Pro-Vice-Chancellor (Pro-VC): Poverty, Inequality and Economic Development at the University of the Free State.

Government needs to see the private sector as a true partner, whose expertise and capital can leverage its plans

Opinion article by Prof Philippe Burger, Pro-Vice-Chancellor (Pro-VC): Poverty, Inequality and Economic Development, University of the Free State

Many South Africans watched in disbelief last week as KwaZulu-Natal and Gauteng descended into looting, chaos, and destruction after Jacob Zuma’s imprisonment. Though probably instigated by disgruntled pro-Zuma supporters, it is clear that the protests very quickly spun out of control.

In newspapers, the question was repeatedly asked: did we see the hungry poor looting for food, or the opportunistic middle-class turning up in cars and bakkies to grab big-screen TVs and fridges? While images and videos clearly show that the latter were present in large numbers, the sight of other people – including gogos – ransacking supermarkets and running off on foot with loaves of bread and bags of maize meal, point to the former. In short, if people had jobs and hope that their lives would improve, I doubt we would have seen such anarchy.

Only a matter of time before protests and unrest occurred

With official unemployment above 30% and the broad unemployment rate – which includes discouraged work-seekers – in excess of 40%, it was only a matter of time before protests and unrest occurred. Zuma’s imprisonment was surely incidental. If it hadn’t been that, something else would have triggered the chaos.

COVID-19 also aggravated the situation, with 1,4 million people losing their jobs as a result of lockdown measures. In addition, the R350 COVID-relief grant expired at the end of April, leaving many with less food on the table.

A number of people argue that, in light of what has happened, we should bring back the relief grant; government may not have much choice now, given the lingering effect of 16 months of COVID restrictions on levels of unemployment and poverty. It will simply have to rearrange its budget to do so. However, we can’t stop at grants.

Even though a grant puts a bit of food in your stomach, it does not give you hope that the future will look better than today. It’s that bleak-looking future, that sense of nothing to lose, that fuels the looting and gives unsavoury politicians leverage for their selfish interests. Contrast this behaviour with that of taxi drivers, who came out to protect malls and chase away looters. They did so because they have something to lose, a stake in the economy to protect.

Every South African has a stake in the economy

We need to ensure that every South African has a stake in the economy. That way, people will have a sense of belonging, they will have options and agency, and they will have resources to improve their lives. They will have hope that the future will look better than the present. A person with a stake in the system is unlikely to break that system. 

We therefore need to seriously reconsider our policies, speed up much-needed change, and start building a believable message of hope – hope stemming from real concern for the plight of the poor, and serious implementation of policy. To help the poor, we need to create jobs, and for that we need investment.

Analysis of economic data shows that for every percentage point rise in private investment as percentage of GDP, we lift GDP growth by a third of a percentage point. And, on average, for every percentage point that GDP grows, employment increases by 1%. In recent years, private investment has averaged a mere 12% of GDP. If we can lift it to 15%, or even to 18%, GDP can grow by an extra one or two percentage points. It might not sound much, but after a decade or two it makes a big difference.

However, for this to happen, the government will have to see the private sector as a true partner whose expertise and capital can leverage the state’s plans. With such an approach, for instance, it would not be necessary for government to own and run an airline – a private operator will fill the gap in the market with its own capital, saving government billions of rands. And the government could long ago have let the private sector play a key role in the generation of electricity, instead of resisting change and only belatedly agreeing to lift the cap on private generation capacity from 1 MW to 100 MW.

Build communities where people escape poverty and have hope

The type and location of investment is also important. Data from the Council for Scientific and Industrial Research shows that SA’s urban population will have increased to between 50 million and 52 million by 2035. This is an increase of 12 million to 14 million compared to 2018.

We must use the opportunity to build green industries. It will save money and build a better environment. In short, as a growth strategy, we need a green, urban-driven investment strategy that caters for SA’s burgeoning urban population.

That way, we can build communities where people have a stake in the economy, where they have jobs and businesses, escape poverty, and have hope that their future and that of their children will improve.

• The article was first published in Business Day


News Archive

UFS researcher selected as emerging voice
2016-11-03

Description: Andre Janse van Rensburg  Tags: Andre Janse van Rensburg

André Janse van Rensburg, researcher at the
Centre for Health Systems Research and Development
at the University of the Free State, will be spending
almost three weeks in Vancouver, Canada. He will be
attending the Emerging Voices for Global Health programme
and Global Symposium on Health Systems Research.
Photo: Jóhann Thormählen

His research on the implementation of the Integrated School Health Programme (ISHP) in rural South Africa led to André Janse van Rensburg being selected to become part of the Emerging Voices for Global Health (EV4GH) group.

It is a collection of young, promising health policy and systems researchers, decision-makers and other health system professionals. A total of 222 applications from 50 countries were received for this programme, from 3-19 November 2016 in Vancouver, Canada.

The EV4GH is linked to the fourth Global Symposium on Health Systems Research (HSR2016), from 14-18 November 2016. It also taking place in Vancouver and Janse van Rensburg will be taking part, thanks to his research on the ISHP in the Maluti-a-Phofung area. He is a researcher at the Centre for Health Systems Research & Development (CHSR&D) at the University of the Free State (UFS).

The theme of the HSR2016 is Resilient and Responsive Health Systems for a Changing World. It is organised every two years by Health Systems Global to bring together roleplayers involved in health systems and policy research and practice.

Janse van Rensburg also part of Health Systems Global network
The EV4GH goals relate to the strengthening of global health systems and policies, particularly from the Global South (low-to-middle income countries with chronic health system challenges). The initiative involves workshops, presentations, and interactive discussions related to global health problems and solutions.

As an EV4GH alumni, Janse van Rensburg will become part of the Health Systems Global network. Partnering institutions include public health institutes from China, India, South Africa, Belgium, and the UK.

“The EV4GH is for young, promising health
policy and systems researchers, decision-makers
and other health system professionals.”

Research aims to explore implementation of schools health programme
In 2012, the ISHP was introduced in South Africa. This policy forms part of the government's Primary Health Care Re-engineering Programme and is designed to offer a comprehensive and integrated package of health services to all pupils across all educational phases.

Janse van Rensburg, along with Dr Asta Rau, Director of the CHSR&D, aimed to explore and describe implementation of the ISHP. The goals were to assess the capacity and resources available for implementation, identify barriers that hamper implementation, detect enabling factors and successful aspects of implementation and disseminate best practices in, and barriers to, ISPH implementation with recommendations to policymakers, managers and practitioners.

“A lot of people were saying they don’t
have enough resources to adequately
implement the policy as it is supposed to
be implemented.”

Findings of project in Maluti-a-Phofung area
Janse van Rensburg said the ISHP had various strengths. “People were impressed with the integrated nature of the policy and the way people collaborated across disciplines and departments. The school team were found to work very well with the schools and gel well with the educators and principles.”

He said the main weakness of the implementation was resources. “A lot of people were saying they don’t have enough resources to adequately implement the policy as it is supposed to be implemented.

“Another drawback is the referral, because once you identify a problem with a child, the child needs to be referred to a hospital or clinic.” He means once a child gets referred, there is no way of knowing whether the child has been helped and in many cases there is no specialist at the hospital.

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