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UFS Thought-Leader: Looking at 2022 and beyond – declining confidence in government

29 November 2021 | Story Dr Nitha Ramnath

Panellists at the University of the Free State (UFS) Thought-Leader webinar, titled: Looking through a crystal ball – predictions for 2022, felt that the ineffectiveness, lack of skills, and incompetence of the government forced communities to change their attitude and start doing things for themselves. Eskom is considered a major obstacle to growth and those responsible for corruption will not be held to account, according to the panel.

The panel comprised Dr Pali Lehohla, Consultant: Oxford Poverty and Human Development Initiative and former Statistician General, South Africa; Dr Ina Gouws, Senior Lecturer: Governance and Political Transformation, UFS; Ms Amanda Kotze-Nhlapo, Chief Convention Bureau Officer, South African Tourism; and Mr Dawie Roodt, Director and Chief Economist: Efficient Group.

This was the sixth webinar in the series, which is part of the Free State Literature Festival’s online initiative, VrySpraak-digitaal.

This year is better than next year

“In South Africa, there is the absence of policy systems with no leadership in the country at all levels,” said Dr Lehohla. The Treasury promises nothing for South Africa in terms of the future. Although South Africa can still reach 5,3% growth, which is reasonable, the elephant in the room is the macro reforms. The apartheid regime had a master plan in terms of how things were designed and developed – the current administration does not have a master plan, nor does it have good leadership, according to Dr Lehohla. If we do not have sound technical skills and the support of science, we will not move forward. We need competent people to drive the state, and the current government does not have these skills. This year is better than next year, according to Dr Lehohla.

People are ready to come back

The tourism sector is seeing signs of recovery. “South Africa is working on recovery – first on a domestic level, national, and then international,” said Kotze-Nhlapo. South Africa has the business events and conventions sector, and there is the need to get people to meet. South African Tourism is focusing on and targeting specific markets to build confidence in South Africa. “Twenty-four markets are being looked at as potential tourism gains for South Africa,” said Kotze-Nhlapo. The meeting industry, which looks good, will be prioritised and will trump leisure travel, according to Kotze-Nhlapo. She said tourism could be a catalyst to improve the broader economy of South Africa. Specific projects, such as Africa’s Travel Indaba, are looking at helping with the recovery in order to bring buyers back, as well as participation in international travel expos – people are ready to travel again, to meet, and to come back, according to Kotze-Nhlapo.

Listen to recording below:

An incompetent government cannot implement a bad idea

The three important aspects that ensure basic economic growth are private property rights and private property rights protection, free trade, and sound money. It is difficult to trade if there is no property rights protection and money, according to Dawie Roodt. “In South Africa, private property rights protection is under threat, free trade is being limited, and the reality is that South Africa has lost 99% of the value of its currency,” said Roodt. South Africa is experiencing significant supply chain disruptions, with high global inflation. In 1994, South Africa generated more electricity on a per capita basis in relation to the rest of the world, and today we generate less than 65% – without electricity the economy cannot grow. As an emerging economy, our fiscal debt levels as a percentage of the GDP are extremely high and unsustainable, according to Roodt.

While we have a corrupt government, the lack of effectiveness causes more damage to the economy. The ANC was the biggest loser in the local government elections, not in numbers, but in confidence. Coalitions and instability are in the pipeline – the ANC will lose its absolute majority in the 2024 elections, according to Roodt.

In South Africa, twelve million people are without jobs and 14 million have jobs. We have two million civil servants plus 18 million grant recipients – in total, 20 million people receive income from the state every month, plus grant recipients of ten million odd. In SA, 33 million people receive an income from the state every month. Only 12 million people in the private productive sector are paying for 30 million people who are recipients from the state in one form or the other.

Roodt projects that in terms of the budget, we will see less money being spent on the 30 million people over the next couple of years, because money will run out. “If less money is spent, we will see an increase in social and political tension, because money will be taken away from 30 million people,” said Roodt.

“We are seeing an increase in privatisation, because the government is one of destruction and collapse,” said Roodt. The private sector is taking over – the police is privatised, with an increase in private security that is three times more than the police; electricity is being privatised, with the allowance of 100 megawatt for the private sector; and a third of the railways can have the private sector as partners, according to Roodt. “The good thing about an incompetent government is that it cannot implement a bad idea, and therefore the NHI will not happen; we will have to cut back on grants as this is not affordable,” said Roodt.

Expropriation, import duties, and minimum wage undermines growth, coupled with Eskom, which is a major obstacle to economic growth. However, within this, an incompetent government has created opportunities in technology, education, electricity, and many other areas, according to Roodt.

A darkness hovers over our nation

We find ourselves on the other side of local government elections, where the results at local level have not been seen before. The economic hubs of our country are now being governed by minority opposition parties. “A darkness is hovering over South Africa and it is no longer possible to conceal it with empty promises and excuses from those in charge of creating better ways,” said Dr Gouws. We need service delivery to attract investment and to stop relying on government grants. The current national administration has no interest in creating an environment for entrepreneurship, and people are tired; they are expected to care about everything without seeing changes in their daily lives, according to Dr Gouws. The run-up to the recent elections illustrates that communities have started to change their attitude; in a few pockets, communities have shown that differences are an asset in solving their problems, where they have to rely on each other as opposed to the politicians. “What made the difference was the necessity and realisation that people cannot rely on government, but only on themselves as a community to bring together what they can on the foundation of ethical leadership and integrity,” said Dr Gouws.

The insistence on integrity in the way that people live their lives, and in their communities, really matters.

“Looking to the future, the new communal solidarity and local focus on fit-for-purpose solutions may be the only hope to prevent a complete collapse while national government sorts itself out,” said Dr Gouws. People are tired of having to bounce back and finding ways to cope with situations they are presented with or find themselves in. People want to be able to predict a problem, mitigate a crisis, or prevent the impact altogether, according to Dr Gouws.

Complete distrust exists between government and communities, and there is the need for government to approach communities and partner with them. Communities should be given the opportunity to show what has been done in communities, what has been achieved, and where they are going; there is insistence on this now. “The national government will remain as paralysed as it was, and the president will not make changes, especially to hold the corrupt to account. Relying entirely on national policies and unexecuted plans should be avoided by local communities desperate for better lives,” said Dr Gouws. The expectation of investment to grow the economy and create the growth that people will feel on ground level will not happen until the next leadership conference, according to Dr Gouws.

Listen to a recording of the webinar below:

News Archive

SRC Inauguration speech: 22 January 2005

2005-01-22

Campus Head (Prof Peter Mbati). Dean of Students (Dr Natie Luyt). Deputy Director: Student Affairs and my boss (Mr. Teboho Manchu), Members of the University executive and Academic staff members, SRC members, Leaders of trade Unions and Student organizations, Distinguished guests, Ladies and gentlemen, most importantly first entering students and Parents receive my heartfelt revolutionary greetings.

Let me extend my word of appreciation to our distinguished guests for adding value and dignity to this event. Your presence here means a lot to us. Program Director what I bring here with me, assisted by facts, and is therefore just the work of my imagination. Like a love letter addressed to a sweetheart miles away, even though you do not know how she feels, what she wants to hear, and do not even know how her face looks like.

To me a speech is just an honest and intimate conversation. That is why I got into the habit of establishing a dialogue, or a debate, with my acquaintances looking at their faces and trying to persuade them of what I am telling them.

Mr. Speaker and Madam Deputy Speaker of the Student Parliament we are gathering at this ceremony, significantly few weeks after the release of grade 12 results, with the exception of those from Mpumalanga because of fraud. The Grade 12 results also show that only 18% of Black learners matriculated with exemptions, as compared to 53, 6% of white learners. This is an indication that our education system needs an overhaul.

We are also gathered here significantly a day after the management retreat held in Bloemfontein, Masselspoort. The retreat discussed, among other things, the transformation agenda, and some possible solutions to challenges we are facing now.

Most regrettably, we are gathered here when the whole world morns the victims of Tsunami tragedy. Let me therefore tore the line and convey our deepest condolences, from the last robot of my heart, to the affected families. Our hearts and thoughts will always be occupied by this horrified tragedy.

Creating a new Institution

I would submit, for purposes of debate and discussions that this Institution should strive to specialize and excel in regional rural development studies. Since our higher education, institutions in South Africa are generally weak in rural development studies. Instead, most of them tend to have an urban orientation to their programmes. Training everybody for the cities, big business and the private sector. This is a big weakness in a country with such large rural areas and population trapped in poverty, disease and ignorance.

Women’s studies

Program Director, it is only a moron who can argue against the fact that for us to reposition the institution around the regional development challenge, we need to start first with women empowerment. It is a fact that in most of our poor communities and families, it is women who withstand the worst of poverty. They are the ones who daily have to wipe tears from children who are hungry. It is women who look after the sick, the elderly, those dying from AIDS and the jobless. They are the one who have to fetch water, make fire and cook. There can therefore be no rural development studies without women studies, in particular on how to empower them and assist in the provision of basic services, so that they are relieved from some of the burdensome task of the society.

Registration Process

Mr. Speaker and Madam Deputy Speaker of the Student Parliament let me indicate that the registration is a process and not an event, so it cannot be concluded overnight. This huge process demands for people to stay calm, as there is no crisis. People should stop being excited. At the same time, no organization should use its cheap popularity and unilaterally disrupt the continuous and smooth running of the registration process at hand.

Let me strongly indicate, madam deputy speaker, that I am on record for stating that I have forgiven all those who have wronged us. I harbour no bitterness towards the protagonists of our painful and unfortunate events of the past week. And we will overcome this process not by our own devices but by the help of Almighty God and the grace of our Lord Jesus Christ.

Concerning registration of first years, we have programs, concerning that of senior students, we have programs, regarding graduations we have programs, and concerning HIV\AIDS we have programs. So, there is no need for people to press panicking buttons.

Mr. Speaker and Madam Deputy Speaker of the Student Parliament let me be opportunistic and welcome the entire student body on Campus for the academic year 2005. May our lovely first entering students have a happy and momentous year as part of Qwaqwa Campus of University of the Free State. May your studies be fruitful and enjoyable.

Student years are generally the happiest years of your life, so please make the most of them. While you are doing, all your preparations bear in mind that University is not an opportunity, it is just creating opportunities for a person.

On behalf of SRC members, our people, our students and management members I would like to welcome you all. Even though your parents are far away, here at Uniqwa you have more brothers, more sisters and more parents. Since we will love you with the same love as if we are from one family, and I have no doubts that management members will love and care for you as if you are their own children. Should you encounter any problem while studying at the Qwaqwa Campus of University of the Free State do not hesitate to contact us at the SRC offices because we need to ameliorate any factor influencing you negatively while on campus. I wish you well in the attainment of your academic pursuit.

Senior Students: We are not faced with just a new year but another academic year where we all have to work together to achieve our common goal of building our Institution through the development of human power. I urge you to invest your whole selves in this SRC.

For quite some time now, a debate has been ranging as to, whether has there been any progress in this incorporation process, or we are just moving with no direction. This debate is important, but I hasten to add not essential. The SRC is also involved in this debate, but with definite shift in emphasis. For us it is not important to participate in the debate than it is in finding solutions for the challenges of this new chapter in the history of humankind.

To my colleagues: Comrades, we are leading this Institution with a sense of pride and duty, and I know very well that we lead men and women, students who are determined to ensure that we all reach our destination safely and on time.

I said in one of our meetings that there are more enemies on our way, more than we can imagine. I think you witnessed that during the course of this week. The excitement and unnecessary confusions caused by some confused and loosed charlatans bear testimony to my statements. We should not reveal our game plans unless we are ready to slam.

Let me also borrow from the words of the late Albert Lethuli when he said and I quote: “There remains before us the building of the new land, from the ruins of the old narrow groups, a synthesis of the rich cultural strains which we have inherited. The task is immense”. Lastly, a navy divided within its ranks will be vanquished and destroyed by the enemy, but a navy united in purpose and action, loyalty and commitment will not drawn but sail on to victory.

In conclusion, let me call upon all political structures, church denominations, developmental structures, clubs, societies and forums to put aside all their differences, ideological insinuations and forge unity towards transforming Qwaqwa Campus of University of the Free State into an institution that is seen playing vigilant role in developing students academically, politically, socially, spiritually, religiously, culturally and otherwise.

Program Director, let me end my speech by indicating that every drop of my blood is telling me that Uniqwa is my home. I firstly became a student here, I became an activist here, I became a leader here, I became a president here, I will become a graduant here and hopefully I will become an employee here. So never, doubt my commitment towards the community of this campus.

Please be informed, in a central University of Technology’s way, that if there is no UNIQWA in HEAVEN, then I am not GOING.

Let us broaden the social base.

Tello Titus Wa-Motloung President General

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