FROM THE OFFICE OF THE CEO
PRESS RELEASE


TO: PRINT AND ELECTRONIC MEDIA HOUSES
FROM: KGANKI MATABANE
DATE: 7 MARCH 2019

SUBJECT: MEDIA RELEASE POST BLACK BUSINESS SUMMIT

The Black Business Council (BBC) held a successful two-day summit themed “Economic Transformation within the context of the 4th Industrial Revolution – A Catalyst for Inclusive Growth in the South African Economy”. The summit culminated in a gala dinner addressed by President Cyril Ramaphosa.

The summit was addressed by various doyens of black business such as Mr Patrice Motsepe of ARM, Mr Sabelo Macingwane of NAFCOC, Mr Motsepe Matlala of NAFU; political parties leaders such as Mr Paul Mashatile of the ANC, Mr Mmusi Maimane of the DA, Mr Floyd Shivambu of the EFF; senior government officials such as Mr Mabuse Nkuna of the DTPS, Ms Zodwa Ntuli of the BBBEE Commission, Dr Setumo Mohapi of SITA; thought leaders and eminent members of society such as Prof Tshilidzi Marwala of UJ; government Ministers such as Ms Lindiwe Zulu, Mr Pravin Gordhan, Ms Stella Ndabeni-Abrahams, Ms Maite Nkoana-Mashabane as well as Premier David Makhura.

The BBC has proven to be a reliable and credible partner of both business and government and this is evidenced by the various requests for meetings received this week from various Ministers and Big Business to solicit the views of the BBC on various key matters such as energy security, job creation, socio-economic transformation, economic growth, small business development and support, land expropriation without compensation, 5G and the radio-frequency spectrum.

The BBC has adopted the following key resolution at the summit:

  • Devise mechanism for combating corruption and malfeasance
  • Ensure that black businesses are integrated into the value chains of all industries across SA
  • Continue to explore an establishment of a black bank
  • Lobby sharply for the radio-frequency spectrum to be allocated to black business, who should also own the related infrastructure. The mobile operators should then lease the spectrum from black companies;
  • Explore the possibility of black business ownership of an airline;
  • Establish platforms to create awareness for competent black companies in manufacturing across sectors and industries so these can enjoy support and off-take agreements from Take up the role of monitoring and evaluating performance of the Development Finance Institutions in terms of the targets they set to support Black Business - more specifically the IDC, PIC, NEF and DBSA;
  • Establish and expand distribution channels for locally manufactured products and reserve shelf space for these products in the wholesale and retail distribution network in SA
  • Ensure that SOCs board members have the relevant skills and knowledge of operations of the companies they serve at;
  • Urge government to finalise the repeal of the Preferential Procurement Policy Framework Act (PPPFA) and replace it with the Public Procurement Act before the end of the term of the current administration;
  • Encourage government to expand mandates of the Development Finance Institutions to aggressively fund exploration of minerals to ensure that mining companies remain majority black-owned
  • Call for the introduction of legislation that is deliberately biased to favour black farmers’ support by the Land Bank
  • Push for more transformation at the Land Bank so that the bank can be more sensitive to the needs and aspirations of the black farmers. This will also correct the current trend of 95% of funding going to white farmers
  • Advocate for access to funding, markets and information for our members

The Gala Dinner was attended by no less than eight (8) sitting government Ministers from the Economic Cluster, more than ten (10) Ambassadors/High Commissioners, various Director Generals including the DG of National Treasury.

The BBC was able to raise an amount of R12 000 000.00 from pledges by various companies and selected prominent business leaders who have taken keen interest and have committed to support the BBC in its rebuilding mission in order for black people to play a meaningful role in the mainstream economy. This is in addition to the surplus that the BBC made from the sponsorship received for the summit and gala dinner. This is an important development as it will assist the BBC to settle all its debt with South African Revenue Service and the previous landlord.

The BBC has already put internal control measures in place to ensure that the funds are used solely for the purposes of the organisation.

The BBC is thankful and appreciative of the support and vote of confidence it received.

President Ramaphosa addressed the BBC Gala Dinner and highlighted the following key points:

  • By giving the competition authorities the means to address high levels of economic concentration, we are laying the foundation for a more inclusive future
  • We are engaged in a process of reconfiguring government to ensure that it is more efficient and better equipped to meet the needs of the South African people
    • We hope that business, and black business in particular, will contribute its views, insights and suggestions
  • Progress is being made in restructuring state owned enterprises to return them to financial sustainability
  • As I announced in the State of the Nation Address, we are establishing an investigating directorate in the office of the National Director of Public Prosecutions to focus on the evidence that has emerged from these commissions and other inquiries
  • We have begun to rebuild public institutions, restore investor confidence, strengthen mechanisms to tackle corruption and rebuild an economy that had been severely impacted by the criminal actions of a few
  • We depend on business organisations to take clear and decisive measures to remove the potential for corruption, mismanagement or manipulation within their ranks
    • They need to be setting the standards for ethical leadership within business, within the state and across society
  • We need to prioritise unity within organised business.
    • Fragmentation within the business community does not vserve the interests of business, nor does it serve the interests of broader society.
    • South Africa will not achieve the inclusive growth we seek unless we are able to forge a durable social compact that brings together all social partners behind a shared economic programme
    • Unless business is able to speak with one coherent voice, we will struggle to build that social compact
  • The imperative of meaningful black economic empowerment must be embraced by the entire business community, in equal measure and with equal enthusiasm;
  • It is therefore essential that the Black Business Council, Business Unity South Africa and other business formations work together to make this a reality.
ENDS