Cape Town - The National African Federated Chamber of Commerce and Industry (Nafcoc) on Friday commended President Jacob Zuma for highlighting "radical and significant" steps to transform the South African economy during his State of the Nations Address (Sona). Zuma delivered the Sona during a joint sitting of Parliament on Thursday which descended into chaos when the MPs from the Economic Freedom Fighters (EFF) MPs were thrown out of the house and the Democratic Alliance (DA) MPs staged a walk-out.
Zuma's Sona centred around the radical transformation of the economy, more black ownership of key industries, as well as constitutional measures to redistribute the land back to black people.
In a statement, Nafcoc chief economist Landiwe Mahlangu, said this Sona was probably "the most clearest and bold articulation of the black economic agenda" ever done since the advent of democracy.
Mahlangu said Nafcoc was particularly pleased with the government's commitment to accelerate land reform ad land restitution, tougher measures aimed at dealing with cartels and collusion, re-commitment to the renewable energy programme and the one-stop Invest South Africa.
"The challenge is that as we see it this radical economic transformation may be undermined by current low growth conditions and fiscal consolidation which amounts to austerity," Mahangu said.
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He stressed that Nafcoc's historical and present mission was to achieve "economic emancipation of Blacks and Africans in particular through meaningful inclusion and participation in the economy".
But Mahlangu said that a lack of access to finance for black people and general reticence by big local business to invest in the economy was also one of the most binding constraints to growth.
"It is therefore important that this radical economic transformation programme also address this financial and banking exclusion and investment strike by big business."
Nafcoc president, Lawrence Mavundla, added: "The measures and the policy levers that the President has outlined, particularly in support of small, medium and micro enterprises will certainly ensure that success in addressing the triple challenge of poverty, unemployment and inequality."