A diagnosis of SA economic problems: Informal sector, SMEs, BEE and township economy under the shadow of monopolies
Any effort aimed at growing the economy should commence with breaking up the existing monopolies and to re-design the financial services sector. This will allow for the decentralisation of economic units to local level, where communities can have power to decide the nature of economy they want. The informal sector, SMEs, BEE and ‘township economy’ exist under the shadow of monopolies.
Without any serious policy shift to reduce the number of monopolies, there is no hope that South Africa will ever grow its economy and also address its huge unemployment problem. Ocran argues, ‘There is evidence that over-concentration tends to impede job creation.’
By Siyabonga P Hadebe