Maybe South Africa is in possession of a money tree?

There are statistics which show that only 31% of the population pay tax. So, in light to the country’s financial delinquency to provide “free” money is not a socialistic outreach but one which means we now have a money tree, or we are going to hit serious rock bottom in the coming months. Where did this money come from? Are we selling off our country one bit at a time until the entire country is swallowed at the hands of the cursed?

South Africa has for more than twenty years struggled with balancing an economy, low levels of education and high unemployment. There are statistics of approximately more than 7 million people go to bed without food every night. The government has been the ruling party since its freedom in 1994. Inefficient and ineffective government bureaucracy, restrictive labour regulations and a shortage of skilled workers as many leave to work abroad. 

With notably high rate of murders, assaults, rapes and other violent crimes compare to most countries, South Africa seem to have turned a blind eye to the many issues the country faces.  I personally have requested crime statistics from my local police station and was told that these statistics were not “available” to the general public – so much for transparency in a democratic society.  In recent months prior to Coronavirus, South Africa’s economy appeared wounded and awaiting the vultures – as SAA, Eskom and other National entities all showed the similar characteristics of poor management. 

The only stability and guarantee South Africa has, during the current constant changes, are the inefficiency of those managing the country’s resources. Miraculously, amongst the many commodities – South Africa has grown its own money tree – for how else could we account for the R500 billion once off stimulus into social and economic support package at a time when there has been the greatest lack of productivity the country has ever experienced due to the COVID-19. Yet we now see more has been provided for the population to do “nothing”. This is not a hand-up just another spirit of entitlement. 

There are statistics which show that only 31% of the population pay tax. So, in light to the country’s financial delinquency to provide “free” money is not a socialistic outreach but one which means we now have a money tree, or we are going to hit serious rock bottom in the coming months. Where did this money come from? Are we selling off our country one bit at a time until the entire country is swallowed at the hands of the cursed?

The future generations of South Africans would look back and not see great men of sacrifice, instead history will show that they cared only for themselves. There is no shame in that, posing as socialist and manifesting capitalistic tendencies are but a shame!

Is Black Economic Empowerment (BEE) Working?

BEE or Black Economic Empowerment is a tool employed by the South African government supposedly to address the racial injustices of the past and to also redress the economic imbalances created by South Africas past apartheid system.

The other organisations which participated in this alliance included the allies of the ANC, the South African Indian Congress, the South African Congress of Democrats and the Coloured Peoples Congress.

Nelson Mandela’s brand of Black economic empowerment included a complete overhaul of the national economy, where the state decisively intervenes to change the very structures of the economy.

History has it that it was not until 1992 at that conference, Davos at the World Economic Forum when Nelson Mandela finally and completely dropped his pursuit for Black economic empowerment through nationalisation.

Nelson Mandela and the ANC basically told these business people to continue in their ownership of South Africa’s economy and to give to black people whatever crumbs that fall off from their tables.

The reality is that without BEE there would not have been the same level of black participation in the economy, says Martin Kingston of Rothschild, which advises companies on BEE. Pitifully few black South Africans have grown rich by creating entirely new businesses, perhaps because it seems so much easier to make money by acquiring stakes in existing firms.

The collapse in stock prices in 2008 left many would-be tycoons with assets that were worth less than the loans taken out to buy them.

The binding constraint on greater black participation in the economy is education, says Lucy Holborn from the South African Institute of Race Relations, a think-tank that has called for BEE to be scrapped.

The proportion of professionals who are black is 36%, fairly close to the share of degrees held by blacks, which is around 40%.

 

source:http://www.news24.com/MyNews24/BEE-South-Africas-great-injustice-20131106.(2)http://www.economist.com/news/briefing/21576655-black-economic-empowerment-has-not-worked-well-nor-will-it-end-soon-fools-gold.