Ramaphosa defends transformation, says it's a necessity not a favour
CAPE TOWN - President Cyril Ramaphosa has defended transformation, saying it's a necessity and not a favour.
He said the country must dispel the false notion that a choice must be made between growth and transformation.
Writing in his weekly newsletter, the president said economic growth without transformation entrenches exclusion, and transformation without growth is unsustainable.
He, on Monday, again moved to dispel the view that Broad-Based Black Economic Empowerment (BBBEE) is a cost to the economy.
The president recently challenged political parties in Parliament over their views on Black Economic Empowerment (BEE), stating that it's being viewed incorrectly in relation to economic growth.
Ramaphosa said this opinion needs to be challenged, adding that BEE is an investment in the economy.
For this reason, Ramaphosa said the government is strengthening initiatives like the Black Industrialists Programme and noted the establishment of the Transformation Fund to support a new wave of emerging businesses that can create job opportunities.
'Our Constitution reflects the promise we made to one another and to future generations to redress the injustices of our past and realise the full potential of our country. For this reason, we reaffirm that Broad-Based Black Economic Empowerment is not just a policy choice but a constitutional imperative,' wrote Ramaphosa.
Appearing to take a swipe at his coalition partner, the Democratic Alliance (DA), Ramaphosa said he can't understand why those who continue to benefit from the legacy of exclusion decry BEE to the extent of challenging it in the courts.
Ramaphosa said that there was a critical need for black-owned businesses to access funding on affordable terms, and private banks should review their lending practices.
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