Gordhan announces new investment vehicle to attract funds to SA

Government has stepped up efforts to join forces with the private sector in 2016, Finance Minister Pravin Gordhan said in his Budget Review.

He acknowledged that government could not manage without private sector finance and expertise in infrastructure delivery.

Expanded partnerships with business, labour and civil society to realise the objectives of the National Development Plan, Gordhan said, “will be a key feature over the medium term”.

“I must compliment CEOs and other business leaders who made huge commitments in terms of time,” he said with reference to the number of meetings he and President Jacob Zuma held with captains of industry. “These CEOs will soon indicate how they would be involved in major projects.”

One of the initiatives to help strengthen the relationship between government and the private sector is Invest SA – an initiative that would help reduce regulatory burdens for local and foreign investors.

Through Invest SA one-stop shops would be established to help prospective investors who want to start up their own businesses and streamline registration and authorisation processes.

In an attempt to further reduce the regulatory burden of legislation and policies, state departments would be required to make impact assessments for proposed bills, policies and regulations and assess the consequences they may have on the private sector.

Source: Fin 24