KZN on the road to recovery after July riots, says premier Sihle Zikalala

KwaZulu-Natal is on the way to economic recovery after the July 2021 unrest that brought the province to its knees, says premier Sihle Zikalala.

In his state of the province address on Thursday, Zikalala said the government was promoting the province, engaging the diplomatic community to assure them of its stability and creating a conducive environment for international investment.

“The KZN government is working with other spheres of government to give comfort to investors that Mooi River is a safe area to invest in. 

“The Mpofana municipality must benefit from investment in agriculture, an agri-hub for agro-processing, clothing, textiles and agro-process,” he said.

During the unrest about 26 trucks were set alight near the Mooi River toll plaza. 

Zikalala said things were looking up for economic recovery.

The provincial government had worked closely with development finance institutions (DFIs) to assist businesses affected by the unrest.

Milestones achieved included:

• the department of trade, industry and competition — through the critical infrastructure recovery programme and working with the Industrial Development Corporation and National Empowerment Fund — disbursed R2.57bn to 140 businesses, saving about 50,000 jobs;
• the department of small business development disbursed R109.7m to 111 businesses in the province out of 439 applications worth about R421.6m;
• Trade Investment KwaZulu-Natal (TIKZN) disbursed R9.3m to 125 businesses and 468 jobs were saved;
• South African Special Risk Insurance Association (Sasria) disbursed R10.3bn to affected businesses in the province out of a total of R27.5bn in applications received; and
• the provincial government, working with the national government and the DFIs, are implementing a programme to “de-risk” hot spots such as Mooi River and some townships.

Zikalala said at the end of December 2021 (Q3) the procurement spend by provincial departments was R26.032bn. Of this R10.34bn was on companies from KwaZulu-Natal.

On the unrest itself, he said the killings in Phoenix were painful and polarising and must never be repeated. 

“While the prosecution of those alleged to be involved in these crimes continues, we are engaging communities in reconciliation and healing.” 

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