Opinion

A stimulus worth a shot with Ramaphosa taking charge of economic recovery

23 September 2018 - 00:30 By ranjeni munusamy

President Cyril Ramaphosa has three major strengths that he ought to employ more often.
The first is that he has an air of authority and legitimacy, particularly when he speaks about the economy. 
Announcing his economic stimulus and recovery plan on Friday, Ramaphosa owned every measure in his package of interventions.He is able to engage on the plan, from changes to the visa regime that frustrated tourism for many years to how the envisaged infrastructure roll-out is meant to be a catalyst for economic activity.
He tossed only one question to the gaggle of ministers flanking him. Finance minister Nhlanhla Nene in any event deferred details about the reprioritisation of R50bn in the national budget to his medium-term budget policy statement next month.
It is perhaps unfair to compare Ramaphosa with his immediate predecessor but it is refreshing to deal with a leader who is not just reading the words someone else has written for him.
Ramaphosa's second strength is that he is willing to listen to criticism and advice, and is responsive.
Before being elected ANC leader, he surprised many by walking onto the lawns of the Union Buildings to meet a group of Khoisan activists. The group wanted formal recognition of the Khoisan language and to be declared as "first citizens".
Government leaders are notorious for hiding behind an army of protectors and being deaf to people desperate to be heard.
Last month Ramaphosa again went to meet protesters outside the Union Buildings, this time campaigners against violence and the abuse of women. The president listened to horrendous stories of the violation of women and children, and committed to the activists' demand for a summit.
On Friday, Ramaphosa announced a number of interventions that were clearly responding to complaints and criticism about blockages to economic growth and public hazards.
These included reducing the cost of doing business in SA, introducing measures to decrease data costs, addressing the terrible state of sanitation facilities in schools and filling vacant posts for medical staff at public hospitals.
These, along with the onerous visa requirements throttling tourism, have been raised repeatedly with the government, to no avail. Ramaphosa has heard people's grievances and says interventions will be done immediately.
The third advantage is a willingness to tap into skills, talent and expertise where these exist.
The president does not hide that he aims to be Madiba-esque in wanting to rally South Africans. In a fractured and deeply unequal society that is not easy, particularly with profound historical and racial divisions.
But, as was witnessed with Ramaphosa's inaugural state of the nation address, there is goodwill towards him and people responded positively to his "Thuma Mina" message.
Unfortunately the slogan was appropriated by the ANC for its own campaigning and the opportunity was lost to use it as a nation-building tool.
Ramaphosa's desire to get different sectors of society to pull together was evident in his stimulus package. He lobbied business and labour to get behind his infrastructure fund and said the private sector was "hugely excited" to partner with the government.
Ramaphosa is establishing a dedicated infrastructure execution team in the presidency to oversee implementation and ensure that resources are not wasted.
"The team will identify and quantify 'shovel-ready' public sector projects, such as roads and dams, and engage the private sector to manage delivery," he said.
He has not yet announced who will serve on the team but government officials say the president will draw on the private sector and civil society to help the government execute the huge infrastructure roll-out.
Ramaphosa has also announced a 10-member advisory panel to work with the government on land reform. The team includes agricultural and legal experts who will help shape the response to land inequality, agrarian reform and uneven land development.
Ramaphosa's stimulus package is by no means drastic or revolutionary: R50bn of reprioritised funding is small change considering the extent of our economic woes. But funds are limited.
There have been many such strategies in the past, including Zuma's nine-point plan that he could neither remember, nor explain its details.
What was announced on Friday was a range of interventions that showed that the president was willing to take a leadership role to rally the economy, is listening to a noisy nation and wants to crowd-source talent to get implementation going.
The stimulus is the first step towards reviving the economy and getting the state to function. There are much more aggressive actions needed, including slashing the size of the cabinet and cutting expenditure further.
A president who leads, listens and implements is progress in the right direction.
• Read more analysis by Ranjeni Munusamy during the week on Times Select (select.timeslive.co.za). Free to Sunday Times subscribers..

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