Friday, July 24, 2009

WIDEN ACCESS TO HIGHER EDUCATION:NZIMANDE

Higher Education Minister Bonginkosi 'Blade' Nzimande has reiterated his agenda to establish free education for the poorest of the poor and also implored South African citizens that the peoples' centred government carries a moral duty to support the youth's need to succeed in their chosen academic careers.



Nzimande delivered the seminal paper on 'education transformation' at Wits Business School on Thursday (July 23, 2009) whereby he called for the higher education institutions' need to be inclusive of a broader range of South Africans.

"Education transformation is .... about advancing a developmental agenda to benefit the overwhelming majority of our citizens.

We have to find alternative means to bring young people with potential into the higher education system. My suggestion that we review matric' endorsement as the only entry point into university entry was miscontrued in various sectors as aimed in decimating academic standards, and this is far wide from the truth.

Surely to some, opening opportunities to the previously underpriviledged youth may appear that 'barbarians are at the gate, clamouring to get in and destroy their gentle lifestyle and their high standards', and if that is what they think, then it is too bad" cautions Nzimande.

The reality in South Africa, added Nzimande, was that most people were poor and black, and did not have access to adequate schooling.

And this democratic government .... cannot be expected to pander to the class and racial prejudices of the priviledged, whether they are white or members of the black elite.



"What is wrong when we propose ideas that provide free education up to an undergraduate level,why does this provoke some 'irrational fear' to some sections of the South African population?

Does this mean that the government would allegedly 'drop standards by swampling the universities with the poor and the unwashed? " questioned Nzimande.



The attainment of free undergraduate education for all poor youth will no doubt be a process, he assured the audience, and will not be implemented without due consultation engagement will all our stakeholders.



'Widening access to higher education was as important as ensuring students wer succesful in their studies.

This peoples' centred govrnmnt must ensure that we provide them with the support that they need to succeed as long as they are prepared to put in the necessary effort" concluded Nzimande.



Meanwhile, the newly-appointed and the first Black Rector ever at the Univesity of Free State Professor Jonathan Jansen graviates at witnessing the prospect of forging national unity thast was exhibited by students across colour on his first week as the Vice Chancellor there.



"On my first week at UFS and evrything I heard about the place would scare the epidermis of a black man stranded at night in the midst of this campus.

However, what I saw at the Huis Abraham Fischer (Residence) was something completely unexpected .... a group of white boys and black boys singing together in Afrikaans some of the most beautiful songs I have ever heard.

They were clearly good friends, a team enjoying each other's company, hernce, am calling South African youth to start embracing each other and begin to sing from a new hymn book" observed Jansen.



The Univrsity of Free State was recently in the news for all the bad publicity aftr some white students (rascals) were captured on video urinating in food and beer which they had forced on the varsity maids to eat and drink, whereon the maids had vomited over this concotion.

Tuesday, July 21, 2009

TITO MBOWENI FAILED US:DECRY ECONOMISTS

Replacing Reserve Bank Governor Tito Mboweni with the ABSA Chairwoman Gill Marcus has been hailed by various sectors in South Africa, with the most notably delight coming from his former university mate in exile.

The renowned Durban-based businessman,who a Professor of Economics and a Bachelor of Laws graduate Bonke Dumisa has come out smoking and dismissed Mboweni's 10-year tenure in the central bank as dissappointing because 'Mboweni had failed to transform it in line with the democratic government's constitutional agenda.

"Tito Mboweni had become 'too high' for his own good. Mboweni was a politician-turned-bureaucrat who enjoys the status of being perceived as a 'different black'. Mboweni did not enjoy seeing other blacks climbing the hierarchial ladder in their chosen fields.

In most countries, the Reserve Bank is used by young graduates as a training ground and stepping stone to other jobs in both the private sector and the public sector, but Mboweni could hear none of that" observes Dumisa

While the largest umbrella labour federation COSATU had described Mboweni's aloofness to review the inflation targeting policy after persistent calls, Dumisa have traced Mboweni's pompousness back to their college days at Roma University during the worst days of apartheid in South Africa.
Cosatu spokesperson Patrick Craven had called Mboweni's firing last Sunday by the country's President Jacob Zuma as "good riddance as he was inimical to the country's high unemployment rate, inequalities and interest rates that were having an adverse effect to the working class".

However the serious indictment of him, adds Dumisa, is that after having conceived, drafted and gave political direction to the present day legislation, especially in the labour field, as the first democratically-elected Minister of Finance, Mboweni has failed the previously disadvantaged p
eople.

"We expected Mboweni to be in the forefront of championing the identification, growing, nurturing, and deployment of many future economists and banking executives to make sure our economy and the banking industry are in good hands.
Throughout South Africa, no single economist or bank executive can proudly proclaim that 'today I am a success story because of the motivation and mentoring of Tito Mboweni' " asserts Dumisa.

Apparently, both Mboweni and Dumisa had spent several years during the apartheid era studying at the National University of Lesotho, affectionaely known as 'Roma University' in the 1970's.
Dumisa highlighted that Mboweni was,then, regaling himself as a hardcore communists that eloquently qouted 'Lenin and the dialectical materialism theories', and according to Dumisa, he had dismissed him as an'elementary capitalist simply because he was studying a pure bachelor of commerce'.

Dumisa sums up his seminal critique of Mboweni's leadership as South Africa's central banker over a decade by noting that'Tito Mboweni did not fail, in fact, he was not interested in championing any meaningful transformation at the Reserve Bank'.

Even the Political Science Masters graduate in African political economy Bongani Ngqulunga, now working in the Presidency,Union Buildings, Pretoria, was timid to comment on Mboweni's change of fortunes.
The erstwhile University of Durban-Westville SRC Secretary when Mboweni was appointed as the Reserve Bank Governor, Ngqulunga was instrumental in organising the 'TITO MBOWENI CELEBRATORY BANQUET AS RSA RESERVE BANK GOVERNOR' at the Durban's International Convention Centre.
However, these days he conceeded that the replacement of Mboweni can be construed as a 'project gone wrong'.

Sunday, July 19, 2009

RESERVE BANK GOVERNOR FIRED!

South Africa's Reserve Bank Governor Tito Mboweni was on Sunday19, July 2009 fired (replaced) from his position by the country's President Jacob Zuma.

His employment contract was due for renewal on or before 7 August 2009 but Mboweni's resistance to attend from several civil society institutions to review inflation targeting policies seems to have put pressure to him holding as the central bank head for another five years.

President Zuma, personally, announced the shake-up and looked no further to fill the position as ANC heavyweight Gill Marcus was appointed immediately, though she is expected to assume duties on 9 November 2009.

The reception of Marcus' appointment was positive, judging from the responses canvassed and received from the business sector and the financial markets.

Business Unity South Africa CEO Jerry Vilakazi commended the decision to appoint Jill Marcus as the Reserve Bank Governor-designate by pointing out that she (Marcus) already possesvaluable inside information about the operations within the central bank after having served some time there as a Deputy Governor after the second national democratic elections.

"Ms Marcus is bringing along vast expertise into the Reserve Bank as a former deputy governor, also her leadership traits exhibited in the corporate sector as the chairperson of ABSA speak volumes about her appointment" said Vilakazi.

And the Chief Economist from Brait Investment Group Colen Garrow expressed full support for the appointment of Gill Marcus.
"She's highly respected in the marketplace. Gill Marcus oversaw the foreign exchange regulations and she is quite a good aministrator" noted Garrow.

Expressing a vote of thanks to President Zuma after her appointment in Pretoria Marcus was very cautious in divulging her immediate tasks regarding the inflation targeting policies and the repo rates.
"It is too early to pronounce on the Reserve Bank's inflation targeting policy. For now it's really to thank everybody for the enormous confidence shown in me and I intend to consult widely with all structures to chart the way forward" said Marcus.

Even the outgoing Reserve Bank Governor Tito Mboweni praised the appointment of Ms Marcus and he described her leadership qualities in glowing terms.

Thursday, July 16, 2009

AFRICA & THE ECONOMIC GEOGRAPHY CHALLENGES?

Africa's ninenty (90) million citizens should be seen as a potential hub for global trade rather than as a region placed on the periphery of world trade. The creation of a viable market in the sub-Saharan Africa would automatically solve the problem of distance from the mainstream global players located in the First World countries, South Africa's Finance Minister said in Johannesburg this week.

Speaking during the World Bank's 2009 Development Report presentation titled 'ReShaping Economic Geography' , Pravin Gordhan identified the fragmentation of the state borders that was imposed by the imperialist powers in the 1814 Berlin Concert as the primary cause of Africa's underdevelopment.

"This fragmentation by colonial powers remains an obstacle to regional and international trade and global economic integration and it was proving a constraint on the continent's economic growth.
Africans, and particulary South Africans, should not always cite the apartheid regime past as an excuse for our lack of decisiveness, our lack of leadership, and our lack of ability to come to terms with global economic challenges that face us" observed Gordhan.

He advised that the attention of the African leadership should be focused on how to turn the continent's population not into a 'masterless multitude' but into an "effective demand' for goods and services throughout the globe.

Heading the World Bank team was its Chief Economist Justin Yifu Lin, who implore delegates that Africa must use and turn the global economic recession into an opportunity for huge investment in much needed infrastructure development.

"The global economic crisis stresses the need for Africa to move from economic fragmentation towards integration and benefit from the global markets.
For the continent to leverage itself out of recession, there must be a sound regional economic integration as the benefits from the global markets might simply be unattainable for some countries because they cannot compete on a global scale themselves" said Lin.

The 2009 World Bank's Development Report focuses on regional integration and cited East Asia's urban population that was expected to grow over 450 million people over the next two decades and the impact it was making through its concentration on production.

What is the impact of economic geography on people's lives and the role of mobility and integration to promote economic growth, was the thematic line posed by the World Bank's Development Report.

Delegates participating in the seminar were reminded that to maximise its competitive advantage and give it a greater scale on global markets, South Africa needs to formulate policies that aim at increasing connectivity by importing transport infrastructure, information technology and skills transfer and development.

Meanwhile in a separate development, KwaZulu-Natal MEC for Finance Inna Cronje has cajoled the Ugu District Municipality businesspeople to work in partnership with her government to tackle the economic challenges imposed by the global recession.

"We are not immune to the global economic downturn which eroded employment, investments and corporate profits across the world. The devastating effects of the present downturn has meant considerable belt-tightening as we face the economic realities and both businesses and households must now do things differently.
The provincial government is committed to support economic growth and job creation through its infrastructure development programme, labour-intensive employment, educational programmes and skills development intervention" said Cronje.

She added that the KZN government will emphasize on clean audit reports, elimination of fraud and corruption and sustain a transparent supply-chain management practises.

Sunday, July 12, 2009

HOW DO WE ERADICATE POVERTY & CREATE OUR OWN FINANCIERS?

Nobel Peace Winner Mohammad Yunis, who's also a Bangladesh Banker and Economist has implored South African citizens to go an extra mile to create a better life as nothing 'was impossible when you put your mind, energy and time to realise it'.
Yunis echoed these sentiments when he delivered the seventh Nelson Mandela Annual Lecture in Johannesburg over the weekend.

As a response to the current global economic crisis, Yunis proposed the start of a "Social Business" agenda, which will be responsive to the needs and the upliftment of the poor masses.
"We need to start a business oin the basis of selflessness. We propose a second type of business alongside the existing one, we need to create a "social Business".
This is the business whose primary agenda is to address and solve social problems, not to make money for its investors" proposed Yunis.

He cited the political, social and economic battles he and fellow countrymenhad to endure when they were liberated in 19970's and the severe drought that his newly-independent country had suffered.
There is only one concept of business in the whole world, he says, and the sole purpose of business is to make money.
However, Yunis hasten to caution that the customary business theory is not lateral as its interpretation of the human being saw people being treated as one-dimensional.

Yunis alluded that after taking stock of the difficulties he and his fellow countrymen were made to endure in their new-found liberation, they had decided to take the bull by its horns and established a people's 'Grameen Bank'.
He conceeded that to date this financial institution seem to have escaped or have not suffered the dire financial straits imposed by the global recession.

He cajoled participants to learn about how the operations of developmental financial institutions in this country can take leaf from the Grameen Bank, and also questioned the bottlenecks that made it difficult if not impossible for small, medium and micro enterprises to survive in South Africa.

"The real question to ask is whether conventional banks, themselves, have the political will to understand what are it means to be credit worthy as they always complain about the poor people not worth enough to qualify for credit.
Let us look up to the Grameen Bank whose finances are locally-based and its source of money was local.
We're not connected with international banks, and their crisis could not reach us yet. The banks collapsing were based on rigid paperwork, such as guarantees, collateral and legal instruments between lender and borrower to back up the legal system of lending" warned Yunis.

Accordingly, he said, this could be attributed to greed of the capitalist system and the prevailing global political economy.
"Capitalism and the marketplace that has grown up aroundf the present business theory make no room for the selfless dimension of the people.
If the problems springing from the global financial crisis were overcome, the world would still be left with some fundamental questions about the effectiveness of capitalism in tracking many other unresolved issues" concluded Yunis.

Yunis paper was delivered some weeks after the South African Deputy Minister of Finance Nhlanhla Nene had also noted the drop in both corporate and household savings during his Budget vote speech.
He noted that SA's aggregate savings had been on a declining trend.
"S.A's savings performance remains dissappointing. The country's gross savings rate as a proportion of gross domestic product had risen to 17.1% in the first quarter of 2009, up from an average of 15.4% in 2008.

Therefore, after listening to both the S.A' s Deputy Minister of Finance and the Bangladesh banker and economist, the pertinent question to pose is how do the captains of industry and the political leadership restore our economic confidence?

Wednesday, July 8, 2009

SMME TO TURN AROUND SA's ECONOMIC GROWTH:ZUNGU

Despite the current global economic recession, small and medium enterprises development was pivotal to the new South African government employment plans and it remains central to the country's search for an economic growth trajectory.

These sentiments were echoed by the prominent member of the World Economic Forum, Sandile Zungu, as he outlined his (personal) inputs and insights of what the SME's should be treated under the new South African administration led by President Jacob Zuma.
Zungu,who is also the Chairperson of the multi-diversfied Zungu Investments Company was giving a keynote address during the eThekwini Municipality Business Support and Markets Unit's SMME Breakfast at the Durban International Convention Centre on Wednesday.

"The SMME's are the engine of the South African economic future and it will always come second best in the globalised economic environment.
SMME account for 35% of the country's GDP, and it employs 3.8 million of which 34% of it is located within the informal sector" outlines Zungu
He decried the government of being unsupportive to SMME's in terms of procurement practices, regulations and taxation laws.
"South African regulations are not geared to support SMME's as it requires too much paperwork and most of the small, meduim and emerging enterpreneurs do not have a clue about financial administrative issues.
Why are SMME's made to pay so much tax, was the DTI, Planning Commission or the Department of Economic Development playing the ball to promote the sustainability of the SMME's, he asked.

However, Zungu noted that the new ANC-led administration had promised to make structural changes and, he urged participants, that public commitment was required since the government was even or had made the broad-based Black economic empowerment codes and guidelines simplified.
"Going forward, every SMME must consider the implications of the global financial crisis from the sub-prime crisis to debt crisis.
Globalisation and the myth of decoupling can be seen in the practical example in the automobile sector whereby it was reported that Barclays Bank had declined to bail-out its longterm business partner Dodge because it could not guarantee repayments timeously.
Local banks have begun to emulate international practise, as SMME's that do not have enough money in the bank to put collateral, were already feeling the pinch" said Zungu.

As the economy continues to decline the small, meduim and emerging entepreneur is the most affected but, added Zungu, these challenges create opportunities for real enterpreneurs such as Richard Bronson, the CEO of Virgin Airlines, who had started his business while with other passengers were stranded in Colombia.

"All the agents of the state and big business must come into the party to support SMME development because this sector (SMME) stands to grow beyond a 70% threshold of the country's GDP within the next ten years" mooted Zungu.

Even the Chief Executive Officer of SEDA eThekwini Protas Madlala concurred fully with bottlenecks and red tape experienced by the SMME's and accussed what he termed 'gatekeepers' whose interests are 'what is there for me in SMME development'.

"Capital flight can be seen daily among the township women that have organised themselves into co-operative societies and make school uniforms, yet, they do not get to supply local schools within their local areas or immediate municipalities.
Instead at the beginning of every year we find school principals that cajoles parents to buy the school uniforms from a certain established shops in the city centre.
How do we address this stereotyping of our own small and emerging enterpreneurs by the 'what is in for me' mentality by oour very own leadership? Was this playing any role in the promotion of Black economic empowerment? " asked Madlala

Tuesday, July 7, 2009

PRESIDENT JACOB ZUMA ENGAGES THE RSA JUDICIARY PRACTITIONERS

"Transformation of the justice system was not just about race and gender,but 'more' about making justice accessible to all" President Jacob Zuma told the 2nd Judicial Conference of South African Judges in Pretoria on Monday.
Justice, Zuma stressed an emphasis, should be of a high standard and must be attained 'justice seen to be done' without undue delay.
"There was a need to recognise the South African law, and we should work owards creating courts which are no longer instruments for the select few (elites) ut our courts must be representatine of the rights of all the masses of our people" observed Zuma
The appointment of the new judges must be biased to those committed to the new democratic order.

Even the Republic of South Africa's Constitutional Court Chief Justice Pius Nkonzo Langa seemed to be on the same wavelength with the country's president.
Langa urged his judges to ponder themselves about the 'essence of being a judge in such a diverse society like South Africa'.

Fellow South Africans,what is your take over the President's view onthe role of the judiciary in a transforming society?
Are we doing enough to speedily transform all the levers of power in our Rainbow Nation?

However, the President of the Supreme Court of Appeal, Judge Lex Mpati,has set the cat among pigeons regarding the transparent process that was used in appointing judges in South Africa at present.
Mpati was making his presentation about the independence of the judiciary on Tuesday.
"The only criticism that I have or rather that I have come across is that although the process of interviewing candidates for judicial appointments is open to the public and the media, the Judicial Services Commission deliberations on whether a particular candidate is suitable or not are held behind closed doors" noted Mpati.

The central and/or pertinent question to ask, posed Mpati, was how entirely transparent is the process of appointing judges in South Africa.
Further, Mpati cited the reservations held by the late Constitutional Court Chief Justice Ismail Mohamed in the late 1990's.
"The culture of judicial independence must be sustained with a process of appointment to the bench which is fair, transparent and reasonable, and in which judicial input is substantial and manifest" Mohamed had observed.

And the RSA President had noted that transformation of the judiciary must ensure improved access to justice as it addresses the issues of language,procedures and proceses, as well as other issues that may alienate the poor masses from the justice system.
"Envisaged in the constitution is a rationalised court system and the Superior Court's Bill aims to craete a single judiciary.
The Superior Court's Bill seeks to address, among others, the rationalisation of the composition, areas of jurisdiction and structures of the superior courts, which are still largely constituted in accordance with the Superior Court's Act of 1959" explained Zuma.

He further noted that even the promulgation of the South African Judicial Education Institute Act provides for the establishment of an institute to train both aspirant and serving judges and magistrates to improve the quality of the outputs of the courts.
'The training of aspirant judicial officers will go a long way to establish a wide pool of black and women practitioners from which more judges and magistrates may be appointed" concluded Zuma.

Meanwhile, there's been a call made by the judiciary to administer their own budget.
Chief Justice Langa has proposed that the judiciary should be empowered to administer courts and also regulate its own funds.
Commentators have argued that this proposal runs counter to the Superior Court's Bill which proposes that the administration of the courts remain the preserve of the Department of Justice.

Langa has also implored judges to be cognisant of the case management rules, current rules of practise and procedures to ensure that these factored to promote rather than obstruct people's access to courts.

Langa also concurred with the President of South Africa's sentiments regarding the independence of the judiciary.

"Judges will continue to adjudicate matters fearlessly, we wil not bow to any pressure regardless of the source as we will be guided by conscience and the rule of law. We are only accountable to the Constitution and judges are committed work, transform the system for the benefit of all the South African communities" noted Langa.