Business Leadership South Africa (BLSA) noted on Tuesday that in addition to ensuring accountability and being effective in the law-making process, Parliament must be careful not to frustrate reform through unnecessary delays, as South Africa ushers in the Government of National Unity (GNU).

The business community congratulated President Cyril Ramaphosa on his re-election as President, also welcoming the election of National Assembly Speaker Thoko Didiza and her deputy Annelie Lotriet.

BLSA CEO Busi Mavuso wrote in her weekly letter that government must be ready to fully engage with lawmakers as part of the reform process.

She said it was time for the GNU to solve the issues holding back South Africa, provide jobs and improve living conditions for the vast majority of the population.

She added that Parliament would play a critical role in that process and should be an enabler of success and a check on power.

She highlighted that while policymakers would need to convince MPs of the merits of proposals, MPs must also engage and support positive reform.

“This is a strong signifier of continuity and ongoing progress in the reforms South Africa urgently needs to turn around the performance of the country’s economy. This is important where legislation is needed to enable reform. The important reforms of the electricity sector, for example, have needed to be enabled by legislation. There are many other examples where Parliament will have to play its part in enabling the structural reforms that the economy clearly needs,” she explained.

Organised business will be a willing partner to government, she said, in providing support to help it create a conducive environment for the economy to grow, while also contributing to Parliament by providing business input in consultation processes and directly into Parliamentary committees when needed.

BALANCE OF PROBABILITIES

Ahead of his inauguration on Wednesday, BLSA urged Ramaphosa to appoint a “capable and ethical Cabinet”, stressing that the GNU must demonstrate policy clarity, regulatory certainty and the principles of democratic governance.

“We urgently need to turn around South Africa’s economic performance to move our country toward greater prosperity and meet the needs of a growing population. The government must assure all its citizens, as well as local and international investors, that South Africa is open for business, underpinned by a robust constitutional democracy, well-managed and capable institutions and the rule of law,” said Mavuso.

North West University Business School economist Professor Raymond Parsons said business should now respond in ways that help the GNU eventually succeed by achieving demonstrable results.

Parsons explained that unemployment, poverty and inequality needed to be tackled “with renewed vigour and commitment”, saying with the formation of a GNU, the balance of probabilities has clearly shifted in favour of a future national agenda that will expedite growth-linked reforms.

He said the success of a GNU would ultimately be tested against the extent to which it had deliverables to show over time, including through cooperation with the private sector.

He believes that the bar of responsiveness and accountability has been significantly raised.

“A basis has now been laid for the GNU to facilitate the creation of a ‘delivery state’ to serve its citizenry and business at various levels. Ideology apart, the dominant message of the recent election has been an instruction to deliver,” said Parsons.

In this case, the GNU provides a collective opportunity to expedite several existing growth-friendly “but half-forged policies" and projects to boost investor confidence and job-rich growth.

He said the GNU could also give further impetus to the existing key collaboration between government and business in high-priority areas such as energy security, logistics, and crime and corruption.

Business Unity South Africa (Busa) expressed its readiness to engage with the National Assembly and its Presiding Officers as they carry out their legislative duties.

“As the business community, we firmly believe in the potential of this country and are fully committed to playing our part in its development. We are convinced that through strategic partnerships and targeted interventions, we can make a substantial and positive impact on our nation and foster a sense of hope for all South Africans,” said Busa.