Industry nonprofit the Small Business Institute (SBI) has called for faster implementation of agreed policies and laws to improve job-creating growth and calls on President Cyril Ramaphosa to marshal government to purposefully implement the country's plans and initiatives.

“There are many plans and initiatives to get the country out of the 1% GDP growth trajectory. Layering new ones on existing ones will not help the economy grow, and establishing a plethora of new institutions through an incapable State is counter-productive,” SBI CEO John Dludlu says in a media release ahead of Ramaphosa’s delivery of his yearly State of the Nation Address (SoNA).

“The President must also give an account of existing funds to support cooperatives; small, medium-sized and microenterprises; spazas; and township and rural entrepreneurs. Legitimate business associations are ready, willing and capable of working with government to ensure these public funds reach the intended beneficiaries.”

Further, while the SBI supports the spirit and the rationale behind the establishment of the Department of Trade, Industry and Competition's Transformation Fund, it stresses that there is a need to ensure existing transformation programmes are not discontinued.

The SBI hopes the President will also shed light on the details of implementing the Transformation Fund, Dludlu adds.

Additionally, the SBI calls on the President to use his SoNA, which will be delivered on February 12, to call on the National Assembly to revive the stalled process of appointing the Ombud for SMEs.

“This was not our preferred route, but we recognise that it raised hopes that some relief will come to long-suffering SME owners. Now, these hopes are dashed by the impasse,” says Dludlu.

The SBI is also calling on the President to instruct Ministers to improve the quality of consultations with various stakeholders, especially business associations, around new laws, policies and regulations.

“The amount of litigation between various role players and government suggests the efficacy of consultations is not at the right level. This is deeply concerning. Law courts are there to adjudicate disputes, not to make laws,” he avers.

Further, while the removal of South Africa from the anti-money laundering and terrorism financing Financial Action Task Force grey list has created positive sentiment, including credit rating upgrades, more measures, such as prosecutions of corruption, are needed to maintain the momentum, or the country risks a slide back into this list, he says.

The SBI further calls on Ramaphosa to present his plans to restore relations with the US. The uncertainty is unhelpful to economic operators, especially small business owners exposed to the US markets.

“We also call on the President to give a timeline of appointing a permanent ambassador of South Africa to the US, which is critical to restoring bilateral relations,” says Dludlu.