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30 August 2004

I would like to express my sincere personal appreciation to each fellow participant for being able to meet with us here in yet another effort to further give detailed meaning to the concept of "A People's Contract" in the ordering of the affairs of our country.

The journey to create a better life and a prosperous South Africa is continuing.

Our quest to decisively eradicate poverty and expand access to critical services to our people is gathering full momentum.

Our resolve to accelerate the rate of growth and pace of development through partnership, prioritisation and active participation is, today, getting practical expression.

Indeed, Our ideals are becoming a reality. As we indicated during the State of the Province Address, There is no turning back.

Programme Director, We meet here today, in Sun City, one of our tourism icons that continue to put our province on the international map as one of the most preferred holiday destination in South Africa. This is a historic process, which brings our various stakeholders under one roof to deliberate and agree on matters of mutual interest regarding the growth and development of our province.

Coincidentally, we also meet during an important month, designated for acknowledgement and celebration of the immense contribution made by our women towards political liberation and restoration of social justice.

It is only fair and befitting that as we craft a way forward during the next two days, we pay tribute and homage to the stalwarts and gallants, the mothers and heroines who so much contributed and shaped our path towards the attainment of the invaluable freedom we are enjoying today.

This summit marks our commitment, as a province and broadly as a country, to make sure that our people continues to enjoy the fruits of democracy and specifically, the various human rights provided for, by the Bill of Rights in our Constitutions.

In this case, we decisively take a step forward to ensure that our people's rights associated with Economic development are met.

Our working together, in unison, from government, business, labour movements, civil organisations, symbolises the harmonious relationship we enjoy in our province.

It portrays, a people and a province at peace with itself but most importantly it is an acknowledgement by all of us, that our ideals of economic growth and development will be realised sooner if we work together towards a common purpose.

As we may all be aware, this summit is not taking place in isolation, but rather, it is a process linked and resulting from a conscious political decision taken by the national government to bring important stakeholders under one roof so that together, we become architects of a better economy that will benefit all our people.

It is a process that seeks to give practical expression to the call made by President Mbeki during the 2002 State of the Nation Address, when he indicated that the GDS seeks to "address urgent challenges facing us in the economy and build an enduring partnership in which all of us can lend a hand building a prosperous South Africa."

I trust that you will contribute as generously of your time and efforts to this Provincial Summit as you did in the National Summit. You will also appreciate the fact that the objectives, outputs and targets about growth and development agreed at that Summit were of nation-wide application. They were not informed by, or tied to, any specific provincial or geographical priorities or strategies. Hence the Provincial Government concluded that a Provincial Summit would be held so as to address and formulate a growth and Development Strategy for the Province.

Programme Director, I am aware that a lot of background work has been done over the last months (and probably still continues) regarding the improvement and finalisation of what should emerge as our acceptable Provincial Growth and Development Strategy 2004 /2014.

Our view as government is that these discussions must be guided by principles and commitment to the process of transformation. We need to move with speed to reconcile our views and come up with a workable and implementable strategy that will take this Province forward towards economic development and growth.

Provincial Overview

Our province is mostly rural with low population densities, inadequate infrastructure and home to approximately 3.7 million people. In 1994 the population was predominantly poor with high levels of illiteracy and dependency that seriously affected productivity and ability to compete for jobs. The province was also characterised by great inequalities between the rich and poor. Available resources were unevenly distributed and offered limited potential for improved delivery of services and growth.

Government improved access to services tremendously. Looking back at our first ten years of democracy it is clear that we have made important strides in creating a platform for accelerated development and growth. It is our task to mobilise our joint energies and efforts in realising our opportunities and solving the challenges.

Some of our greatest opportunities are our natural resource base and potential for eco tourism. We are blessed with a primary sector that offers great potential for value adding and exports. We have a stable government and considerable scope to form alliances with strategic partners.
Our greatest challenges are to:

* Encourage the optimal growth and development in the First Economy and exploit all competitive advantages that exist. We have some of the best agriculture, mining and tourism areas in the world and must make the best of the potential that they offer.
* We must however also respond to the challenges faced by the poor, under-developed and marginalised sections in the second economy. This entails initiatives on land reform, job creation and rural development that will increase access to economic opportunities and support the marginalised to also benefit from opportunities that exist.
* A programme on urban renewal is also essential to improve the competitiveness of our towns and cities.
* Another challenge is to build a social security net from where the poor could launch themselves into the economic mainstream of the province;

* We are also faced with the challenge to overcome the threat of low levels of skills and expertise in the province. Without the opportunity to improve skills and participate in learnerships and other training opportunities, our people stand the danger of being totally excluded from any opportunities that result in the province.
* It is also a challenge to fully accommodate the increasing number of unemployed youth who have graduated and must be placed on a firm career path for the future. I am calling on all partners to embark on learnership programmes for our youth.
* According to a recent profile of women in the province, it is evident that most of our women still reside in rural areas and are poor and unemployed. It is incumbent on us on this Summit to engage on this matter and come up with clear solutions.
* We also need to address the challenge of the disabled within the context of employment equity.

Our Vision and Strategic Goals

As any institution, we are driven by a long-term vision, the North West 2014. Our vision is to build a society that is truly united, non-racial, non-sexist and democratic. Central to this is a single and integrated economy that benefits all.

Our goal is that by 2014, ten years from now, our unemployment rate of around 48% should be halved and the provincial economy should be growing at a steady 6.6% per annum.

Obviously, to adhere to the vision certain strategic actions must be taken immediately:

* We must increase and expand human capital formation by provision and facilitating access to skills development in key competencies.
* We must increase opportunities for greater public and private investment into the economy, especially the second economy.
* We should promote equal and fair access for all our people to economic opportunities and assets.
* Our businesses, both large and small, must be assisted to become more competitive, profitable and productive.
* We must also ensure sustainable development and poverty eradication through the appropriate management of natural resources and the environment.

In his "State of the Nation" address the President gave clear directives and commitments. We have responded with our "State of the Province" address and identified clear targets and commitments.

As a collective this Summit must come with action programmes and milestones that are practical and achievable. Our energies must now be channelled into practical implementation and results.

KEY SECTORAL OBJECTIVES

In order to discharge our objectives we have identified several priority areas for attention at the Summit. This is by no means an exclusive list and the Summit should feel free to also identify other priority areas for attention.

Resolutions formulated should direct our individual and joint actions. The challenge is to be specific on targets to be realised on an annual basis and agree on an action plan to be implemented.

These priority areas are as follows:

1. The Agriculture and Rural Development Sector.

One of the keys to poverty eradication lies in the transformation of agriculture and the unlocking new opportunities. This also requires the growth of the rural economy.

2.The Manufacturing Sector

The manufacturing sector needs to diversify into new markets.

3.The Tourism Sector

Tourism development can create employment and raise incomes in rural areas through community tourism programmes.

4. The Construction and Infrastructure Sector

Infrastructure development will promote growth in agriculture, manufacturing, mining, tourism, skills and economic development by improving market access and by encouraging private investment.

5. The Mining and Energy sector

Mining diversification through the value adding process will improve the number of people employed and increase spending power.

6. Finance and Investment sector

An enabling environment with regards to taxes, trade and investment concessions, industrial zones, unrestricted entrance requirement in combination with the three key foundation sectors will improve the economic and investment sector resulting in reduced poverty and unemployment in the province.

7. The SMME Sector

The focus here should be on:

* Enterprise Development and provincial approach to promote SMME development;
* Support for community development;
* Local Economic Development Financing SMMEs and Cooperatives; and
* Challenges of financing.

8. Training and skills development

The higher the number of qualified professionals and technical people the greater the economic competitiveness of the province and the more spending power can be realised.

A base document to guide the discussions has been incorporated as part of the support material for the Summit.

The Superintendent General for the Department of Finance and Economic Development will explain the contents of this base document in greater detail.

National Agreements to be implemented

With reference to the outcome of the national Growth and Development Summit the following are given:

* Public Investment Initiatives
* Expanded Public Works Programmes
* Sector Partnerships and Strategies
* Local Procurement
* Support for Co-operatives
* Jobs impact and monitoring

Conclusion

It is evident that the relationship we have built in the past through partnership has brought about major developmental success. We are convinced that through this Summit and Contract we can achieve even greater heights during the next ten years.

I wish this collective fruitful and open discussion, seeking practical solutions and implementable resolutions that would truly benefit our people. We are committed to determine clear guidelines for implementation so that we are not trapped in immeasurable spaces of perpetual wait.

We must also ensure that the synergy and good rapport that result from this process is preserved. This is our opportunity to build a solid partnership that will continue beyond this summit. The ideas, information, theories and expertise discovered here must be respected and be put to good use.

Most importantly, let us come out of this process with greater enthusiasms, ignited by our collective desire and passion to build a People's Contract for Sustained Growth and Development in the North West.

Programme Director, logically and rightfully a lot of work has preceded the Summit. A number of workshops and meetings were held to make sure that this Summit yields a result that will take our quest to build a better North West forward. I, at this stage wish to thank all those who burnt the midnight oil, both from government and our social partners, who prepared for this Summit. We are truly humbled by your commitment and exemplary deeds that reflect a cadreship willing to serve and toil to push back the frontiers of poverty and expand access to economic and development opportunities.

Let the Work Begin, Let us realise our People's Dream for Economic Prosperity!

I thank you!

Issued by: Office of the Premier, North West Provincial Government
30 August 2004