Written by: Errol Naidoo
Article source: familypolicyinstitute.com

An article exploring the reasons why nations fail argues that economic growth is essentially depended on the rule of law and in particular governments ability to protect economic institutions that drive growth including democratic institutions that ensure stability.

The article quotes, “Why Nations Fail – the Origins of Power, Prosperity and Poverty” authored by economists, Daron Acemoglu and James A Robinson – winners of the 2024 Nobel Economics Prize. The writer requests President Ramaphosa studies the book.

Most economist including the business sector agree, South Africa has the potential to be an African economic powerhouse, like Asia’s Singapore, if President Ramaphosa would pay serious attention to the rule of law and the institutions that underpin it.

Ramaphosa has been meeting with business leaders to establish partnerships to improve governance and create economic growth. But the article asserts, “The core focus of sustainable development must include the building and sustaining of resilient institutions, to which far too little attention is paid. Yet this is where South Africa should start.”

For example, economic growth and stability is impossible without an independent and professional justice sector. Here Ramaphosa’s lack of leadership is most apparent. His appointment of Thembi Simelane as Justice Minister and reluctance to act decisively in response to the allegations swirling around her – exposes Ramaphosa’s weakness.

The crisis surrounding the National Prosecuting Authority (NPA) is also a consequence of Ramaphosa’s dithering. Most of the public officials implicated in the State Capture report have not been investigated or prosecuted because the NPA is understaffed and in disarray.

To add to the NPA woes, Ramaphosa deployed a corrupt cadre to the Dept of Justice. The State Capture report identified the ANC’s policy of cadre deployment as a cause and consequence of rampant corruption in South Africa. Despite its damning findings, Ramaphosa has so far failed to implement the State Capture report recommendations.

South Africa’s economy and democratic institutions were brought to the brink of collapse during the Jacob Zuma administration – better known as the State Capture era. Zuma was able to systematically dismantle vital democratic institutions and loot billions from state coffers by deploying the most incapable and corrupt ANC cadres into key state positions.

Family Policy Institute

To reverse the decline of the Zuma years, Ramaphosa simply had to reverse the policies that made it possible. And that begins with the disastrous ANC policy of cadre deployment. But cancelling this policy will be highly unpopular in the ANC because it grants corrupt and grossly incompetent cadres access to underserved positions of power and self-enrichment.

In 2016 the ANC used its majority in Parliament to select Advocate Busisiwe Mkhwebane as the 4th Public Protector of SA because she was close to Zuma. Her disastrous tenure as Public Protector cost the tax-payer billions in legal debacles as several courts handed down scathing judgements citing her staggering incompetence and poor grasp of the law.

Mkhwebane was the first head of a chapter 9 institution to be impeached by Parliament following a lengthy enquiry that cost the tax-payer hundreds of millions. In contrast to her predecessor, Thuli Madonsela, Mkhwebane degraded the office of Public Protector.

The ANC (and EFF) voted Al Jama-ah councillor, Kabelo Gwamanda to the office of Executive Mayor of Johannesburg in May 2023. Gwamanda resigned in August 2024 as a result of credible allegations of corruption and incompetence. He was recently arrested for swindling Soweto residents in a funeral insurance scam he ran in 2011 – 2012.

The City of Johannesburg which had 6 different mayors and administrations within 3 years is in a dire state of collapse. The ANC (and EFF) policy of cadre deployment has destroyed Johannesburg’s water supply system with over 4000 water cuts in just two months.

Ramaphosa – who promised voters the ANC leadership would do better to vet its municipal officials during the last Municipal Elections – has done nothing to stop the degrading of municipal infrastructure or the ANC’s destructive influence in local government.

The ANC policy of cadre deployment – regardless of the integrity, competency and character of its officials – has done more to contribute to South Africa’s economic decline than any other policy. Not a week goes by without a new report of public sector corruption.

Ramaphosa aims for 3 percent economic growth in 2025. But as the economists assert, this is impossible when the rule of law and the institutions that underpin it are neglected. Thus, cadre deployment must end immediately before SA’s potential can be fully realised.

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Date published: 22/10/2024
Feature image: Image for illustrative purposes only. Artwork adapted from www.thepresidency.gov.za

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