100 days of GNU: Tshwane shows that glue will be tested at local government level
11 October 2024
Those with a stake in South Africa’s economy have broadly welcomed the advent of South Africa’s first national coalition cabinet. The value of the Rand, and business confidence, are up, fuel price is down, electricity provision is stabilising – and the Springboks are dominant.
Whether or not the glue holding the GNU together retains its grip, however, will largely be determined by a different group of South Africans: The masses of people on the margins of the economy. Last month, 17 million South Africans of voting age applied for the R370 Social Relief of Distress Grant.
To put the strength of that number into perspective, the country’s two largest parties in the May general election received a combined 19.5 million votes.
Getting the economy growing again, after spending the past 15 years in a trough, is fundamentally important to the country’s stability and development. But, without direct state intervention, even a sustained period of economic growth will not address the job deficit, poverty and unaddressed reverberations of apartheid.