Two of the most important political issues facing South Africa today are clearing up the mess left by corruption and state capture, and implementing economic reform to put the country on a sustainable and inclusive growth path. The two challenges are intimately linked: who will develop and implement the plans and policies for growth if large parts of the state are corrupt, incoherent and incompetent?
President Ramaphosa deserves credit for risking party unity by setting in motion processes that have the real prospect of leading to the prosecution of many people in the ANC’s leadership. The rule of law needs to be re-established and the principle that everyone is equal before it (however senior in the ANC or Cabinet, however close to the president) firmly and speedily established.
The benefits of ensuring that the corrupt face justice exceed the reestablishment of the rule of law and the cleansing and rebuilding of institutions. Another benefit of exposing and actually prosecuting and jailing wrong-doers is that it helps shift the balance of forces inside the ANC on policy.
Many people implicated in the looting of public coffers are also the purveyors of the worst, most populist policy ideas. Some state-capturers dress up their corruption by justifying their actions politically. Many try to mask their greed with a more-radical-than-thou pose and rhetorical solidarity with the poor.
Not everyone who has radical ideas is corrupt and not everyone who is corrupt pretends to be radical. However, exposing the dishonesty of those who talk like populists while filling their pockets is an unmitigated good for the country and the reform agenda: it helps rebuild institutions, weakens the president’s political enemies and could help reshape policy debate within the ANC. The relationship between a cleaner administration and potentially sound policies should not be underestimated.
While much attention has been focussed on the horrors of state capture, crony capitalism and wholesale corruption of the ANC and the state, the clock is ticking on South Africa’s other crises. Without faster economic and employment growth the country will sink into even deeper trouble.