Solidarity has submitted a comprehensive plan to the South African government to revive the country’s economy in the wake of the COVID-19 pandemic.
The plan was submitted on Monday to President Cyril Ramaphosa and Ministers Ebrahim Patel (trade and industry) and Tito Mboweni (finance). Dirk Hermann, Solidarity’s CEO said that the plan addresses every aspect of the economy.
The plan offers a comprehensive analysis of past economic crises and how South Africa’s response in the past has led to stagnation and poor growth. The plan also contains proposals on how to now take the right decisions at this critical juncture.
According to Solidarity’s economic recovery plan, South Africa must urgently apply itself to create a more dynamic labour environment. The business world must be liberated from oppressive regulations and trade restrictions. Furthermore, South Africa’s fiscal position needs to be improved by cutting government spending and by getting rid of all non-essential state-run institutions. Furthermore, the absolute need to decentralise South Africa’s energy sector is also highlighted in the y plan.
No choosing between health and wealth
According to Hermann, “The Covid-19 debate should include the economy and jobs. The virus cannot be combatted without the economy and the economy cannot grow if the virus is not successfully combatted. There should not be a choice between health and economy – the choice is for both. In fact, victory over the virus is the most important aspect of any economic stimulus. We need to combat the threat of the virus as soon as possible so that we can get the economy back on track and ensure that the lockdown does not continue for a single day longer than necessary.”
“Solidarity’s Covid-19 plan stands on three legs. The first leg is undaunted resistance to the virus. We are widely encouraging our members to strictly adhere to anti-virus practices. The second is an undaunted drive in favour of work. Solidarity regards all work as essential and believes that everyone who can work in a healthy manner must work. The third is an undaunted commitment to the recovery of the economy. Solidarity presented an economic recovery plan, offering lessons learnt from winning countries in an economic context.”
“Our plans are grounded on a historical analysis of global trends that have led to success the world over. It includes scientific economic theories and offers workable solutions at a time when such answers are needed,” Hermann concluded.