Banker S.A. March 2013 | Page 9

MD’S MESSAGE Moving towards the implementation of the National Development Plan T he Banking Association South Africa, at its last Board meeting in November 2012, agreed the industry would concentrate its efforts this year in promoting the National Development Plan (NDP). This decision was in line with a broader business view that the NDP is the one plan that has a broad base of support, and is the most pragmatic and realisable vision for South Africa. The African National Congress (ANC), at its Mangaung congress, also adopted the NDP as the central instrument against which all policy will be measured and that will guide government in fulfilling its governance responsibilities. The NDP is the product of broad consultation, consideration and analyses of the critical issues we need to address as a country, if we are to fulfil the tremendous potential we have and make real the democracy we achieved in 2004. The NDP offers exciting thinking on, inter alia, the following: • A capable state • Infrastructure development • Governance • Human settlements, including appropriate spatial planning • Education • Building trust • Economic growth and development • Health The NDP stresses the importance of a state that has the capacity and commitment to deliver services efficiently and care for those who are indigent. The plan charts a role for the state that is facilitative of private sector growth, but intervenes where markets do not work. The NDP is very clear that the state, and other sectors of civil society, needs to be ruthless in fighting corruption. The plan also stresses the critical need for collaboration between all sectors of society and government to achieve the outcomes we need to improve the living conditions of all our people and address the growing income gap between a minority and the vast majority. The theoretical adoption of the NDP by a broad spectrum of society and government must translate into real delivery, such that the NDP moves from being a vision to a living strategy for delivery. Government must ensure the Minister of Planning has the necessary capacity and resources to drive the NDP through all facets of government. The President must be emphatic that the Minister of Planning will champion the NDP and will receive the collaboration of all ministries. Business must now take the initiative in identifying implementable projects cited in the NDP, collaborate on what role business can play in implementing the projects and approaching government to discuss its role. All critical stakeholders will have to make sacrifices and compromises in the national interest. However, such compromises must not result in poor quality, non-delivery or a fracturing in the pact we need to build. We must also be cognisant of the challenging economic times within which we need to implement projects cited on the NDP. The budget deficit for year-end 2013 will be 4,3% of gross domestic product (GDP). We will need to allocate funds to the many social programmes government has instituted. We will need to ensure appropriate allocation of resources, and particularly the efficient use of resources. This entails efficiency in state departments and institutions and a zero-tolerance approach to corruption. The private sector has a critical role to play in assisting in ensuring sound government capacity, although government must satisfy the private sector that it will do the basics to receive capacity in a sustainable way. Our country is, I believe, at a T-junction. We can choose to work together to make the vision in the NDP concrete, or we can choose to destroy all the potential we have and to some extent achieved, but still have a great deal to do! Can we be a winning nation? Do we need the BRICS Bank? How can banks reduce the proportion of unsecured loans? If you have an opinion concerning a Banker SA article, e-mail us at [email protected]. Cas Coovadia Managing Director, The Banking Association South Africa Edition 5 BANKER SA 7