Real Estate Investor October 2020 October/November 2020 | Page 30

COVER STORY

25

years after democracy, the dawning of a new era, underprivileged( majority black) South Africans from disadvantaged communities still find themselves at the bottom of the country’ s developmental hierarchy of priorities. What the affluent class know to be fundamental and basic in SA, the majority deems a luxury. Something as important as a roof, that which nobody cannot live without, the disadvantaged people of South Africa fight for every other day against the authorities across the country in the form of forced removals.
These are the inequalities that the government’ s inability to resolve the land question leave us in as a country. They factor greatly in the government’ s inability to boost and grow the economy. The economic under performance in the country is gaining more strength due to the pandemic and the status of land reform in SA is not making it any easier.
Land Reform
Land reform has been on our tongues for quite a while now, it’ s been in the government’ s pipeline for a long time and transformation regarding land is being said to be made but there is no evidence for it. This is concerning, not only because land is referred to as the only asset that would set the people of South Africa free economically, but also because the instability and indecisiveness from our government about who owns what land isn’ t affording the country the investor confidence and the economic growth it needs.
Business Leadership South Africa CEO, Busisiwe Mavuso believes that thriving through poverty, unemployment and the terrible inequalities among South Africans begins at consolidating and finalising the land reform question which she believes is more of a political incompetence issue in the South African government.
“ The land issue is not an economic process issue, it is a social justice process issue,” Mavuso says. In her presentation at the Free Market Foundation’ s virtual event titled Turning Disaster Into an Opportunity she pointed out how the South African government has failed to provide a solution to the social imprisonment of South Africans by not attending to and consolidating the land question.
While Mavuso is for the growth of businesses in the country, she however, points out the importance of structural reform in terms of business development. She says structural reform is central to the notion of dealing with the“ triple challenges” which are the microcosms of the current anxiety and confusion regarding the land question. In essence, she says sorting out the land question is the way to the freedom of many disadvantaged South Africans.
But there has not been much clarity as to when and how the South African government intends to bring the recommendations of the 25th section of the constitution to life. Since the word of mouth has been going around about land expropriation without compensation and occupying the land, many South Africans have just been occupying land with no clarity as to what the section really means. The different political opinions about land expropriation also mounts a lot of weight on the interpretation of the notion of land expropriation without compensation and land occupation. As a result, South Africans are trapped in the hole of different ideas and opinions in one den.
And according to Mavuso, the indecisiveness and inefficiency in advancing the entails of section 25 continues to be an obstruction to the economic development, transformation, and human development in South Africa. This, she says, is because“ our unique history as a country of dispossession and the triple challenges of poverty, inequality and unemployment require strengthening and spreading of property ownership.”
Amendment of the Constitution
While the constitution provides for the expropriation of land without compensation in particular and / or exceptional circumstances, there is still a growing concern between government and various political parties that the constitution should be amended for the proper advancement of land reform.
But Head of Legal( policy and research) at the Free Market Foundation, Martin van Staden believes that the constitution should not be amended or changed.
“ The reason the constitution should not be changed is because it already provides for land reform quite generously, precisely section 25 provides that people who had their land dispossessed should be able to claim that land back,” process which he believes has been inefficient.
Property rights
According to van Staden, the 18th constitutional amendment bill i. e. the land expropriation without compensation bill, goes against what the South African bill of rights advocates for.
“ The expropriation without compensation bill goes against the founding values of the country, as section one of the constitution says South Africa is committed to the advancement of human rights and freedoms of the people of South Africa. And what government does is undermining and establishing an invested right to compensation,” He says.
“ Government needs to strengthen property rights in South Africa.”
10 OCTOBER / NOVEMBER 2020 SA Real Estate Investor Magazine