Brief Overview

• Challenges and Responses
• Expenditure
• Medium Term Budget
• Way Forward

CHALLENGES AND RESPONSES

EXPENDITURE

Over the next three years the Province intends to spend R 20,8 billion in 2005/06, R 22,4 billion in 2006/07 and R 23.9 billion in 2007/08 to fund the realization of iKapa Elihlumayo.

MEDIUM TERM BUDGET

Medium term focus is on the Departments of Health and Education to enable implementation respectively of the social capital formation (a healthier population) and the Human Resource Development Strategies (better education, training and skilling) on our way to achieve the vision of a ‘Home for All’.

Social Capital Formation (SCF)

This strategy is driven by the Department of Social Services and Poverty Alleviation and supported by the Departments of Community Safety, Health, Cultural Affairs and Sport.

Building social capital is about restoring values in society, improving morals, building a healthier community, social integration, building respect and creating communities that care about each other, root out or reduce things like crime, alcohol abuse and drug dependency, AIDS and TB and gang activity. Planning ahead Government wants to use as many people to work and create jobs by extending the Public Works Programme.

Human Resource Development (HRD)

Building human capital means ensuring that the education system is such that it produces people with the right skills for the 21 st century so as to improve the employability of particularly the youth and finding a balance between technical and academic training given the dearth of artisans and other technically trained people. This signifies a major role for the FET colleges.

For more information read the Adjustment Budget Statement.

Strategic Infrastructure Plan (SIP)

This addresses the most important needs of communities and development, being roads, safe transport, schools, housing, modernised hospitals and easily assessable clinics.

For more information read the Medium Term Budget Review Policy Statement.

Micro-Economic Development Strategy (MEDS)

This guides and directs Provincial involvement in and support to the sectors of our economy, helping to grow it in the face of international competition, supporting the formal and informal sector so that they can create those sustainable jobs and making it easier for people to do business in the Province .

For more information read the Medium Term Budget Review Policy Statement.

Good Governance

The aim of this consolidated strategy is to promote cooperative governance, especially with the municipalities and to be more effective in the utilisation of our resources – doing more with less. The immediate focus will be on Community Development Workers, financial system maintenance and Municipal Finance Management Act implementation and the establishment of a Youth Commission. This strategy will however be dynamic in its approach to promote continuous efficiency improvements.

For more information read the Medium Term Budget Review Policy Statement.

WAY FORWARD

The rollout of the iKapa Elihlumayo strategy by further development of the different strategies before the Budget is tabled in March 2005, followed by implementation from April next year.

Within one year government has designed and started implementing iKapa Elihlumayo, beginning to fulfill its contract with the people.

Over the next three years the following additional amounts are being set aside for the 8 strategies (consolidated into five for easier reading) and already within the Adjustments Budget, 2004, initial deposits towards some of the iKapa Elihlumayo strategies have been made (refer to Adjustment Budget statement)