Minister Godongwana denies setting transformation back by promulgating new BEE rules
Finance Minister Enoch Godongwana on Tuesday denied setting transformation back by promulgating new black economic empowerment (BEE) rules.
National Treasury recently gazetted amendments to the controversial preferential procurement regulations.
While the new regulations allow state-owned entities (SOEs) to determine their own preferential procurement policy, Godongwana hit out at claims this would exclude local businesses from the economy.
Godongwana said the new regulations will not make it impossible for state organs to do business with local businesses: “We’re not going to say it’s a free-for-all and sit back.”
In fact, Godongwana said the amendments were only a mechanism to tighten procurement policies so that SOEs don’t abandon the Reconstruction and Development Programme.
Godongwana added that the amendments must also deal with corrupt practices in procurement.
The changes were brought about by a Constitutional Court judgment, which found the 2017 BEE policy was inconsistent with the preferential procurement policy framework.
The judgment, which was handed down in February, gave the government 12 months to update the procurement regulations.
Godongwanga said the government remained committed to empowering previously disadvantaged business owners.
-EWN
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A few fans joined in celebrating her, while others questioned how many wives Monada has. King Monada also celebrated himself a few days ago as he turned 30 years old. Learn More
