BEE not about taking over companies’

THE current wave of share swaps and acquisitions taking centre stage in the corporate sector through black economic empowerment is not an end in itself, a senior Government official has said.

Matthew Gowaseb, a special advisor to the Prime Minister, said although such endeavours were a step in the right direction, they were not all that BEE was seeking. Gowaseb made the remarks during a Joint Consultative Council (JCC) BEE workshop at the end of last week.He said the BEE process was a driving force upon which the liberation struggle had been founded.As such, there was a strong need to address inequity through the broader participation of previously disadvantaged people.”While the share offers and senior board and management appointments are not bad, they are not an end in itself.We need to do more to foster empowerment of the greater population including youths, women and the disabled,” said Gowaseb.He said BEE was about broader access to resources, skills, education and job opportunities, and as such, there was need for a comprehensive, all-inclusive approach.Among other things, Gowaseb said, participation of outlying areas in the regions was essential.He said rural communities were being left out of some of the critical national development issues, which was tantamount to marginalisation.He urged aspiring business people to shun the idea of taking over existing businesses, saying it was wiser and more prudent to set up new ventures.This, he said, would enhance job creation and thus aid national development and economic growth.”It is wiser and better for entrepreneurs to set up their own entities [rather] than looking forward to taking over what has already been built.Taking over what someone struggled to build … is stealing,” Gowaseb said.The Office of the Prime Minister is responsible for driving the BEE process and is engaged in consultations on drawing up a national policy, which will ultimately become law.The policy should provide clear guidelines on aspects such as the tender procedure, preferential procurement and the redistribution of natural resources.The JCC workshop discussed a new research report, titled ‘Black Economic Empowerment Policy: A Tool for Small and Medium Enterprises Development’.The report says small business development is the most effective way to empower the majority of people, but the SME sector faces numerous challenges requiring State intervention.Gowaseb made the remarks during a Joint Consultative Council (JCC) BEE workshop at the end of last week.He said the BEE process was a driving force upon which the liberation struggle had been founded.As such, there was a strong need to address inequity through the broader participation of previously disadvantaged people.”While the share offers and senior board and management appointments are not bad, they are not an end in itself.We need to do more to foster empowerment of the greater population including youths, women and the disabled,” said Gowaseb.He said BEE was about broader access to resources, skills, education and job opportunities, and as such, there was need for a comprehensive, all-inclusive approach.Among other things, Gowaseb said, participation of outlying areas in the regions was essential.He said rural communities were being left out of some of the critical national development issues, which was tantamount to marginalisation.He urged aspiring business people to shun the idea of taking over existing businesses, saying it was wiser and more prudent to set up new ventures.This, he said, would enhance job creation and thus aid national development and economic growth.”It is wiser and better for entrepreneurs to set up their own entities [rather] than looking forward to taking over what has already been built.Taking over what someone struggled to build … is stealing,” Gowaseb said.The Office of the Prime Minister is responsible for driving the BEE process and is engaged in consultations on drawing up a national policy, which will ultimately become law.The policy should provide clear guidelines on aspects such as the tender procedure, preferential procurement and the redistribution of natural resources.The JCC workshop discussed a new research report, titled ‘Black Economic Empowerment Policy: A Tool for Small and Medium Enterprises Development’.The report says small business development is the most effective way to empower the majority of people, but the SME sector faces numerous challenges requiring State intervention.