A total of R1 billion has been disbursed to businesses affected by the KwaZulu-Natal July 2021 civil unrest, with 118 applications from businesses located in the province approved.
Giving an update on the economic recovery measures implemented after the July 2021 civil unrest, KwaZulu-Natal Premier Nomusa Dube-Ncube said following the civil unrest, President Cyril Ramaphosa announced measures to ensure that peace and stability are maintained throughout the country, and that there are no further incidents of violence.
“There was also a programme to provide support and relief to poor households, in order to abate the hardship they are going through and reduce hunger and the need to aid businesses to rebuild,” Dube-Ncube said.
On the back of the President’s announcement, Government then announced measures to address the social unrest, and these included R3.9 billion financial backing from the South African Special Risk Insurance Association (SASRIA); R2.3 billion support to small businesses that are not covered by SASRIA; and a R400 reinjection into the Solidarity Fund.
The rollout and accessibility of the relief measures is centralised in national departments and the Development Finance Institutions (DFIs), including the Department of Trade, Industry and Competition (DTIC); the Industrial Development Corporation (IDC); and National Empowerment Fund (NEF).
The Premier said through the DTIC relief measures implemented through the National Empowerment Fund (NEF) and the IDC Critical Infrastructure Reconstruction Programme, a total of 118 applications from affected businesses acquire been approved with a value of R1.980 billion.
She said under the National Empowerment Fund and IDC Critical Infrastructure Reconstruction Programme, eThekwini was allocated R444 233 503, uMgungundlovu R6 563 993, King Cetshwayo R26 741 606 Ugu R88 059 481, Amajuba R36 412 949, and uMzinyathi R10 490 963.
An amount of R27.233.263 was allocated to Harry Gwala, whilst uMkhanyakude allocated R3 000 000, Zululand R3 924 030 and iLembe R12 679 371, totalling R1 856 107 906 in funds dispersed to business in KwaZulu-Natal.
“Through the Department of Small Business Development, to date a total of 75 applications valued at R78 822 730 34 for businesses affected by the July civil unrest believe been approved across the department with most of these in eThekwini which received R102 492 535 01 for 75 businesses,” the Premier said.
Whilst the Provincial Economic Development and Environmental Affairs Department (KZNEDTEA) had no resources set aside to assist the affected businesses in the province, Dube-Ncube noted that the department was at the centre of coordinating the National Relief Measures, with the allocated funds amounting to R3.75 billion to cover uninsured businesses.
Some of the measures undertaken by EDTEA entities included rent holidays and reversals to 164 social unrest affected tenants, which was provided by Ithala Development Finance Corporation (IDFC) to the value of R7 639 099.
Four affected clients were also assisted with instalment relief on their Business Finance Loans to the value of R558 462.
Trade and Investment KwaZulu-Natal (TIKZN) in partnership with the Industrial Development Corporation (IDC) disbursed R30 million funding towards social unrest affected businesses and informal traders. The funding benefitted 192 informal and formal businesses across the province.
“The department has worked with the municipalities to facilitate the registration of informal traders with their application processes through the current established informal trader’s business chambers. A total of 5 648 traders were assisted from districts such as Amajuba, uMkhanyakude, Harry Gwala, uGu, uThukela, iLembe, Zululand; uMzinyathi and King Cetshwayo,” the Premier highlighted.
She said no businesses based at Dube TradePort Special Economic Zones (SEZ) were damaged, or destroyed during the July unrest; hence there acquire been no compensation claims.
She said the companies experienced supply chain and production disruptions, and losses due to impacts on the wider economy.
“The Dube Trade Port did assist NGOs with air cargo fee waivers and free storage for food and emergency supplies in the weeks following the unrest,” she said.
Rebuilding infrastructure on track
Meanwhile, the Premier said major pace has been made to acquire the province fully back on its feet after the devastating floods that wreaked havoc honest over a year ago.
“We are on track with our rebuilding plans and noteworthy pace has been made to restore infrastructure and to revive the economy,” Dube-Ncube said.
She said while the provincial government is certain that all affected persons are safe in temporary accommodation government secured, the focus has firmly shifted to rebuilding infrastructure and rehousing people who acquire lost homes, through sustainable rehabilitation and reconstruction (Building Back Better) Programme. – SAnews.gov.za
Loot
Fun South African Fact: The first successful heart transplant was in a Cape Town hospital
Dandelion
Iceland: You have two cows. They freeze to death.