MONDE NDLOVU: Active lovers of SA will drive transformation

SA has entered into a new phase politically, and this will have implications for the transformation agenda. In one of the timeless quotes from Lot Ndlovu, sharing his views on the role of the black middle class in SA, he said: “SA belongs not only to those who live in it, but it belongs more to those who love it and should include a committed middle class, a committed black middle class”.

This phase we have entered will clearly separate those who merely live in the country and those who genuinely love the country. Our collective commitment to prospering our nation will be tested in the next five years and in particular, our attitude towards transformation. Are we just residents or are we active lovers of the country?

The future beckons, presenting both challenges and opportunities. At the core lies the critical interplay between  economic growth and transformation. We need to wrap our minds around how these two concepts are not mutually exclusive; rather, they should be pursued in tandem. Business, as a key driver of the economy, ought to view economic growth as a byproduct of transformation and not as an obstacle. 

There is a growing chorus advocating for the removal of   affirmative action and broad-based black economic cmpowerment (B-BBEE). The argument is based on economic growth and merit. However, merit — like beauty — is subjective, and is usually influenced by decision-makers. Beyond technical ability and basic requirements, values play a deeper role in selecting both individuals and businesses for opportunities. 

What is economic growth and what is transformation?

Economic growth, simply put, is the increase in the production of goods and services within a certain period. This growth typically is measured through GDP, which encompasses various components such as investment, consumer spending, net exports and government spending.

In our country economic growth hinges on our collective ability to spend, which, in turn, generates income. The combination of consumers, government and business spending is meant to drive growth, whether by expanding the production of existing goods and services wanted, or by fostering the creation of new ones.

Additionally, we must consider the fundamental economic equation involving the factors of production: land, labour, capital and entrepreneurship. These elements form the bedrock of any economy and are intrinsically tied to the process of  transformation.

Transformation, specifically socioeconomic transformation, involves fundamentally changing conditions, structures, policies and laws that hinder the optimum use of the country’s human, intellectual, cultural and business resources. Implicit in this pursuit is the idea to establish a globally competitive economy with black people at the heart of it. 

In linking economic growth and transformation,  one now should understand that black people must be involved in all four factors of production. They should not be confined solely to labour roles; rather, their involvement across all aspects — land, labour, capital and entrepreneurship — must be visible and impactful. By doing so, we expand both the ownership base and consumer base, ultimately driving economic growth.

Without deliberate efforts to include black people in all facets of production, the economy will stagnate, benefiting only a few who retain control of these factors. So, if the country, including  the new government of national unity, is committed to positioning SA as a globally competitive nation, prioritising transformation across  all production becomes imperative.

Affirmative action and B-BBEE serve as mechanisms for achieving transformation. If these transformative laws are pushed back, we risk hindering the country’s growth and perpetuating societal discontent. Paying lip service to the including of black people in key production factors would undermine the spirit of the constitution and Nelson Mandela's dream.

The black middle class has emerged, not only through their merit but also because of the B-BBEE project. Without these policies, many talented black leaders might have remained unknown. While we haven’t achieved critical mass gains yet, it is essential to deepen the progress we’ve made.

Focusing management control within the the B-BBEE framework should be the priority, alongside ownership and skills development. Management control wields influence over organisations and placing this power in the hands of black people ensures active participation and contributes to great task of transforming society at large.   

The GNU bears the responsibility of setting the tone for the country, with a focus on developing a world-class nation where  transformation takes centre stage. Those that will lead in different areas must make transformation the core of their roles and oversee the fundamental shifts in policy, structures and laws in making transformation a reality. This will be the test: , a dormant resident versus a citizen who actively loves the country.

• Ndlovu is BMF Managing Director