KZN ploughs R70m into youth unemployment

Friday, February 24, 2023

The KwaZulu-Natal Provincial Government will in April disperse R70 million from the Youth Empowerment Fund to applicants who meet the requirements,  Premier Nomusa Dube-Ncube said on Friday.

Dube-Ncube said the province has repurposed the Youth Fund and set aside R100 million for the 2023/24 financial year to benefit more young people in sectors that create jobs, as opposed to businesses that employ only a few people.

She said the application window for this year will be announced shortly.

“Among the interventions we will be focussing on is the partnership with Sumitomo/Dunlop to roll out smart centres and cooperatives in townships and rural areas. These cooperatives will be fully owned by young people and will promote local economic growth in the tyre industry,” Dube-Ncube said.

She said the province is repositioning all its employment programmes to benefit young people and those over 35 years, and more economic models will be announced by departments during Budget Votes.

“The Executive Council resolved that each department, except for the frontline services departments, must reprioritise within their budgets an amount of R10 million to contribute towards job creation through an intensified Expanded Public Works Programme (EPWP) to benefit youth, women and people with disabilities,” Dube-Ncube said.

Over R140 billion allocated SMMEs and co-operatives

The Premier also announced that Ithala Development Finance Corporation (IDFC) has distributed R146 million funding to 293 Small, Medium and Micro Enterprises (SMMEs) and co-operatives, creating 1 297 employment opportunities for the period up to 31 December 2022.

Ithala is also supporting the launch of projects in townships and rural areas, including a R40 million plywood manufacturing plant close to KwaNongoma; a R100 million logistics hub in Estcourt; a R25 million fuel depot in Mnambithi; and a R35 million roofing material manufacturing plant in eThekwini.

The total number of jobs that will be created by the above projects are estimated to be 1 350.

Dube-Ncube said the inaugural window of Operation Vula Fund saw 1 016 applications worth R339.2 million being approved for funding in various priority sectors of the economy.

“In 2023/24, IDFC plans to distribute business funding of approximately R214 million and facilitate the creation of 2000 job opportunities. It further intends to support Rural and Township based SMMEs and co-operatives in line with the Investment Policy on Informal and Rural Township Economy.

“Working with Economic Development, Tourism and Environmental Affairs and Department of Trade, Industry and Competition (DTIC), we will support the implementation of the Black Industrialist Program through the provision of rental space and business funding to viable black businesspeople,” the Premier said.

R700 million accessed by KZN Black Industrialists

Dube-Ncube said in 2022/23, 35 KZN Black Industrialists were assisted to access an estimated R700 million of the DTIC Grant Fund, with 4 000 jobs created.

“The province, through Trade & Investment KwaZulu-Natal (TIKZN), attracted a R150 million investment into the manufacturing of steel drums, with a projection of 100 employment opportunities being created. Over the MTEF [Medium Term Expenditure Framework] period, the KZN Gaming and Betting Board undertakes to facilitate the creation of 2 250 jobs in the gaming and betting industry in order to address unemployment.

“In addition, the entity will provide a 45% targeted procurement spend towards businesses/entrepreneurs from townships and rural areas. Over 150 women, youth and people with disabilities through economic opportunities within gambling industry will be given opportunities,” Dube-Ncube said. – SAnews.gov.za