Maphumulo IDP - KZN Development Planning

4.2.2 THE NEW GROWTH PATH4.2.2.1 IntroductionThe government is committed to forging the growing consensus that creating decent work,reducing inequality and defeating poverty can happen only through a new growth path,and leading the way by:Identifying areas where employment creation is possible on a large scale as a result ofsubstantial changes in conditions in South Africa and globally.Developing a policy package to facilitate employment creation in these areas, aboveall through:A comprehensive drive to enhance both social equity and competitiveness;Systemic changes to mobilise domestic investment around activities that can createsustainable employment; andStrong social dialogue to focus all stakeholders on encouraging growth in employmentcreatingactivities.The New Growth Path must:Provide bold, imaginative and effective strategies for job creation;Lay out a dynamic vision as to how a more developed, democratic, cohesive &equitable economy and society can be collectively achieved in the context ofsustained growth;Require creative and collective efforts of all section of South Africa society;Require strong leadership and governance;Take account of the new opportunities, our strengths and our constraints;Change the character of the South African economy to ensure that benefits are sharedmore equitably by everyone.Achieving the New Growth Path requires that we address key trade-offs, some of which are:Between present consumption & future growth, since that requires higher investment &saving in the present;Between the needs of different industries for infrastructure, skills & other interventions;Between policies that promise high benefits but also entail substantial risks, and policiesthat are less transformative & dynamic but are also less likely to have unintendedconsequences;Between a competitive currency that supports growth in production, employment &exports & a stronger rand that makes imports of capital & consumer goods cheaper;andBetween the present costs & future benefits of a green economy.4.2.2.2 The New Growth Path FocusThe focus of the Growth Path can be summarised as follows:The New Growth path identifies where employment creation is possible, both withineconomic sectors and cross-cutting activities, then analyses policies & institutionaldevelopments required to take advantage of these opportunities.The aim is to target our limited capital and capacity at activities that maximise thecreation of decent work opportunities.The main indicators of success will be: jobs, growth, equity and environmentaloutcomes.__________________________________________________________________________________________Maphumulo Integrated Development Plan (IDP) 2012 - 2013Final June 2012Page 67 of 142