Ex-mining boss to head ‘red tape team’ to boost small business

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“If we are to make progress in cutting unnecessary bureaucratic delays for businesses, we need dedicated capacity with means to make changes.'

Delivering his sixth state of the nation address, Ramaphosa said the “red tape team” will go a long way to ensure small and medium businesses thrive.

He also announced financial support for small and medium businesses affected by the unrest and looting in July last year and by the Covid-19 pandemic. This loan scheme will assist businesses to bounce back. It will be similar to the one put in place during the pandemic. He said the loan had not operated the way he would have liked, but the government had drawn lessons and refined it.

“This year we are undertaking far-reaching measures to unleash the potential of small businesses, micro businesses and informal businesses. These are the business that create the most jobs and provide the most opportunities for poor people to earn a living.” According to Ramaphosa, discussions were under way to see the introduction of the loan scheme. He said minister of finance“This new bounce-back scheme incorporates lessons from the previous loan guarantee scheme which did not work as well as I had anticipated when we launched it under the stimulus programme we launched, which was quite unprecedented in the history of our country.”

 

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