a dynamic and creative economy in south africa:...
TRANSCRIPT
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Presentation by: Yusuf Patel
14-16 APRIL 2010
New Delhi, India
A DYNAMIC AND CREATIVE ECONOMY IN SOUTH AFRICA:EXPLORING RURAL-URBAN LINKA GES
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�Purpose of Paper
� Introduction
�Spatial and Settlement Structure in South Africa
�Concentrated Growth Patterns
�Rural Development as Government Priority
�New Role of Regions – Creative Economies
�Conclusion
Contents
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� Describe national space economy in SA & emerging
urbanization & migration patterns
� Show how both rural & urban areas are interdependent
& reinforcing this interdependence is a prerequisite for
a more dynamic & creative national economy
� Define & explore the meaning of ‘Creative” economy
� Explore how endogenous local economic development
& national programs can be mutually reinforcing
Purpose of Paper
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INTRODUCTION
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Introduction
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SA remains one of the most unequal societies in the world:
• Spatial justice in context of unique and deliberate apartheid spatial
engineering legacy
• Large structural unemployment challenges and high levels of spatial
inequality
• Half of population survive on 8% of the national income
• Official unemployment rate is 24,3%
• One in four adults and almost half of the youth aged between 15
and 24 have never worked
• Under the age of 35 account for 73% of the unemployed
• Poverty in both rural and urban areas
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SPATIAL AND SETTLEMENT STRUCTURE IN SOUTH AFRICA
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Spatial and Settlement Structure in SA
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Category Number of Municipalities
Total number of households(million)
Number of poor households
Total GVA (2004)% of national(2004)
Universal Household Access to all 4 Basic Services, 2007 (water, sanitation, electricity, refuse removal)
More than 90%
Bet. 60-89%
Bet.30-59%
Less than 30%
A 6 4,7 35,5% 58,9 1 5 - -
B1 21 2,2 41,5% 18,4 1 13 5 2
B2 29 1,1 43,9% 6,9 3 13 10 3
B3 111 1,6 51,8% 9,1 4 53 34 20
B4 70 2,9 73,5% 6,4 - - - 70
C1 25 (3,8) (44,4%) 0,3
C2 21 (3,9) (66,1%) 0,0
Total 283 12,5 55,9% 100% 9 84 49 95
Source: CoGTA, Local Government Turnaround Strategy (2009)
� 12,5m households in 283 municipalities in SA
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Spatial Landscape of SA
Municipal Spatial Differences:
� Border municipalities
� Coastal & inland municipalities
� Vast & sparse municipalities
� Small & dense municipalities
� Urban – rural municipalities
� Natural resource –endowed municipalities
� Bantustan legacy municipalities
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Provisional typology of settlements in South Africa
Number of places
Population(% of national)
Economic activity (% of national GVA)
People living under a minimum level of living (%
of national)Gauteng city region 1 22 39 14Coastal city regions 3 16 25 10Cities 5 6 5 6Regional service centres
41 14 15 14
Sub total URBAN as a % of National
58% 84% 44%
Service towns 44 4 3 5Local and niche settlements
600 9 5 12
Clusters and dispersed rural settlements
21 2 31
Farms/rest of SA 8 6 8Sub total RURAL as a % of National
42% 16% 56%
Source: Adapted from research produced by the CSIR (2008) to inform a national urban development framework.Note that a stricter definition of “urban” is applied in this adaptation than that used by the CSIR.
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CONCENTRATED GROWTH PATTERN
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on Most economic activity (88%), involving the majority of the population (71%) is concentrated on a small part of the
country’s surface area (7%)
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Concentrated Growth Pattern
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• Institutionally the “Developmental State” is weakest in rural areas but capability for urban growth managementis also a challenge
• The Poor move between rural and urban areas as part
of rational household survival strategy
• Raised income level is main pull factor to cities
• Movement patterns are complex and require policies
that are responsive to the diverse decision-making of
households
• Gauteng’s position and impact requires serious
consideration
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RURAL DEVELOPMENT AS GOVERNMENT PRIORITY
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Rural Development as Government Priority
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Economic transformation goal of the Ruling Party (ANC):
• A thriving and integrated economy
• A mixed economy
• Developmental State – South African Context
• Engage private capital strategically and be rooted amongst the
people
• Balanced development
Rural Development as one of the key priorities:
Comprehensive rural development strategy – (rural-urban
nexus)
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Rural Development as Government Priority
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• The challenge for South Africa lies in designing a new rural development
strategy that is mindful of the broader objectives of stimulating faster and
shared growth in the overall economy, by addressing constraints and
structural impediments to industrialisation.
• The danger may be to focus on spatial redress in a narrow or
oversimplified sense by top-down prioritisation rather than stimulating and
unleashing endogenous creativity of various municipal areas or regions.
• The other associated danger with ‘balanced development’ is to spread
out public sector resources too thinly across too many areas, thereby not
creating a critical mass of investment to catalyse long-term sustainable
development
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Development PerspectiveNational Spatial e (NSDP,
2006)
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Principle 1: Rapid economic growth
Principle 2: Provision of basic services to all
Principle 3: Focus spending on fixed investment on localities and/or
economic potential
Principle 4: Efforts to address past and current social inequalities should
focus on people, not places
Principle 5: Channel future settlement and economic development into
activity corridors
The NSDP is contentious in South Africa and seen as urban-biased
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Shared Space Concept
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•District and metropolitan municipal areas in South Africa are the ideal
regional arenas where alignment across government and local civil
society can be expressed in the District and Metropolitan level
Integrated Development Plans (IDPs).
•It is recognised that regional planning and development extends
beyond administrative municipal boundaries and irrespective of the
future of district municipalities, the geographical areas of focus at this
or other similar scale is still relevant due to their demarcation on the
basis of fulfilling some level of economic functionality criteria.
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NEW ROLE OF REGIONS – CREATIVE ECONOMIES
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New Role of Regions –Creative Economies
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•Increasing importance of regional development in context of
globalisation
•For some an opportunity for others regions are conduit to feed global
capitalist agenda
•“Creative” regional/local economies – defined more broadly than
“creative industries” such as music, fashion, design etc.
•It is about focussing inwardly on local resources/ culture/
history/resources to position territory outwardly taking advantage of
global trends/demand/needs.
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2020
THANK YOU
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