Question NW424 to the Minister in the Presidency

Reply:

In 2013 the Cabinet resolved that the 2014-2019 (Medium Term Strategic Framework) MTSF should form the first five-year implementation phase of the National Development Plan (NDP) and mandated different organs of the state to begin aligning their plans to the NDP vision - 2030. The aim of the MTSF is to ensure policy coherence across government as well as the alignment between planning and budgeting processes. The MTSF outlines programmes and key interventions to growth, employment and investment, particularly in core productive sectors. The interventions under the MTSF complement other policies such as the New Growth Path and the National Industrial Policy Framework that already exist.

The current global and domestic economy remains weak. Economic growth essentially stagnated in 2016 and there might be a modest recovery in growth towards 2.0% by 2020. Unemployment rates are likely to remain high with lower growth. As part of the global economy, South Africa is not immune to the challenges facing other countries. A number of sectors earmarked for growth and employment are affected by these external factors. These include lower commodity prices and global steel oversupply. These developments necessitated government to evaluate all policies, strategies and programmes interventions with a commitment to stabilise some of the affected sectors. Global economic challenges have had major impact on the implementation of key government programmes and commitments during the period under review. Despite the weak economic environment, the commitments made by government under Outcome Four: Decent Employment through Inclusive Growth are being implemented and progress is being recorded in key sectors of the economy.

The Department of Planning Monitoring and Evaluation (DPME) provides quarterly updates to the Executive on the progress made by the government in realising the objectives set out in the 2014-2019 MTSF. In addition, DPME quarterly reports, identify challenges and determine how best to address them in the remaining years of the 2014-2019 MTSF. The department also provide guidance on the implementation of government’s programme of action and identify critical lessons for an effective implementation of the NDP, 2030. This includes the 9-point plan that was announced by the President during the 2015 State of the Nation Address to fast track the implementation of the MTSF.