Change is constant, in certain regions of the world this [...]
South African B-BBEE, a ‘forced marriage’? Aliko Dangote, a Nigerian billionaire businessman, was in Cape Town for the SA – Nigeria Business Forum. He is considered to be the richest man in Africa by Forbes Magazine. Mr. Dangote sharply criticised the black economic empowerment (BEE) laws in South Africa. They would be an obstacle for investment from other African states and a brake on intracontinental trade. Nigeria had these laws in the past, demanding that any (foreign) Investor needed a partner from Nigeria. The result of that was that the capital flows dried up.
BBBEE Dialog Seminar On 11 October 2012 a dialog seminar discussing BBBEE related issues was organised by Pholosang BEE Resolution Services in Cape Town. Following we would like to share the key points of this evening. Mr Rob Davies, Minister of Trade and Industry, was attending the discussion as the keynote speaker. First of all, the Minister introduced the audience briefly to the revised BBBEE Codes of Good Practice including former problems with BBBEE and planned changes.
Focus on black owned SMMEs Small, Micro and Medium enterprises (SMMEs) are generally regarded as crucial part of a nation’s economy and also play an integral role in creating employment opportunities. In the long run this leads not only to job creation but to wealth creation and poverty reduction. Specifically in South Africa BEE requirements are put on SMEs theoretically leading to the empowerment of previously disadvantaged South Africans.
BBBEE Advisory Council Meeting discussing amendments On September 20, 2012 South Africa’s president Jacob Zuma convened a meeting of the BBBEE Advisory Council in Pretoria, with the principle goal of reviewing the current BBBEE Act and Codes of Good Practice. Currently, a BBBEE amendment bill is under review and will be soon released for public comment. This bill aims to correct any unintended negative consequences of the Act and the Codes of Good Practice.
The New Property Charter; Levelling the Playing Field The recently gazetted Property Charter Bill which was finally signed by the Minister of trade and Industry is expected to change ownership of land in the country. The Property Charter is based on the codes of good practice on broad-based black economic empowerment (BBBEE), and promulgates that each enterprise must commit to putting at least 25% of its ownership and economic interest into the black hands, and having 25% plus one vote exercisable by black people within five years.