Deputy President Paul Mashatile has reiterated the government’s commitment to transformative economic policies, stressing that initiatives such as Black Economic Empowerment (BEE) remain vital in empowering Black-owned businesses and driving inclusive growth.
Speaking at the inaugural Youth Investment Indaba held at the Houghton Hotel in Johannesburg, Mashatile highlighted the importance of strengthening youth participation in the economy. The event, hosted by the National Youth Development Agency (NYDA), brought together government officials, private sector leaders, development institutions, and youth-led enterprises to explore strategies for investment and inclusive growth.
Empowering Young Entrepreneurs Through Policy
Mashatile discussed the recently approved Public Procurement Act 28 of 2024, which was passed by Parliament in May 2024—over a year after receiving presidential assent. The Act is designed to reform public sector spending, promote localisation, and connect young entrepreneurs to value chains across the economy.
The legislation encourages inclusive procurement and enterprise development, allowing small and Black-owned businesses to grow as suppliers, service providers, and innovators.
“We support the implementation of this Act, as we will continue to do so with the BEE laws,” Mashatile affirmed.
He noted that Broad-Based Black Economic Empowerment (BBBEE) continues to make a positive impact, with more Black-owned companies successfully operating across sectors such as mining and manufacturing.
“South Africa and its youth need transformative policies,” the Deputy President said.
Tackling Youth Unemployment
Mashatile acknowledged the country’s alarming youth unemployment rate, pointing out that 34% of young South Africans aged 15 to 24—over 3.5 million people—are not in employment, education, or training.
“These statistics should prompt us to reconsider our role in mobilising various stakeholders and social partners to develop skills that meet the needs of the South African economy,” he said.
The Deputy President emphasised that young people must play an active role in creating their own opportunities through entrepreneurship.
“Young people must... be entrepreneurs. You must create the jobs yourselves, and we as government, with all our institutions, must support you.”
Funding Transformation and Enterprise Growth
Mashatile highlighted the government’s R100 billion Transformation Fund, which aims to expand the participation of Black-owned businesses and strengthen youth entrepreneurship. The fund is part of broader efforts to promote enterprise development and supply chain transformation.
He also mentioned the National Youth Service programme, led by the South African National Defence Force (SANDF), which seeks to develop youth as future industrialists in key sectors such as agriculture, energy, security, defence, and the digital economy.
“We must, therefore, work together to alter the mindset of young individuals by highlighting the opportunities that are available for those who choose to pursue entrepreneurship, and we must encourage them from the school level.”
Youth Inclusion in Policy and Development
Mashatile urged that young South Africans should have an active role in shaping national priorities and decision-making processes.
“The youth voice -- inside workplaces, in civic engagements, and in the public and private sectors -- needs to be elevated by policies, programmes, and interventions that are impactful.”
He reaffirmed the government’s support for the National Youth Fund, which will serve as a key platform to drive youth-led business development.
“As we launch the National Youth Fund, which is a national compact, we should inspire young people to start their enterprises. We must encourage private companies to invest in township and rural regions to establish hubs to create employment, boost local economies, and unleash young potential nationwide.”
This renewed focus on youth empowerment, entrepreneurship, and inclusive economic transformation reinforces the government’s broader goal of ensuring that South Africa’s young people become active drivers of the nation’s future prosperity.
