President Cyril Ramaphosa’s enactment on 23 July 2024 of three new pieces of legislation poses grave threats to the economic environment.

Once implementation by the multi-party government starts, the Public Procurement Act, National Small Enterprise Amendment Act, and Climate Change Act will increase the cost of doing business in South Africa while accelerating state failure.

Each is potentially harmful on its own and all add to an ominous series of legislative threats along with the recently signed NHI Act, employment equity regulations, and third-wave BEE directives.

• President Cyril Ramaphosa’s enactment on 23 July 2024 of three new pieces of legislation poses grave threats to the economic environment.
• Once implementation by the multi-party government starts, the Public Procurement Act, National Small Enterprise Amendment Act, and Climate Change Act will increase the cost of doing business in South Africa while accelerating state failure.
• Each is potentially harmful on its own and all add to an ominous series of legislative threats along with the recently signed NHI Act, employment equity regulations, and third-wave BEE directives. Businesses would do well to anticipate the effects of the attempted implementation on their operations as well as on implications for the stability of the multi-party government.

The Public Procurement Act, signed today, is a recipe for accelerated state failure. This Act seeks to severely restrict state entities' procurement choices, increasing expenses and diminishing service quality whilst potentially facilitating corruption on an unprecedented scale. The Act is both unconstitutional and harmful. Full press release: https://sakeliga.co.za/en/procurement-act-a-recipe-for-accelerated-state-failure/