Cape Correspondent

CAPE TOWN Western Cape has realigned the focus of its R18,3bn budget to concentrate on strategic priorities and goals to fit in with its iKapa Elihlumayo (a growing Cape) concept.

The "social capital strategy", which is one of the province's eight strategic priorities, received the biggest share at R9,5bn or 52% of the budget. Finance MEC Ebrahim Rasool said yesterday that the strategy would ensure that people in the province were "bulwarked against poverty".

The second-biggest allocation for the 2004-05 financial year R5,4bn or 29,9% of the budget would go towards developing the province's human resources.

This would include spending on education, with the goal of ensuring that the entire labour force in the province had the appropriate skills to enter the labour market.

Infrastructure and spatial development framework received R2,4bn (13,3%) of the budget. The allocation includes spending on housing, environmental affairs and development planning, transport and public works to provide the physical infrastructure that supports growth and targeting service delivery and regulatory interventions.

Rasool said the heart of the budget was to meet the challenge of growth skills, jobs and equity.

He said about half-a-million people in the province were unemployed, with 82% being youth, an indication of where the province's social problems lay.

The long-awaited introduction of a fuel levy for the province was now only expected to take place mid next year.

Rasool also announced a plan for major capital investment in road infrastructure over the next three years. Funds amounting to R2,4bn would be allocated for, among other things, reducing the maintenance backlog and upgrading of the N7 at Piketberg in phases to open a corridor of trade between SA, Namibia, Angola and Democratic Republic of Congo, as part of the New Partnership for Africa's Development.

Mar 03 2004 07:35:52:000AM Chris van Gass Business Day 1st Edition