The Department of Cooperative Governance (DCOG) in partnership with the South African Local Government Association (SALGA) and the Commonwealth Local Government Forum (CLGF) requires the services of an experienced expert/s to develop a bankable business plan for a catalytic project for OR Tambo District Municipality. The expert/s is expected to facilitate the selection and development of a business plan and resource mobilisation plan for a catalytic economic development project. Furthermore, the expert/s is expected to support O.R Tambo District Municipality to implement the resource mobilisation plan. The assignment is part of the,’’ Supporting Local Government in Promoting Regional Economic Planning and Local Economic Development Project (2017-2021)’’, a joint project currently being implemented by DCOG, SALGA and CLGF. The project seeks to:
1) Build economic and spatial intelligence for regions and towns,
2) Facilitate implementation of Regional Economic Initiatives in selected Districts, and
3) Develop individual capacities of officials at the municipal level to facilitate regional
economic development planning in South Africa.
The Bankable Business Plan is expected to unlock resources for the implementation of the catalytic project in line with the District Development Model (DDM), South Africa Economic Recovery Plan for Municipalities in Response to COVID-19 and the OR Tambo District’s Integrated Development Plan (IDP) and Local Economic Development (LED) Strategy.
2.1 Economic Impact of COVID-19
COVID1-19 has not only created a public health crisis in South Africa; it has also severely affected the economy and the financial markets. Following the declaration of a national disaster on 23 March 2020, a national lockdown was put in place to limit the spread of the Coronavirus. The result of the lockdown has been significant reductions in income; a rise in unemployment; and disruptions in the transportation, service, and manufacturing industries. Statistics South Africa (StatsSA) reported that the economy suffered a significant contraction during April, May and June 2020. The gross domestic product (GDP) fell by just over 16% between the first and second
quarters of 2020, giving an annualised growth rate of 51% (StatsSA, Quarter 2 2020 Report).
In response to the COVID-19 pandemic, DCOG has developed the South Africa Economic Recovery Plan for Municipalities and is currently consulting sector experts to solicit their inputs before finalisation. The plan recognises that municipalities as engines of the national economy are disproportionately affected by the pandemic. It also focusses on a set of interventions that can harness the current crisis as an opportunity for change and transformation or restructuring of urban and rural economies.
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