South African History Online

President's budget debate, opening address by President Nelson Mandela
('100-days speech')

Cape Town, 18 August 1994

Madame Speaker and Deputy Speaker,
President of the Senate and Deputy
President,
Deputy Presidents,
Distinguished members of parliament,
Esteemed guests,
Comrades,
Ladies and Gentlemen,

I stand before you aware of the momentous times that we are traversing. These
times also demand of us that we regularly account to this august assembly about
the work entrusted to us by the electorate.

Much can be said about the content of the debate in the current session. On
occasion, strong language has been used to drive home strongly-held belief.
Within the limits of what is befitting of members of this House, this shows that
we have at last a robust and vibrant democracy, with broad consensus on the most
important national questions.

Down the years, human society has pitted itself against the pestilences of
poverty, disease and ignorance. Progress has been achieved while reverses have
also been sustained. It is incumbent on South Africa to be in the company of
those who have recorded more success than failure.

At the end of the day, the yardstick that we shall all be judged by is one
and one only: and that is, are we, through our endeavours here, creating the
basis to better the lives of all South Africans! This is not because the people
have some subjective expectations fanned during an election campaign. Neither is
it because there is a magic wand that they see in the new government. Millions
have suffered deprivation for decades and they have the right to seek redress.
They fought and voted for change; and change the people of South Africa must
have.

A hundred days ago, the President and Deputy Presidents of the new democratic
republic were sworn in. Our people and the whole world marvelled at what has
been variously characterised as a miracle and an epoch-making event.

Are we worthy of their trust and confidence?

Our negotiation process delivered a unique transitional mechanism which
accommodates major opposition parties in a Government of National Unity.
Further, we are, together, finding creative ways of utilising the talents of all
other parties in the task of nation-building.

Naturally, we are all striving to find the correct balance in this new
terrain.

What is crucial, however, is that we have forged an enduring national
consensus on the interim constitution and the broad objectives of reconstruction
and development. This consensus is neither an imposition of one party over
others; nor a honeymoon premised on the fickle whims of a fleeting romance. What
brings us together is the overriding commitment to a joint national effort to
reconcile our nation and improve its well-being.

The unique product of our negotiations - the Interim Constitution and Charter
of Fundamental Rights, and now the RDP - constitute the firm foundation for
launching our nation from the mire of conflict, poverty, disease and ignorance.
These agreements were reached because they were, and still are, absolutely
necessary for South Africa. They are not about to fade away like a passing
bliss.

This does not subtract from the fact that there are different constituencies
with divergent interests represented by our diverse parties. We should not be
fearful of the obvious consequence: that there are bound to be differences of
emphasis and approach on a variety of matters.

To present a facade of unity on each and every issue would be artificial,
undemocratic and patently pretentious. The more these issues are aired and
opened up for public debate, the better for the kind of democracy we seek to
build. Handled within the bounds dictated by the interests of coherent and
effective governance, such debate will definitely enrich our body politic. This
applies equally to debate within parties about how to manage this novel
experience.

From the outset, the government of National Unity set itself two interrelated
tasks: reconciliation and reconstruction, nation-building and development. This
is South Africa's challenge today. It will remain our challenge for many years
to come.

A hundred days after our inauguration, our overwhelming impression of our
reality is that:

• our nation has succeeded to handle its problems with great wisdom;
• we have a government that has brought together bitter enemies into a
  constructive relationship;
• our parliament and cabinet have properly focused on the task of
  reconstruction and development; and
• we have a government that is in control and whose programmes are on
  course.

This is the essence of our collective success - an achievement that no
sceptic can take away from our nation. In this regard, we should congratulate
all South Africans for the reconciliatory spirit with which they have handled
the transition, and for their patience, as the new government found its feet.

Yet there are problems that need urgent attention, such as violence in the
East Rand and Natal, the wanton killing of security force members, abuse and
kidnapping of children and various other crimes. Among these, the traffic in
narcotics and drug abuse need the most serious and urgent attention. I have had
discussions with the ministers concerned, and these matters are being
sufficiently canvassed in their budget debates. There can be no argument about
the need to take urgent, visible and effective measures to eradicate these
problems.

Questions have been asked about the slow pace in ending racism in some
work-places. Legislation exists or is being prepared to deal with these
problems. But, legislation on its own cannot change attitudes. We appeal to all
South Africans to ensure that discrimination, abuse and any other backward
attitudes against others, based on differences of gender, race, religion,
language or other distinctions are done away with.

The issue of a Truth and Reconciliation Commission has generated much public
debate and some apprehension. The Minister of Justice is working to achieve
broad agreement on this sensitive matter. In a nutshell, what this issue raises
is how we deal with a past that contained gross violations of human rights - a
past which threatens to live with us like a festering sore.

The question of amnesty for those who had done wrong is dealt with in the
interim constitution. The challenge is to ensure that amnesty helps to heal the
wounds of the past by also addressing the plight of the victims.

A truth and Reconciliation Commission will therefore need to operate on the
basis of certain core principles:

Firstly, it will manage and supervise the process of amnesty as required by
the Constitution, in accordance with the principle of disclosure and other
criteria laid down by the law.

Secondly, it will make recommendations on steps to be taken to ensure that
such violations never take place again; to build respect for the law; to restore
the dignity of victims and their families and provide some degree of reparation.

Thirdly, such a Commission will not be a Court nor a Tribunal. In this
respect, we agree with the view of many sectors, including the police services,
that any prosecutions and trials should be for the Attorney-General and
recognised Courts of Law to handle.

Needless to say, such a Commission will have to operate in an even-handed
fashion on the basis of non-partisan criteria.

We are confident that this balanced approach, based on consultation among all
our people and drawing on the positive experiences of other countries, will help
resolve the matter in a manner that benefits the country as a whole.

In reviewing the implementation of the Reconstruction and Development
Programme, we should keep in mind the reality that the progress that we make in
reconciling our nation will determine the pace at which this programme is
implemented. On the other hand, reconciliation will remain shallow if it is not
accompanied by thorough-going changes in all areas of life.

The RDP should, therefore, be understood as an all-encompassing process of
transforming society in its totality to ensure a better life for all. It
addresses both the principal goals of trans- formation and ways of managing it.
The RDP is not a sum-total of projects, no matter how important each project may
be. Among its major elements are:

1. Socio-economic programmes to improve the lives of all South Africans. In
   this regard, we must ensure that ordinary people are fully involved in the
   planning and management of these programmes.
2. Economic growth that is sustainable, generates employment and development
   of human resources, and is characterised by a high degree of equity.
3. Reform of institutions, particularly the civil service and the rest of the
   public sector, to make them more representative, efficient and effective.
4. An educational, scientific and cultural programme which reflects
   non-racial and democratic principles and mores.

Underpinning these objectives is our determination to utilise all resources
available to the government to their optimum without waste, duplication and
mismanagement. This is best achieved by insisting on, among other things, fiscal
discipline, re-organisation of expenditure patterns and careful planning.

There is broad consensus around all these issues, reflected in the policies
pursued by the Government of National Unity. The process now under way, to
consult widely in drafting the White Paper on the RDP, should further
consolidate this consensus and ensure that the nation as a whole commits itself
and acts as one to meet these objectives.

On the 24th of May, in the State of the Nation Address, we identified certain
projects to be carried out urgently as a token of our commitment to
reconstruction and development. We set the deadline of the 1st of September for
their implementation.

We should once more emphasise that, on their own, these projects are not the
RDP. The RDP Fund directed at these and other projects is meant to initiate
broader programmes of urban renewal, rural development, development of our human
resources, elimination of poverty and democratisation of social institutions.

One of the most crucial indices of success is how this fund is eliciting
changes in the spending priorities of government departments at all levels,
while maintaining fiscal discipline. An encouraging sign in this regard is that
a further large amount has been added from government departments, thus availing
a much larger total for special RDP projects during this financial year. The
projects identified on the 24th of May will be first phase in ensuring the
realisation of these long-term objectives.

• Free medical care for children under six and pregnant
  mothers: The response has been overwhelming because this measure was
  sorely needed. As a result, minor illnesses that would have later presented
  complications are being dealt with at the primary stage. Of course, this has
  amplified the very real problems of overcrowding and lack of facilities and
  drugs. The health department, in consultation with provinces and other role
  players, is devising appropriate strategies of handling them.
• Further, we are finalising arrangements for allocations from the RDP Fund
  and the health department for a major clinic-building programme. This will go
  a long way in alleviating the difficulties in the most depressed areas.
• We have also allocated funds for an expanded AIDS awareness and prevention
  campaign. The obvious must be stated over and over again. This epidemic has
  major social and economic implications for our nation and must be addressed
  with urgency.
• Primary school feeding scheme: Preparatory work has
  already been finalised to cater for half of the total number of primary school
  pupils in areas of desperate need. particularly rural areas and informal
  settlements. Implementation should start by the 1st of September.
• The contribution of this scheme to children's development and the culture
  of learning cannot be over-emphasised. In addition, we are examining a further
  allocation to the campaign to promote this culture. We are also launching
  major national campaigns to tackle the vast backlog in the provision of adult
  basic education and for the rebuilding and rehabilitation of schools.
• Electrification programme: The electrification programme
  is proceeding apace. Despite problems here and there, we should congratulate
  Eskom and some of the municipal authorities for the excellent work being done.
• Rebuilding townships and restoring: Plans have been
  finalised to start such projects in the East Rand, Cape Flats, Duncan Village,
  Port Elizabeth, Bloemfontein and townships in KwaZulu/Natal. Areas of focus
  will primarily be those affected by violence. An effort has been made to
  ensure balanced geographic distribution while taking into account areas where
  there are structures ready to implement the programme.

The biggest single programme to be funded by the RDP projects allocation is
the rehabilitation and extension of municipal services and infrastructure in
urban and rural areas. Combined with the outstanding initiatives with a regard
to the housing programme, this project will play an important role in
facilitating the development of legitimate local government structures.

An integrated rural development programme is also being launched. A very
large allocation of funds to these projects has already been made, with emphasis
on providing water and sanitation as well as land reform. These include:

• Water and sanitation projects serving 1,7-million people primarily in the
  Northern Transvaal and KwaZulu/Natal;
• The restitution of land to communities, affecting about 29,000 people;
• Land distribution, with sustainable settlement planning, which will
  benefit over two-thousand (2,000) families;

All these form part of land reform projects, including a programme to uplift
small farmers.

As many of these projects as possible will be carried out through the
National Public Works Programme to maximise job opportunities and provide
training. In addition, a special allocation will be passed on to communities by
the relevant ministry for infrastructural projects.

We should admit that the projects announced on the 24th of May were more or
less conceived of from the centre. We can justifiably plead pressure of time.
But we should now ensure that communities take active part in the planning,
execution and management of such projects.

Because of the ground-swell of requests from communities which are eager to
roll up their sleeves and tackle their problems, we have earmarked a special
discretionary fund of R100-million for the provinces. Its distribution among the
provinces will take into account the levels of under-development.

Details on these and other projects will be given by the Minister without
Portfolio.

Significant progress towards a sustained take-off has therefore been made.
However, this government does not claim to have all the answers. Preparation of
these projects has been a valuable learning experience for us. This is even more
crucial, because ours is a comprehensive programme, not an exercise in throwing
money at problems.

What then are these lessons?

Firstly, the RDP Fund should be seen as a temporary measure. Funding from a
special instrument should taper off as the Ministries themselves redirect their
spending and give their operations a reconstruction and development character.
The identified projects are now being subjected to analysis to ensure that their
carry-over costs and recurrent expenditure are accommodated in the 1995/96 and
succeeding budgets. Strict inter-departmental co-ordination will be crucial for
their success.

Secondly, central government can only provide the framework. Implementation
has to be carried out by local structures. It is for this reason that central
government and the provinces have put in place mechanisms to co-ordinate their
work and expedite the allocation of powers to the Provinces. The Office of the
President is paying particular attention to this, as well as the matter of
speeding up the establishment of transitional local government structures.
Without the latter, allocation of funds and therefore implementation of many of
the projects may be unduly delayed. We call on those local councils which have
not already done so, to finalise the establishment of transitional structures.
And we add our voice to the call for communities to pay for services that are
delivered to them.

Thirdly, we are insistent that the management of all projects must follow
strict guidelines, including assessment of their job-creation and training
capacity in line especially with the public works programme, community
involvement, fair employment practices, sustainability and so on. A proper
business plan which includes procedures for performance assessment, auditing,
procurement, resource costing and measures to minimise consultancy fees must be
drawn up before the funds are released.

Fourthly, government and independent developmental agencies are consulting on
the best mechanisms needed to utilise foreign donor aid in such a way that it
enhances the nation's development objectives in a systematic manner. We are
confident that consensus will be reached on all these issues and that South
Africa will provide a good example of building a strong partnership between
government, the NGO's and the donors around developmental assistance.

In addition to these lessons, two matters of principle stand out in bold
relief.

One of them is the urgent need to involve communities in a pro-active manner
in the implementation of these programmes. This requires that community-based
organisations must take up the responsibility of mobilising the people for this
purpose. Weaknesses in this area have, for instance, delayed the introduction of
the primary school feeding scheme. In this regard, the role of parliamentarians
in mobilising for, and monitoring, the actual implementation of RDP projects
needs to be closely examined.

The second crucial question pertains to the task of ensuring that the public
service becomes a servant of the public in fact! We commend members of the
public service who have demonstrated their loyalty to the new government and
their preparedness to adapt to new conditions.

In line with the new reality, and within the parameters of the interim
constitution, the following measures require urgent attention:

• restructuring the service so as to make it truly representative of South
  African society;
• developing links between the service and the public through various fora
  of consultation;
• inculcating a culture for employees to take pride in serving in outlying
  and underdeveloped areas;
• simplifying the grading system and making a public service career more
  challenging and attractive; and
• restructuring the salary package, sensitive both to qualification and
  merit, and the unacceptably wide gap between the lowest and highest grades.

The Department of Public Administration is attending to these matters,
particularly through the proposed forum between government as employer and
public service organisations. A new orientation and motivation within the
service will be crucial in the realisation of the nation's development
objectives.

The spirit of public service needs to permeate all levels of work, including
the intelligence community. The Intelligence Bills that will soon be tabled go a
long way in ensuring this. What is needed is adherence to the letter and spirit
of the constitution, including in particular, commitment to the protection of
the country's interests and recognition of the rights of all citizens. This
requires among other things the rapid dismantling of all the networks which kept
members of the public under surveillance simply because they were opposed to the
government of the day. I am receiving comprehensive briefings on all these
matters and I will make public announcements in due course.

All these issues emphasise the fact that we have some distance to travel to
achieve the objective of transforming South African society. Government
departments should be seen to lead this process.

In this regard, I should congratulate all the national and provincial
departments and services - including the National Defence Force, Police and
Intelligence Services - which have over the past months spent long hours and
sleepless nights to bring about rapid changes in their areas of work. The
reports I have recently received from national departments and Provinces show
deep commitment and enthusiasm, and they give one the confidence that we shall
succeed.

In line with the objectives of the Reconstruction and Development Programme,
we will, by the end of the year, require clear medium-and long-term strategies
from all departments and Parastatal institutions on mechanisms of shifting their
operations to meet the requirements of reconstruction and development.

Many comments have been made about inadequacies in the current budget. Yet
there is also unanimity that the first steps towards fundamental restructuring
have been taken. The cabinet started last week to discuss guidelines for the
1995/96 budget. We are confident that more fundamental restructuring will be
introduced, without undermining the requirement for fiscal discipline. In
working out detailed allocations to current RDP projects, we have ensured
thorough co-ordination with the Department of State Expenditure and the Central
Economic Advisory Services, so that RDP expenditure is properly built into the
budget process.

As indicated by the Minister of Finance, we will seek to involve
parliamentary committees in the formulation of the 1995/96 budget. This will not
only be democratic and transparent. It will also allow for joint responsibility
among all sectors of government.

I should take this opportunity to thank Minister Derek Keys for the splendid
work that he has done in meeting the challenges of the new situation. I am
confident that his successor, Chris Liebenberg will acquit himself well, for the
benefit of the whole country.

Many opportunities have opened up for South Africa to exceed even our wildest
expectations. But this requires that we all take up the cudgels and consciously
change our paradigms.

For instance, it is not enough for business to concern itself with how its
interests are protected under the current dispensation. Rather business should
be part of the process of determining policy, with the full realisation that
this entails both gearing business towards the objectives of growth and equity
and ensuring active participation in the socio-economic programmes to uplift the
disadvantaged.

In the same vein, workers do have to advance their interests through the
collective bargaining system. At the same time, the new situation obliges all of
us to take on board the broader questions of increased investments, investor
confidence and requirements of economic growth and equity.

Both the labour movement and large and small businesses should be fully
involved in developing strategies for successful economic growth and equity, as
partners with government. Such an understanding is fundamental to the success of
the RDP, and its precise character will be explored as we work together in
tri-partite structures. The critical merger of the NMC and NEF into a National
Economic, Development and Labour Council will allow of such joint government,
labour and business strategies to ensure a vibrant and growing economy.

The economic signs are encouraging, and the upswing is steadily
consolidating. A growth rate of more than three per cent is no longer a
pipe-dream. But this depends on co-operation among all sectors of the population
in finding solutions to any constraints on economic growth, development and
equity.

Already, the interest of the world in South Africa is being translated into
concrete economic deeds. Together, through consistent policies and actions, we
have gained and continue to gain the confidence of the international community.
However, international support will be of value only if it helps us to set our
economy on a steep and consistent growth and development path. This is the sure
guarantee to the success of the Reconstruction and Development Programme.

There is no doubt that we have the capacity as a nation to realise these
objectives. The people want real change for the better, and they are prepared to
work for it. They expect of representatives in community structures and in
parliament and government, leadership that meets the requirements of the times
we live in. They have elected us into office because they trust that we will
meet their aspirations. The progress made in these 100 Days bears testimony to
the great potential that exists.

Let us harness the nation's energies to more rapidly develop and reconstruct
our country. In this way, our society will experience meaningful and lasting
reconciliation.

Thank You.