Economic development and job creation strategy 2013 2018

ECONOMIC DEVELOPMENT & JOB CREATION STRATEGY DURBAN @ WORK NOV 27 PRESENTED BY DR AJIV MAHARAJ POLICY ALIGNMENT NATIONAL NDP, NGP, IPAP, SONA, BUDGET SPEECH, INFRASTRUCTURE, SECTOR SPECIFIC (SEZ BILL, SECTOR PLANS) PROVINCIAL PDGS/P, PSEDS, SOPA, INDUSTRIAL, EXPORT, COGTA URBAN DEVELOPMENT FRAMEWORK, etc LOCAL LTDF, IDP, SECTOR PLANS CONTEXT AFRICA GLOBAL RECESSION EMERGING MARKETS INVESTMENT PATTERNS SADC NATIONAL PROVINCIAL ROLE OF ETHEKWINI TRIPLE CHALLENGE YOUTH SKILLS SLOW GROWTH OF PRODUCTIVE SECTORS PRODUCTIVITY ENTREPRENEURSHIP APARTHEID CITIES INFRASTRUCTURE LOGISTICS COSTS REGIONAL APPROACH Decision Making CHALLENGES Insular Approach Cost of Doing Business Infrastructure Limitations Government Finances Growth in Fixed Investments Income & Consumption Low Levels of Trade & Production Growth of Labour Force SMME Development DEPENDING HOW WE RESPOND3 SCENARIOS EMERGE KEY AREA FLOAT Strategic Investment Strategic decisions Driven by external made operationally forces – “why should this not happen” approach Infrastructure Address social backlogs Lack of funding for economic infrastructure CHOKE No expansion, protect areas against development Long-term phasing for infrastructure Sweat existing assets only Fixing problems FLY STEP CHANGE Strategic decisions made strategically – Forum to resolve issues and look at how can the right investments be made possible Operational to strategic ‘Can’t do’- to – ‘can do’ DEVELOP ONE CITY PLAN PPPs for infrastructure provision Expand base & sweat infrastructure New areas for expansion and develop regional approach e.g SEZ Infrastructure driving decision/strategic priorities- to –strategic decisions driving infrastructure priorities Work through partnerships Economic Leadership Uncertainty, delay Decisions to contain in making decisions investments Economic mandate gets sidetracked onto social and environmental issues Well informed decision-making; city leadership is in touch with business & thinkers and is responsive to challenges From uncertainty – to politicians well informed and driving policy in partnership with officials & stakeholders Strategic Planning Insular focused and Insular and infrastructure constrained constrained Regional and ambitious; progrowth and job creation Insular and constrained to regional approach and solutions driven VISION Africa’s Most Liveable Southern Gateway Destination to Trade Travel OUTCOMES MISSION Reduced Unemployment Reduced income and spatial inequality and poverty Creating Sustainable Economic Growth and Development Becoming a Global Metropolis over the next 20 years Make a step change in approach of economic leadership in delivering catalytic growth initiatives and quality job creation efforts that address poverty, income inequality and unemployment Capitalising on the role of the port, international airport and potentially modern rail, road and ICT connectivity and infrastructure Promoting the city as the centre for trade between African and the world Africa’s Most Liveable Southern Gateway Destination to Trade Travel Emphasising the Developing the lifestyle potential of the City as aspect of the area for the best location for its residents and manufacturing activity tourism potential GROWTH TRAJECTO RY PER YEAR PHASE • Unblocking key developments • Packaging of land in inner city • Implement industrial park projects • Township projects • Innovation centre and technology park developed • Trade centre under construction • Improved investment environment for large and small firms • DTP SEZ becomes operational and some growth around DTP •Large investments in bulk infrastructure • groundwork geared to unlocking N3 corridor in future phase • Nodal developments and IRPTN • Special focus on youth, social economy and micro LED •Transformation •SMME drive 2013-2018 Manufacturing sectors; innovation (and ICT); Logistics, Tourism • Key locations along N3 unlocked and growth happens in Durban –Pmb Corridor • Further growth around DTP • Infrastructure to unlock growth • Phase DIA Dig-out • Construction of freight route • unlocking land along freight route • Development of Logistics hubs begin • Industrial renewal work in SDB • SMME drive • Last industrial areas unlocked • Integration along Durban – Pmb and Durban – iLembe corridors • Promote Development along freight route •Commercial and residential densification High investment in skills towards gearing of forthcoming phase High investment in infrastructure to unlock growth 2018-2023 2023-2028 Logistics; Manufacturing, Green Economy; Construction, Tourism Logistics; Manufacturing, ICT, Tourism, Green Economy • High growth in services sectors (Logistics services; professional services; finance; ICT; Tourism) • Regional integration/ City region • Green economy becomes major sector • purely competitiveness & innovation focus on manufacturing • Densification 2028-2033 Logistics, Tourism, Green Economy, ICT, Finance & Trade KEY PROJECTS NEW CATALYTIC PROJECTS EXISTING CATALYTIC PROJECTS REGIONAL AND COMMUNITY PROJECTS Bulk Infrastructure to unlock development in the north (greater DTP) Dig Out Port Re-focus Nodal Programme N3 Corridor (Hammarsdale, Cato Ridge Back of Port Renewal Re-focus Township Programme Automotive Park Freight Plan & Route Re-focus Tourism Programme Center for Innovation Support IRPTN Nodal Development Industrial Renewal Industrial Sector Projects World Trade Centre Re-Focus Rural Nodal Programme Inner City Revitalisation Unlock key Private Developments 10 Employment: 400 Annual Rates: R70m Employment: 900 Annual Rates: R378m Employment: 000 Annual Rates: R133m R15bn – R20bn Total Anticipated Investment Durban Investment Dashboard November 2013 INSTITUTIONAL AREAS FOR FOCUS 12 INSTITUTIONAL AREAS FOR FOCUS Partnerships with Industry and Leadership by Council ADDITIONAL 23 000 JOBS ANNUALLY SUSTAINED GROWTH OF 4% TO 7% P.A REDUCE GINI FROM 0,62 TO 5,8 BY 2018 13 JOBS GROWTH INEQUALITY WAY FORWARD DEVELOP A YEAR ECONOMIC PLAN TO LINK TO IDP REVIEW IMPLEMENTATION MECHANISMS TO IMPLEMENT THE STRATEGY INCLUDING SPVS MONITORING AND EVALUATION 14 THANK YOU For your attention! DURBAN @ WORK [...]... November 2013 INSTITUTIONAL AREAS FOR FOCUS 12 INSTITUTIONAL AREAS FOR FOCUS Partnerships with Industry and Leadership by Council ADDITIONAL 23 000 JOBS ANNUALLY SUSTAINED GROWTH OF 4% TO 7% P.A REDUCE GINI FROM 0,62 TO 5,8 BY 2018 13 JOBS GROWTH INEQUALITY WAY FORWARD DEVELOP A 5 YEAR ECONOMIC PLAN TO LINK TO IDP REVIEW IMPLEMENTATION MECHANISMS TO IMPLEMENT THE STRATEGY INCLUDING SPVS MONITORING AND EVALUATION