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News Article - Automotive
Province to benefit from government investment
Posted on: Friday, 08 August 2003. Article source: Eastern Cape Business News
TOURISM, TRANSPORT, manufacturing, farming and virtually all other types of business in the Eastern Cape and the rest of the country stand to benefit from government plans to invest in road, rail and harbour infrastructure. The final funding arrangements for the plan will need to be worked out by October, which is when the National Treasury begins putting together the Budget for 2004-05. Speaking at a media briefing in Pretoria, Trade and Industry’s Alec Erwin and Public Enterprises Jeff Radebe, revealed that the Cabinet had decided to directly finance key infrastructure initiatives, as well as support the capitalisation of projects being pursued by State-owned transport group Transnet and its subsidiaries. Radebe reported that an interdepartmental task team had been established to refine the plan, but that an additional R2- to R3-billion would be set aside by government and Transnet, over the next three years, to support the upgrading of South Africa’s over-extended railways network. In addition, some R2-billion would be budgeted in 2004-05 for new roads projects as well as billions more for harbour-equipment improvements. Government may not have to borrow the money to pay for the investments. Erwin said funding would come from within government.
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