Capacity Building for Economic DevelopmentThis sub-programme has two workstreams:

Capacity Building of Social Partners

It is the objective of government in the medium term is to strengthen its engagement with society and with social partners. This can be achieved by, amongst other things, improving the function and capability of institutions, strengthening the participation of organised sectors of society within them, and by enhancing the capacity of representative bodies by, among others, improving their research and representative support capacity on economic development and industrial policy. Without this capacity, it is more likely that the environment for engagement will be reactive and that productive partnerships will not emerge.

The purpose of this workstream is to promote the research output and knowledge by the social partners of the economic development of sectors, and issues relating to equity and productivity through the establishment and administration of a Social Partner Fund or equivalent mechanism.

Harnessing Economic Development Expertise

The formulation of policies for a developmental state not only requires ongoing work within the state, but also the capacity to rapidly learn from international experience. A number of eminent local and international economists and policy analysts work in areas that the state could draw on, but who are not and are unlikely to become employees of the state. There is research capacity available in a number of places within and outside the state, such as research institutions, policy units, government departments and entities such as the Industrial Development Corporation (IDC) and the South African Reserve Bank as well as universities. It would be of considerable help to government if it could draw on such expertise on an ongoing basis.

The purpose of this workstream is: