LOCAL ECONOMIC DEVELOPMENT AND SOCIAL PLAN
Presentation to Portfolio Committee

Prepared by Mr Yusuf Patel 10 March 2003

LOCAL ECONOMIC DEVELOPMENT PROGRAMME OBJECTIVES
- Development and review of policy and guidelines on Local Economic Development;
- Providing direct and hands-on support to Municipalities and Provinces;
- Management of the Local Economic Development Fund and Social Plan Fund grants;
- Facilitating coordination management and monitoring of donor support programmes;
- Monitoring and evaluation of LED projects and economic development plans;
- Assisting in LED capacity building initiatives, and
- Facilitating and supporting communication on LED best practices.

LED Programme Structure
[Diagram not Included]

LED ACHIEVEMENTS FOR 2002/3
- Designing and Securing the Italian Local Economic Development Innovation Programme (LEDIP): a 3-year LED support programme to dplg and municipalities in the Provinces of KwaZulu-Natal, Free State and Mpumalanga:

- Securing Netherlands Fund to support 5 ISRDP Nodes in the formulation of their
Economic Development Plans: uMzinyathi & Zululand (KZN); CR Tambo and Chris
Hani (Eastern Cape) and Sekhukhune (Limpompo);

- Creative exhibition of LED projects during the Summit - which led to French delegation visiting Gauteng protects and are in the process of finalising funding support to the projects

- Supporting 95 municipal economic development initiatives - yielding 1 400 jobs, of which 1000 are short term and the rest long term

LED COMPARATIVE BUDGET TABLE
[Table not included]

- About R114 million of LEDF was voted to the LED

- Projected expenditure based on performance of the Fund sits at about R113 million
- About R1 million (0.5%) is likely to be a saving - which could be explained as related to the slow pace of LED policy process and DFID support to LED earlier this year in the professional and special services category

OUTPUTS FOR 2003/4 FINANCIAL YEAR
Support municipal job-creation and local economic development initiatives (LEDF)
Develop/process Local Economic Development policy paper and submit to Cabinet
Develop policy-based Guide Packs for municipalities on Local Economic Development
Finalising the Rural Nodes economic regeneration (social plan) programme
Implementation of the Italian Local Economic Development Innovation Programme
Develop an interactive LED monitoring and evaluation system
Support, participate and Contribute to the establishment of LED Training Standards in partnership with the LGWSETA
Facilitating / Hosting Annual Local Economic Trade Fair

OUTPUTS FOR MTEF OUTER YEARS
- Implementation of the Italian Local Economic Development Innovation Programme
- Communication of the LED policy
- Targeted training on Local Economic Development: planners. LED specialists. councillors, municipal managers, provincial bodies and other relevant stakeholders Appropriate stating of the LED Programme
- Implementation (and piloting)/operationalisation of the LED policy recommendations
- Institutionatisation of the programme
- Participation in the implementation LGSETA -accredited LED training in municipalities