During the National Party's rule there were very strict currency regulations. Exchange
control made it very difficult for people to take their money out of the country. After 1994
the ANC adopted this legislation also, because they feared that the whites would take
their money out of the country. South Africans were denied the opportunity to invest
abroad.
Despite all the regulations and restrictions, people do find ways and means to move
their funds after the independence of Southern Rhodesia, now Zimbabwe, for example,
tourist from SA went on holiday to Zimbabwe and in Bulawayo they received as many
Zimdollars as they needed for their holiday. On their return to SA they deposited SA
rand into these people's bank accounts. Businesses that imported and exported, from
Zimbabwe, over invoiced..
Foreign investors and donors, however, exerted a lot of pressure on the ANC
government to ease exchange control. Steps were taken by the government several
times to ease the exchange regulations. Today a person can transfer up to R5 000 000
per annum out of the country provided that your tax affairs are in order.
Because of the excessive spending of the ANC government, strikes and political unrest
during the past few years, we find that the SA Rand weakened drastically against
foreign currencies
The exchange rate of the rand was as recently as 2011 still at R6, 50 / $ and it has
fallen to R11, 00 / $ today, about a 70% depreciation. This implies that import prices
have risen dramatically, with a resultant increase in product prices.
It is a disadvantage for persons to buy us dollars in order to get funds out of the country
because they need to pay more for their dollars. The volatility of the rand also means
uncertainty, and some economists have predicted that the level can decrease to R15.00
/ $. The influence of the weak rand has a tremendous impact on our fuel prices and
resulting consumer prices.
It is argued that a weak rand in turn is beneficial to our exports. It is true to a certain
extent. If we analyze the situation we find that the cost of our products destined for
export is high because of our extraordinary wages and other high input costs. Add to
that the low productivity of our workers and now we can no longer compete .As a result
of the ongoing decline in the productivity of workers, we find that the imported goods are
sometimes cheaper than domestically produced products A recent survey have shown
that we are 45th out of 46 countries, as far as our productivity goes. Pressure by trade
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unions with regard to job performance, and poor training (scholastic included) also
contribute..
Government policies to support the automotive industry in South Africa are
commendable, and for a number of years it was a major source of foreign exchange
brought about by their exports. The last few years, however, the industry suffered
strikes with a decrease in production, and deliveries could not be done within the time
frames, thereby losing markets, BMW announced that they abandoned their 100 million
rand expansion in SA. Here we are also moving backwards!
Agriculture was one of the great champions of the South African economy as far as food
security, foreign exchange and employment concern. Within a space of 15 years the
number of commercial farmers in South Africa dropped from 66000 to 22000. A few
months ago we saw the destructive trail of the trade unions and the untimely
intervention of the ANC and the government with the unaffordable minimum wage
determination for agriculture. The effect will be reflected in the agricultural
mechanization which will result in more job losses and more unemployed people with
the associated social problems.
The relaxation of the exchange regulations are still in place, but it can be tightened any
time and thus preclude the options for the emigration of funds for South Africans,
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Chapter 8: The Effect of Political Change in 1994
8.1 On the Whites in South Africa
Many whites supported the change, and in the referendum in 1994 they voted in favor of
change .They believed that the rainbow nation will be able to live well together Between
20% to 30% of the white population, mostly non Afrikaans speaking people emigrated
to Australia, New Zealand, Canada and Europe. Other white South Africans would
certainly have taken the same route if they had the resources and if they complied with
the immigration requirements of these countries.
It is a fact that the whites today are much less optimistic about the future than was the
case 10 years ago. The reasons are the increased levels of stress including the
increase in crime (murder, theft, fraud, etc.) Personal safety is threatened, and even the
police are contributing to the uncertainty.
A different aspect of the social and environmental factors adding to the unhappiness of
the conservative Afrikaner includes that pornography is legal, abortion on request, is
acceptable and gay marriages are allowed. Even the content of publications and media
reports is alien to the white South Africans You often hear people saying that they feel
like strangers in this beautiful country of ours.
Something remarkable in the last few years is the fact that, some whites have become
lazy. A spirit prevails, of the law is made to be broken. It was shocking to learn that only
8% of all traffic fines are paid. National pride does not exist anymore.
The concept of a rainbow nation is nonsense. A lion is a lion and a leopard remains a
leopard. That is how the Creator created them. They can never blend. They can stay
and live together but each group must retain its own identity.
8.2. On the black population in SA
Chief Buthelezi said several times that the African people are now worse off than before
1994.Black people on the left of the spectrum claims the same.. Unemployment and
poverty have increased tremendously, and it's the black people that are suffering most.
The leaders of the liberation movement created a false illusion for the black people.
They were promised that every person will get a house a job, a car and a refrigerator
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and so on. What they should have promised them was that they will have a voice in
the election of a government .After twenty years in power only a small part of the forty
million black people are better off today Even today the black leaders still make the
same promises of houses ,jobs, land etc but nothing materialize. Best of all is that they
believe it when elections come around. Protests against poor service is a daily feature If
you ask these protesters why they are protesting, but on the other hand they elect the
same people to govern, they reply that they vote for the ANC and it is the government
who is responsible for the poor services and not the ANC They cannot understand that
it is the same people.
Black people believe that someone should care for them for this reason they always
reminds International organizations of their responsibility.
The South African black population is deeply unhappy and they express it continuously,
yet they remain tolerant of these exploitative leaders. Let us take the example of Jacob
Zuma.Last year it was pointed out that he made R246millon improvements to his home
in Nkandla, under the pretext that it was necessary for the upgrading of the security of
his home. This was done while the inhabitants of the country are plagued by enormous
poverty. If this happened in any western country the voters at the earliest opportunity
would have dismissed him. Also shocking is the fact that no one wants to accept
responsibility for this event.
The question arises, namely how long will the silent majority and the unemployed
people still accept this state of affairs?
For many centuries, the chiefs in Africa reigned over their subjects It is still the case in
SA but to a much smaller extent If Mandela did not descend from one of these chiefs I
am not so sure that the chiefs would have joined the new dispensation. Something
tells me that the Zulu king will some time or another in the future claims his place as
chief of the eight million Zulus. We may again see an area for the Zulus (Natal), and an
area for the Xhosas (Eastern Cape). Then you ask whether Carl Boshoff was wrong
with the establishment of Orania for only white people? The only problem in SA is that
urbanization and crossbreeding complicates things due to intermarriage,
Although the impression is created by the election results that the black people are
united, it is all but the case. They are not a monolithic block. Differences between poor
and wealthy black people have become larger in the new South Africa. It is only a small
though growing black middle class group that benefits most from the new dispensation
and it is they who are now coming into the focus of Malema and his friends.
A high percentage of black people, especially the younger voters abstain from voting,
because they refuse to vote for the government party or any of the other political
parties.
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8.3 On the colored population
Despite the rhetoric of a rainbow nation, we find that the colored people once again are
losing out in the new dispensation The National Party made efforts to accommodate
them through the three chamber policy. The vast majority, however, were not pleased
with this arrangement , and in the 1994 election decided to pool their efforts and voice
behind the ANC and other black parties.
Already in the 1999 elections, after the takeover by the ANC in 1994, they discovered
their raw deal and they began to promote their own political movement and party. They
formed the Independent Democrats (ID party) and won a few seats in parliament. After
some time it was decided to form a coalition with the Democratic Party and the new
arrangement was more beneficial for them in the Western Cape, due to the fact that the
provincial government is now under DA control that looks better after their interests.
8.4 On the Apartheid Policy
In 1948 the National Party defeated the United Party of General Jan Smuts in the
general election and a series of new legislation were introduced to promote the policy of
apartheid Under apartheid, people of different races were separated Homelands were
established where black people got the right to vote and to elect their leaders.
The policy brought infinite suffering to millions of South Africans through forced
removals, limitation on movement and employment.
Apartheid also hampered the economic progress especially of black people. While the
white minority experienced a very high standard of living, in many respects similar to the
first world, the black majority were left behind in terms of almost every possible
measurable standard, including income, education, housing, and life expectancy.
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For many years, the residents of this beautiful country lived with the great lie. We were
told that apartheid was the best political dispensation for all the people. White people
would have exercised its politics in white South Africa, while the vast majority of black
people exercised their politics in the impoverished homelands. We were taught that the
white people would act as the patriarch and look after the welfare of non-whites.
History has shown that it was not possible that 75% of the population be happy with
13% of the land I remember very well the phrase "it's only a matter of time ,then the
numbers will take over” We did not believe it, and lived as if things will never change
and the situation would last forever
Now we live with another big lie and the population is made to believe that the ANC will
always act as the parents who have the interest of their followers at heart. The promises
made did not materialize and only family and friends are benefiting and new black elite
is established. The majority is suffering and it is these people who will ultimately make
the country ungovernable.
Apartheid became increasingly controversial in the international arena and it eventually
lead to sanctions against SA as well as isolation and disinvestment accompanied by
increasingly unrest and civil disobedience. Many people were killed and this finally led
to the change in the political dispensation.
The country was in turmoil due to a combination of international boycotts and economic
sanctions, strikes, protests, and sabotage. In 1990 the National Party took the first steps
to a negotiated settlement when they met with the ANC and other political organizations
which led to the unbanning of Nelson Mandela after 26 years in prison.
In South Africa, the attack against the policy became more severe and extended to the
schools and youth I remember the day when Hector Pietersen and other children
rebelled against the school system and the chanting of "Liberation now and Education
later". Notwithstanding the fact that he was shot by the police, it was the beginning of
change.
The aforementioned shows that there was a culture of civil disobedience against the
authorities. A culture of disobedience that grew and became part of the way of life in SA
today and this put together with a denial of acceptance of responsibility has taken root;
Theft under the guise of "bread" is an accepted norm among black people who claimed
that they are entitled to it as it belongs to them. I dismissed many black employees,
even senior people for theft and fraud.
Another unacceptable behavior that appeared over the years is the nonpayment of
outstanding debt to the government. In the private sector, legal action is taken against
culprits but not in the public sector. The outstanding debt to the public sector amounts to
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billions of rands.Now we find that the local authorities, in turn, does not pay their debts
The process of non-payment undermines the economic system and will lead to the
collapse of the country's economic system.
After the elections in 1994 the ANC government scrapped all the laws on the statute
book pertaining racial segregation,
For years, apartheid was blamed by the black leaders and used as an excuse for
failures and mistakes Today after 20 years of democracy you still hear it but it may well
be said that it is much less ..
In the new dispensation however, we now find a new form of reverse discrimination.
The negotiations which took place before 1994 led to a new constitution that provides
solid protection for human rights. Unfortunately the constitution does not protect white
people in the field of the working area including the private sector. The constitution
allows the government to legislate on issues such as black economic empowerment
and affirmative action. This means that many white people cannot find a job because of
the racial quota system.
8.5 On The economy with special reference to the Infrastructure
Since 1994, with the transition to democracy and the transition to a freer market system,
the maintenance of the South African infrastructure came to a violent halt. Before 1994
maintenance was done functionally and the infrastructure was properly maintained. This
included the railways, roads and public transport that were under state control, The
ANC as the new ruling party totally neglects it today.
Since 1994, very seldom new infrastructure projects were build or existing ones
maintained .As a result, the railway, which was considered back in 1992 as the
backbone of the South African economy, moved backwards and the railways are
considered as unreliable with the result that a large percentage of the freight
businesses was turned to road transport, which is more reliable. Unfortunately, it has a
devastating effect on the roads which were not built for these heavy trucks plus their
load,
The policy of the ANC to provide every household in the country with electricity put
pressure on Eskom's capacity and today we experience regular blackouts. The projects
to generate additional power also slowed as a result of constant strikes by the
workforce. New economic investment and thus job creation is also hindered by this.
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To meet the country's future power needs, new power plants will have to be
constructed. Eskom raised a loan from the World Bank for almost four billion us dollar to
build the new Medupi power plant (the budget was two point six billion US dollars.)
Critics also pointed constantly out the effect of the high carbon dioxide emissions from
coal fired power stations and the consequent global warming, but the government
ignored it and has given little attention to alternative power generation.
Similar to South Africa's mining and agriculture sectors the country's processing
industries, are also under pressure since 1994 due to very little government support and
open boundaries. Sharp international competition and continuing price pressure makes
survival difficult. The local processing and transformation of the country's mineral
wealth, heavy industry and manufacturing of machines has become ever more
important in order to create jobs.
8.6 The Foreign Policy
South Africa is a regional power in Africa and plays in many ways a pioneering role. It
sets an example for many other African countries After decades of international isolation
during the apartheid years, the foreign policy under Mandela was still in a phase of re-
orientation and careful re-entry into the international community, .
Mandela's successor Thabo Mbeki's foreign policy has changed, and according to him it
rested on two pillars, namely the continuation of strategic cooperation with the North,
but as equal partners and the expansion of cooperation with the South, the so-called
African Renaissance. Because of Mbeki’s ridiculous policy on AIDS, among others, his
international standing suffered major damage.
During Zuma’s presidency, focus of South Africa's foreign policy is still in cooperation
with other emerging countries. During 2010 South Africa was invited to join the BRIC
group. (Brazil, India, China and Russia) .This policy, however led to, a degree of cooling
in the relationship with the Western countries.
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Chapter 9: Medical Welfare in South Africa
It was previously mentioned in the book that medical care is one of the pillars of a happy
society Prior to 1994 South Africa had a first world health service .Great medical
progress was made and Dr. Chris Barnard, did the first heart transplant operation in
Cape Town It is public knowledge that until today this country has excellent and well
trained medical staff. This situation was both a good and a bad thing as especially white
people benefited.
In the previous dispensation before 1994 South Africa had separate hospitals for whites
and non-whites The largest hospital in the southern hemisphere, was the Baragwaneth
Hospital in Soweto, and black people were treated at a nominal fee.. This was all well
and good, but most of the black population in the country lived in areas where medical
care was not close and only limited care at clinics was avalable.They often travelled
great distances on foot to clinics for medical care and medication..
It was and still is these circumstances that give rise to the high infant mortality in South
Africa
Medical schemes exist for many years and serve as a source to pay medical costs. The
members of the schemes contribute a monthly premium towards the scheme and their
employers also contribute. Black people's salaries were of such a nature that they do
not have enough to make a contribution and therefore could not join the schemes
hence; they rely on clinics and provincial hospitals where the medical services are not of
the same caliber as private hospitals.
After the ANC took power, these aspects were addressed, and 152 clinics were
upgraded and it was envisaged to erect another 3170 clinics nationwide as well as 144
mobile clinics. Unfortunately this also did not materialize.
Prior to the elections in 1994, and for each subsequent election the ANC promised the
voters if they come to power all pregnant women would get free medical care, including
all children under 6 years of age. It can really be said that this is the only election
promise that materialized. Unfortunately, the medical services and quality that is
delivered at provincial hospitals are poor. Inadequate management and equipment that
do not work and are not maintained properly, as well as stock shortages are major
problems.
The Government plans a medical insurance scheme which was rolled out in 2013, for
the whole population .The project was originally announced in 1997. Since then, the
government allocated each year 11% of the budget for medical care, but still the object
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cannot be achieved, because of, among others, the excessive salaries that is paid and
rising medical inflation.
Some new hospitals are built and equipped with modern equipment, but the doors have
not been opened and it stands like ghost houses locked up At other existing hospitals
very little maintenance was done and it will cost millions to fix them and prevent them
completely from decay From time to time physicians refuse to deliver services because
of the dilapidated state of the hospital equipment or a lack of stock. Creditor’s
statements are also not paid on time which leads to the suspension of deliveries.
Another phenomenon is that many doctors leave the country after their training and
settle in other countries. The result is that much weaker trained doctors are imported
from Cuba and Bulgaria to provide medical services in public hospitals.
Because of the exorbitant salaries paid to public employees, astronomical bonuses and
pensions as well as the misappropriation of funds, the government was compelled to
save on certain expenses for medical care. The first in the battle is maintenance to
buildings and equipment as well as cleaning operations. This had negative effects and
patients died as a result of poor hygiene. The responsible minister indicated a number
of years ago that it would need 10 billion rand to wipe out the arrears.
The affirmative action policies of the government have also had a major impact.
Emigration by doctors has increased by 500% since 1993. The doctors who did not
leave the country opened their own practices .Salary packages were offered to medical
staff during 1996, In the Gauteng Health Department 3000 persons applied for
packages and then left the service. They were replaced with black and poorly trained
personal. In 1996 there were only three of the original highly trained qualified and
specialized nurses in the cardiovascular division of the Johannesburg Central hospital.
In Groote Schuur hospital they experienced in the same year an increase of 25 % in p
Patient numbers but a decline of 31% in their staff numbers...
Just as in other sections of the South African economy hospitals also become victims of
the plague that hit the country, namely, theft, fraud and dishonesty. According to the
Superintendent of Baragwanath hospital every month more than R500 000 medical
equipment and stock is stolen. At the end of 1996, the public hospital had d