Description
South African Economic policy has featured as one of its key components since liberation the empowerment of citizens previously excluded from consequential participation in the economy. Black Economic Empowerment transcactions have coventionally entailed the sale of equity to Black business interests which over time has created an elite class of repeated beneficiaries of the empowerment policy, and has been criticised by particularly labor unions for this effect. Subsequent policy emphasis has led to the inclusion of community trusts into BBBEE transactions to try and ensure the distribution of economic benefit to a broader base.
The Assignment
FeedbackRA conducted the first systematic review of the effectiveness of community trusts in achieving a broader distribution of economic benefit to previously disadvantaged communities. The study was funded by Tshikululu Social Investments, a fund manager providing services to private philanthropic foundations in South Africa. The study resulted in the production of three related papers and the design of a recommended model for more effectively managing the process of including community trusts in BBBEE transactions. Outputs and additional material can be viewed at the Tshikululu website.
Methodology
The evaluation involved the tracking and descriptive statistical analysis of the nature and trends in transacting BBBEE deals in South Africa. In addition key informants involved in the constituting and managing of such trusts were sampled and interviewed in a qualitative investigation into the persistant challenges confronting community trust entities.
meshack khosa
August 24, 2011 - 12:05 am
great article terence, have a great day, cheers, meshack