There is widespread concern the R500-million SA spaza shop fund will be misappropriated if it is not well managed from the start. This is the view of the President of the South African Spaza and Tuckshop Association (SASTA), Kgothatso Ramautswa.
Ramautswa said the spaza shop fund has the potential to stabilise the hard-hit informal industry. However, the associated also expressed concern that aid may be misappropriated due to ‘sticky fingers.’ And the launch of the fund has also seen ‘vultures circling.’
SA SPAZA SHOP FUND
“Ultimately, it depends on how effectively and transparently the funds are managed. Our primary concern lies in the management and accountability of the spaza shop fund,” confirmed Ramautswa.
Moreover, the Department of Small Business Development (DSBD) has warned of copycat fund scams. And says spaza shop owners should be cautious of individuals/organisations claiming to assist with the application process. Furthermore, the DSBD confirmed that no official may handle the administrative payment process.
HOW IT WILL SAFEGUARD AGAINST LOOTING
Likewise, the DSBD outlined several measures it will take to ensure the R500-million spaza shop fund isn’t looted. The goal herein is to ensure the funds reach the intended beneficiaries in the form of business assets, rather than cash, it said:
MULTI-BILLION-RAND INDUSTRY
Meanwhile, the informal trading industry is valued at nearly R200 billion in South Africa. And the new spaza shop fund will be able to make the following available to eligible clients:
DO YOU THINK THE SPAZA SHOP FUND WILL BE TAKEN ADVANTAGE OF?
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