SA's spaza shop association welcomes R500-million boost from govt
The Trade, Industry and Competition Minister, Parks Tau, and Small Businesses Development Minister Stella Tembisa Ndabeni officially launched the fund on Tuesday.
Authorities conduct spaza shop inspections in Naledi, Soweto, following the death of six children from suspected food poisoning. Picture: EWN/ Jacques Nelles
JOHANNESBURG - The Association for Spaza Shops in South Africa has welcomed the recent announcement of R500-million funding aimed at revitalising and supporting spazas countrywide.
The Trade, Industry and Competition Minister, Parks Tau, and Small Businesses Development Minister Stella Tembisa Ndabeni officially launched the fund on Tuesday.
The initiative was initially announced by President Cyril Ramaphosa in November last year.
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The fund will be jointly administered by the National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency (SEDFA) to provide financial and non-financial support to spaza shop owners.
The association hopes the initiative will stabilise the spaza shop industry, which has faced numerous challenges recently.
However, the association's president, Kgothatso Ramautswa, has expressed concern about the effectiveness and transparency of managing the funds.
"We are calling for management and accountability towards the R500-million funding aimed to revitalise and support spaza shops across the country. As an organisation, we firmly believe that those entrusted with this money must act with integrity and ensure that its use genuinely supports the local economy.
"It's crucial that the funds are not squandered but are rather channeled into sustainable initiatives that help the goal of spaza shops and, by extension, our communities."