Cape Town - All eyes will be on President Jacob Zuma as he delivers the State of the Nation Address to a joint sitting of Parliament, this evening.
In just a few hours - at 7pm - Zuma will address the nation in a joint sitting of the National Council of Provinces and the National Assembly and outline government's plans for the year.
The occasion is generally used as a platform through which the President takes stock of government's performance, gives an update on the programme of action while also highlighting measures that should guide government spending for the year ahead.
Last year, the President declared 2011 as the year of job creation, saying that in 2011 government would establish a jobs fund of R9 billion over the next three years to finance new job-creation initiatives; set aside R20 billion in tax allowances or tax breaks to promote investments, expansions and upgrades in the manufacturing sector and continue to provide financial and non-financial support to small, medium, and micro enterprises (SMMEs), small scale agriculture as well as cooperatives.
This week, parliament's top officials briefed the media on their readiness for the event, which is expected to be attended by former head of state FW de Klerk. Former President Thabo Mbeki will be unable to attend due to AU commitments.
Over the years, government's focus has centred on five key priorities, namely education, rural development, safety and security, health as well as job creation. Government is of the view that the private sector alone has not been able to invest in infrastructure at the speed required to create the much needed jobs in the economy.
The country's new growth path sees the state playing a more leading role in the infrastructure drive, with R802 billion allocated to various projects over the next three years.
Authorities argue that public sector investment in infrastructure - which has increased from 4.3% of the country's gross domestic product (GDP) in 2005 to 7.5% in the first half of 2011 - remained central to government's economic development plans.
Last year, Zuma announced the establishment of a jobs fund worth R9 billion over the next three years, which will be used to finance job creation initiatives. Today, he is expected to outline achievements and other opportunities created by the fund.
The International Development Corporation (IDC) had also set aside R10 billion over the next five years for investment in the sectors identified for employment creation potential. These include manufacturing, mining, textile industries and the green economy.
According to independent political analyst Professor Stephen Friedman, Zuma is likely to pay attention to what government has achieved in the past year, while at the same time looking towards the future.
"I wouldn't be expecting any major policy shifts. I sense the address will be more about what the state has achieved and forward looking. There will be more emphasis on infrastructure, no doubt and [Zuma] will be talking a lot about jobs and how some of the state interventions have helped in addressing unemployment," Friedman said.
Managed by state-owned Development Bank of Southern Africa, the primary mandate of the Jobs Fund is to create sustainable employment by assisting in the expansion of existing business enterprises. It hopes to pilot innovative approaches to employment creation.
Dumisa Hlatshwayo, Chief Investment Officer of the Jobs Fund, said a total of R352 million has been approved for employment creation projects. It is estimated that the allocation will realise a projected 115 226 sustainable jobs.
The Fund had received a total of 2 651applications following its first funding period, which closed on 31 July 2011. The Fund is targeting to disburse and approve a total of R2 billion worth of projects within the 2011/2012 financial year.
Business Unity South Africa (Busa) has meanwhile said that the speech should focus on implementation policies and programmes that have been agreed to.
