Sitting in a lobby between meetings with resource funds in Edinburgh – they want to know about the “nationalisation of mines” call and where I think that is going. I will try and give feedback about that as I go along (London tonight and USA next week.)
But meanwhile briefly: the Black Management Forum pull out from Business Unity South Africa?
“The Capitalists” have never been a unified block; but the split between what BMF and BUSA represent is important.
As I have said elsewhere, BMF (along with the Youth League and similar groups) want the goodies out of employment equity and black economic empowerment legislation and regulation for themselves. They do not care about the functionality of the parastatals or the state or legislation that encourages economic growth. They care about maximising their advantage from transformation – getting the top jobs in parastatals and getting access to control of the linked patronage networks.
BUSA represents productive business – that needs a functional state and needs working utilities. It needs the best management. Its interests are in direct opposition to the BMF’s – which represents the most parasitic elements of the new elite and see the public sector (as well as their leveraged advantage in the private sector) as an opportunity for rent seeking and looting.
I am delighted that they have pulled out of BUSA. At some point in a struggle to persuade a group to see the bigger picture and take account of the broader set of interests (especially of the poor and unemployed) a line is crossed and a cartel morphs into a gang. Beyond that point the laws of engagement have changed.
If you could see the sneering disgust from a whole lot of fund mangers about cronyism and corruption in South Africa (that I am experiencing as I move around Europe and the UK), I think you would agree that it is past time for us to deal with those who have proven that all they are concerned about is looting and getting the best for themselves and their members.
Let them go into the wilderness and raid as the outlaws that they are.