A practical framework for managers of local economic development (LED) to achieve key socio-economic outcomes

“If you want to see real long term results local economic development needs to be a joint venture between municipality, business and community” urges seasoned South African development consultant, Uys du Buisson.

The innovative Local Economic Development framework developed in a number of municipalities first of all aims to:

  • Quantify Gross Geographic Product (GGP), unemployment and poverty in a region as the socio-economic baseline for LED action.
  • Use this baseline to set specific turn-over, employment and income objectives
  • Explore opportunities for enterprise and job creation in the various sectors
  • Create an assortment of investments to satisfy income and job creation goals
  • Introduce an Small and Micro Enterprise incubation system to support the objectives
  • Deal with the required skills development in this region
  • Set up a special purpose vehicle to create and manage a Venture Capital Fund

Successful new Local Economic Development initiatives involve a cooperative agreement between the

A: municipality, B: organised business and C: the community:

  • The municipality is responsible for the enabling environment in keeping with the municipal mandate for Local Economic Development.
  • Organised business is responsible for the trading environment and supporting start-up entrepreneurs and businesses

Together, municipality and business create and manage the venture capital fund to drive sustainable socio-economic development.

Uys du Buisson has been involved in a range of community development initiatives for more than 25 years and is regarded as an expert in ICT4D, economic development and monitoring and evaluation.

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