Did Broad Based Black Economic Empowerment fail?

A lot of fronting is going on. The DTI is spot-on with its clarification notice. Business, in a typical fashion, has used the broadness of BBBEE to avoid empowerment.

Onkgopotse JJ Tabane, Columnist and Communications Expert

Did investors actually benefit from broad based schemes? Or was it really a failure as some claim?

Craig Gradidge, Investment Specialist at Gradidge Mahura Investments, said in a recent article that he has witnessed firsthand the ability of Broad Based Black Economic Empowerment share offers to grow the investor base in South Africa.

It has, he says, brought many new participants into the formal financial sector and he’s concerned that BBBEE, which he supports in principle, will now lose its “broad basedness”.

We interviewed Gradidge and Tabane.

Scroll down to listen to the audio.

BBBEE had its flaws, but returning to narrow empowerment is not the solution. We've seen the positive spin-offs of BBBEE schemes.

Craig Gradidge, Investment Specialist at Gradidge Mahura Investments

Recommended

by NEWSROOM AI
Read More
Tourism Grading Council of South Africa defends its grading system

Tourism Grading Council of South Africa defends its grading system

Bruce Whitfield interviews Darryl Erasmus, Chief Quality Assurance Officer at the Tourism Grading Council of South Africa.

'Do parties – especially the ANC – want to continue in the sea of mediocrity?'

'Do parties – especially the ANC – want to continue in the sea of mediocrity?'

Bruce Whitfield interviews Colin Coleman (MD, Goldman Sachs Sub Saharan Africa) and Busisiwe Mavuso (COO, Business Leadership SA).

You’re almost certainly – no matter what you believe - crap at investing

You’re almost certainly – no matter what you believe - crap at investing

Data shows that almost everyone sucks at investing, says Warren Ingram. Here's how to avoid shooting yourself in the foot.

How long to keep tax records available for inspection in South Africa

How long to keep tax records available for inspection in South Africa

Should you keep them "forever"? Tax expert Chris Sloane on the requirement to keep tax records available for inspection by Sars.

Why we must keep the "Broad Based" in "Broad Based Black Economic Empowerment"

Why we must keep the "Broad Based" in "Broad Based Black Economic Empowerment"

Government announced changes that could narrow the reach of empowerment programs to a few black industrialists only.

DTI shocks SA Inc. with BEE “clarification notice”

DTI shocks SA Inc. with BEE “clarification notice”

Broad-based empowerment and employee ownership schemes will from now on count less than individual share ownership.

Popular articles
'If we give Ramaphosa a proper mandate, he will be able to execute'

'If we give Ramaphosa a proper mandate, he will be able to execute'

UJ International relations scholar Oscar Van Heerden urges the electorate to cast their vote for the ANC.

[WATCH] Oil riggers rescue pooch 200 kms out to sea

[WATCH] Oil riggers rescue pooch 200 kms out to sea

The workers in the Gulf of Thailand spotted the exhausted dog clinging to the pipes of the rig and managed to pull her to safety.

'Removing Ramaphosa now as ANC president would be a challenge'

'Removing Ramaphosa now as ANC president would be a challenge'

Professor Steven Friedman says no ANC president has ever been removed between conferences.

[WATCH] JMPD's Wayne Minnaar sets the record straight on the hot cross bun

[WATCH] JMPD's Wayne Minnaar sets the record straight on the hot cross bun

Azania Mosaka joins the social media craze and takes a breathalyser after eating a hot cross burn.

 What you should know before replacing a tyre

What you should know before replacing a tyre

Brent Lindeque took to social media earlier this month with a lengthy account of his experience at a Tyger Wheel & Tyre branch.

Sam Smith cancels remaining Cape Town concerts

Sam Smith cancels remaining Cape Town concerts

British singer, Sam Smith's fans in Cape Town where left disappointed after his concert was cut short due to voice strain.

Caller gives Ramaphosa a new name: Dimakatso

Caller gives Ramaphosa a new name: Dimakatso

Listeners weigh in on the president's forever 'shocked' response to situations.

[WATCH] Can eating hot cross buns leave you in trouble with the law?

[WATCH] Can eating hot cross buns leave you in trouble with the law?

Khabazela shares tweets and Facebook posts that have gone viral.

'I just messed up one line, why is it news?' Darren responds to anthem backlash

'I just messed up one line, why is it news?' Darren responds to anthem backlash

Eusebius McKaiser speaks to Kurt Darren about forgetting the South African anthem's lyrics.