City welcomes relief for SMMEs due to COVID-19, warns against misinformation

STATEMENT BY THE MAYORAL COMMITTEE MEMBER FOR ECONOMIC OPPORTUNITIES AND ASSET MANAGEMENT, ALDERMAN JAMES VOS.

The  City welcomes the announcement by the Department of Small Business Development that they’ll be providing relief to SMMEs and I encourage SMMEs to swiftly take up this opportunity. We would also like to commend big business that has pledged to donate towards the relief fund and would like to encourage others to dig deep within their hearts and purses and follow the good example shown by other businesses.

I have received numerous requests for clarity on whether racial criteria will be applied to small, medium and micro enterprises (SMMEs) in order to qualify for the COVID-19 relief funds announced by President Cyril Ramaphosa.  I would like to allay all fears and ask SMMEs not to listen to misinformation, but rather to verify rumours and fake news through the correct channels.

Earlier this week, I wrote to the Minister of Small Business Development, Ms Khumbudzo Ntshavheni and the Minister of Tourism, Ms Kubayi-Ngubane, to seek urgent clarity on this matter and to make it clear that the relief funding to SMMEs will not be based on race.

We will continue to use all avenues available  to ensure that race does not exclude any SMMEs from the assistance they need to keep going.

I have already seen reports dismissing these rumours as fake news. As a City, we understand that the stakes are too high and too many jobs and livelihoods are on the line. All SMMES are depending on quick and easy access to funding to get through this difficult time. We are willing to support the national government during this time to ensure that all Cape Town based SMMEs receive the necessary relief. We all need to work together during these trying times. Our economy, like the rest of the world, is suffering and we need to pull together to rejuvenate it post this pandemic.