National Development Plan: The Outlook in 2016

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CASE STUDY. In December 2015, President Jacob Zuma’s decision to replace respected finance minister Nhlanhla Nene with David van Rooyen, an African National Congress backbencher, dealt the country its biggest financial blow since the start of democracy in 1994.

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National Development Plan: The Outlook in 2016: Abstract

National Development Plan: The Outlook in 2016 is a case study by Eric Schaling, Renee Horne and Jacklynne Hobbs.

In December 2015, President Jacob Zuma’s decision to replace respected finance minister Nhlanhla Nene with David van Rooyen, an African National Congress backbencher, dealt the country its biggest financial blow since the start of democracy in 1994. The value of stocks and bonds plummeted and that of the currency fell to record lows. These events came amidst ongoing concern about high unemployment, an untenable level of government spending and continued global economic uncertainty. In 2012, Parliament had adopted the National Development Plan (NDP) as a vehicle for producing meaningful socio-economic progress in South Africa. The plan had elicited critical reaction in various sectors, however. What would these recent events mean for the implementation of the NDP?

Teaching objectives

The aim of the study is to enable students to bring an informed and critical perspective to bear on the National Development Plan (NDP), the strategy that is intended to produce meaningful economic and social progress in South Africa by 2030. In particular, the study intends to:

  • Assist students to understand the linkage between economic growth and unemployment
  • Enable students to apply the theory of absolute and comparative advantage
  • Assist students in understanding principles for implementing an economic development plan, and to debate priorities and trade-offs for such strategies

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