Poll suggests majority backing for B-BBEE exemptions to secure US investment

A Social Research Foundation poll suggests that 58% of South African registered voters would support exempting US companies from B-BBEE requirements if doing so encouraged investment and job creation.

Duncan McLead writes for Tech Central that of that figure, 47% strongly agreed and 11% somewhat agreed, while around 35% opposed the idea and the remainder had no view.

Support varied notably across racial groups. Black respondents showed the strongest backing, with 51% strongly agreeing compared with 26% who strongly disagreed. White respondents recorded 39% strong agreement, rising to 55% overall agreement, while coloured respondents were the most divided group, with strong support at 26% and overall agreement and disagreement both sitting in the mid-40s.

The poll's authors stressed that the question did not ask whether B-BBEE should be scrapped altogether. Instead, it asked specifically whether an exemption would be acceptable in exchange for investment and jobs, meaning the result reflects support for a particular trade-off rather than outright rejection of transformation policy.

The findings carry particular relevance for the ongoing dispute over Starlink's proposed entry into the South African market. Communications minister Solly Malatsi has voiced support for equity equivalent investment programmes, which allow companies to meet empowerment obligations through local investment rather than by selling equity stakes. This falls short of a general exemption, however, and regulatory and legislative hurdles remain in place. SpaceX has reportedly proposed R500 million in free connectivity for 5,000 rural schools as part of a potential equity-equivalent commitment.

The survey also found that 65% of respondents supported protecting US national-security interests as a means of securing American trade and investment.

The poll surveyed 2,214 registered voters by telephone between 8 and 31 July, with a national margin of error of 2.1%. Margins of error are wider for the racial subgroup breakdowns.

SOURCE LINK: Tech Central