Johannesburg, South Africa: 
A Strategic Economic Vision for the Inner-City

The inner city of Johannesburg is a complex urban system in transition. It lies at the heart of Gauteng, South Africa’s most important economic and industrial region and the migration point (both legal and illegal) for the country and the African sub-continent. Gauteng currently has a population of 7.5 million people and expects to see this increase rapidly to 15 million in 2015. At the same time the growth of employment in Gauteng is static, and in Johannesburg it has declined in recent years. Within this context, the inner city plays a significant economic role. Over time, it has weakened because of shifting markets and changing economies and, as a result, it has become increasingly dysfunctional. However, it still forms the “book-ends” of a number of development corridors in the formal economy, notably as a regional market destination, a key transport node, and a small industry development hub. There is, therefore, a need for to promote dynamic economic growth in the inner city in order to ensure the ongoing vitality of the Gauteng region.

UMP involvement with the Greater Johannesburg Metropolitan Council (GJMC) dates back to 1996 when the new government in South Africa began addressing itself to local government transformation. A city consultation initiated in 1997 focused on developing an inner city economic development strategy in support of the Johannesburg Inner City Urban Renewal initiative launched by the then Deputy President, Thabo Mbeki. UMP’s support assisted the city in analyzing and reviewing the prospects for a strategic, economic vision and deciding on key interventions with business and community partners.

Results
• A programme of priorities for the inner city was adopted by the GJMC Inner City Committee in March 1998 (which included the development of a spatial and economic framework for the inner city)
• Extensive consultations to involve the stakeholders were held, culminating in a major citywide consultation to present the Economic Development Strategy in 1999
• The Inner City Economic Development Strategy was adopted as part of the overall Greater Johannesburg Economic Development framework
• Preparatory work and policy proposals were expounded and adopted as part of the iGoli 2010 strategy, a ten year social and economic development strategy for the wider Metropolitan area
• Concrete action plans were prepared, notably the formation of a garment industry district and hub institution to support the growth of small garment producers in the inner city
• Renewed focus on directly addressing economic development in the inner city has stimulated new initiatives, among them the establishment of a Johannesburg Development Agency (to concentrate solely on the inner city for its first three years), which will be responsible for packaging innovative economic regeneration projects with government and business partners

Follow up
The Johannesburg Development Agency (JDA) will be formalised to take charge of all inner-city related economic development initiatives within the metro council. An Investors Conference is being prepared to invite potential partners from the international community and private sector to participate in the implementation of the Inner City Economic Development Strategy and contribute resources and ideas. The conference will be held as soon as the JDA is formally launched in January 2001.

 

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