Monthly Archives: November 2024

(GCIS Sponsored Article): Driving economic growth: Government’s commitment to MSMEs

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Teaser: SPONSORED: The Economic Reconstruction and Recovery Plan (ERRP) is here to empower MSMEs with the support and resources they need to flourish

The South African government is dedicated to uplifting micro, small, and medium enterprises (MSMEs) as a cornerstone of economic recovery and growth. With a focus on inclusivity and sustainability, the Economic Reconstruction and Recovery Plan (ERRP) introduces a suite of programs tailored to empower small businesses and co-operatives across the country.

In an exclusive interview with SAnews, Government Communication and Information System (GCIS) Acting Director-General (Acting DG), Nomonde Mnukwa, emphasised the deliberate steps the government has taken to foster the development of MSMEs, and the wide range of programs and initiatives aimed at empowering small businesses, co-operatives and informal enterprises.

She highlighted that the government’s support for small businesses is rooted in their significant contribution to the economy and the livelihoods of citizens. 

The National Development Plan places the responsibility of creating 90% of new jobs in the workforce in South Africa on the MSMEs.

“Government is very deliberate about providing targeted support to small businesses, including co-operatives, micro-enterprises, and informal businesses because we know that they are a major source of employment and a key contributor to inclusive growth”.

“MSMEs not only help put food on the table for many households but, when they grow, they also create jobs, helping to reduce unemployment,” she explained. 

Recognising the success of many economies around the world that thrive on robust MSME sectors, Mnukwa said the government has taken a similar approach by establishing a dedicated Department of Small Business Development.

She added that the government’s commitment extends beyond national programs, with provincial and municipal structures playing a key role in ensuring that MSMEs receive the necessary support to incubate growth and sustain themselves. 

“Provincial departments bridge a gap by assisting MSMEs in areas not reached by national programs. Additionally, local municipalities have established Local Economic Development units to offer financial aid and guidance at a community level. 

“The three spheres of government work together to ensure comprehensive coverage, extending their reach to support as many small businesses as possible across the country,” she said.

The government’s MSMEs strategy, the National Integrated Small Enterprise Development Framework (NISED), is also designed to address inequalities. The 6th Parliament also passed the National Small Enterprise Amendment Bill which was signed into law by the President to advocate for the interests of small enterprises.

“There are special programs specifically aimed at previously disadvantaged groups, as well as businesses operating in rural or township areas, to tackle both unemployment and inequality,” she said.

Financial and non-financial support

Mnukwa highlighted key funding mechanisms available to MSMEs through the Department of Small Business Development. 

“The Department of Small Business Development, along with its merged entities – the Small Enterprise Development Agency and the Small Enterprise Finance Agency, now known as the Small Enterprise Development Finance Agency – now offers a single point of access for both financial and non-financial support, simplifying the process for entrepreneurs.” 

The non-financial support includes capacity building, training, and assistance with business plans.

Financial support is provided through various funding models, including grants, blended finance (a mix of grants and loans), and low-interest loans with favourable rates compared to ordinary banks. 

In addition to these broad initiatives, there are sector-specific programs, such as the Small Enterprise and Manufacturing Program, which funds working capital and equipment for manufacturing enterprises, and the Spaza-Shop Support Programme targeted at township and rural entrepreneurs who own spaza shops, general dealers or grocery stores.

There is also the Amavulandlela Funding Scheme grant which offers an opportunity for South Africans with disabilities to enter the mainstream economy and build qualifying entrepreneurial enterprises. The grant provides credit facilities that range from a minimum of R50 000 to a maximum of R15 million.

“Each of these programs has different qualifying criteria, so it’s essential for applicants to check the specific requirements. However, at the informal level, such as in informal settlements, there are fewer requirements. Entrepreneurs don’t need to be registered with SARS [South African Revenue Service] or have a business bank account: if they have a valid ID, a personal bank account, and a trading certificate from the municipality, they can qualify. 

“This is based on the recognition that many of us were raised by mothers who supported us by selling vegetables or ‘amagwinya’ [vetkoek] on the streets, contributing significantly to the economy,” Mnukwa said.

Youth and women empowerment 

The Acting DG also stressed the importance of empowering the youth and women within the MSME space. 

The National Youth Development Agency – located in the Presidency – plays a pivotal role in supporting young entrepreneurs by offering both financial support and training to equip them with the skills to manage their businesses effectively.

In addition, the SheTrades program provides vital support to women-owned businesses, enabling them to access both domestic and international markets. The program assists women entrepreneurs with certifications, product listings at major retailers like Clicks, Dis-Chem, and Pick n Pay, and opens doors to new trading opportunities.

Agricultural and rural enterprise support

Mnukwa highlighted the work being done in collaboration with the Department of Agriculture, Land Reform, and Rural Development to support smallholder farmers and rural enterprises. 

These efforts provide farmers with equipment, training, and market linkages, contributing to the broader goal of building an inclusive economy. She added that the government’s large-scale land restitution and redistribution program is also making headway, with 24% of South Africa’s farmland now owned by black farmers.

The comprehensive support for small businesses, Mnukwa emphasised, is not limited to financial aid but includes extensive training, mentorship, and market access initiatives. “The government is deliberate in ensuring that small businesses, especially those from disadvantaged communities, have access to the tools they need to grow and succeed,” she said.

There is also the National Rural Youth Service Corps programme which targets unemployed rural youth aged between 18 and 25 in possession of Grade 12 as part of the rural economy transformation strategy.

“The programme develops the skills of targeted participants through various skills development initiatives in partnership with other public and private sector institutions.

“It exposes participants to different skills fields which focus on instilling a culture of discipline, patriotism, community service as well as technical and vocational skills that equip participants with skills in construction, agriculture, household profiling, welding and records management amongst others,” she said. 

Through these varied programs and a strong focus on inclusivity, Mnukwa said the government aims to ensure that MSMEs continue to drive South Africa’s economic growth and create jobs, helping to reduce unemployment and address long-standing inequalities. – SAnews.gov.za

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SPONSORED: The South African government is prioritising support for micro, small, and medium enterprises (MSMEs) through the Economic Reconstruction and Recovery Plan (ERRP). Here’s how they’re driving economic growth: #Government #MSMEs #ERRP #SmallBusinessOwners.

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Mamusa Local Municipality mayor, Seitebaleng Chelechele engages with tuck shop owners over compliance

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Picture: Mamusa Local Municipality mayor, Seitebaleng Chelechele and other dignitaries/Facebook

By BAKANG MOKOTO

29 November 2024- The Mamusa Local Municipality mayor, Seitebaleng Chelechele said they will intensify their tuck shops registration and food safety awareness campaigns. Chelechele said on 27 November 2024, the municipality’s Local Economic Development and Tourism (LEDT) Office, in collaboration with the Department of Cooperative Governance and Traditional Affairs (CDW unit), held a successful meeting with local tuck shop owners and their landlords at the Multi-Purpose Centre.

“The purpose of the meeting was to engage the invitees on several important topics aligned to the directives from the President of the Republic of South Africa, which are regulations for opening and running a compliant business within the small enterprise sector.

“This includes the processes for acquiring small business licenses, the importance of displaying a letter of acceptance in tuck shops and ensuring tuck shops have compliant building structures,” she said.

Chelechele further said the prohibition of using rat poison (Galephirimi) in tuck shops was also part of the agenda. She added that they also discussed the prohibition of keeping pets inside tuck shops.

“The prohibition of sleeping inside the tuck shops. Other stakeholders such as District Health Inspectors, the South African Police Service (SAPS) and Community Development Workers (CDWs), were in attendance. The meeting was well-attended, with participants raising compelling concerns and providing valuable feedback to officials.

“Additionally, the LEDT Manager, Oagile Kgadiete, committed to convening another meeting sooner than later to further engage with stakeholders on various matters, including the start of tuck shops registrations,” said Chelechele.

She urged tuck shop owners and their landlords to comply and adhere to the government regulations that govern the tuck shop business sector. Chelechele said they will soon release by-laws that regulate the tuck shop business.

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North West Department takes Business Rescue Practitioner to court over NTI matter

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Picture: NTI buses

By KEDIBONE MOLAETSI

29 November 2024- The Head of the Department at North West Department of Community Safety and Transport Management, Dr Hans Kekana accompanied by Chief Director for Corporate Services, Dr Ntlhopeng Dikobe, had a meeting with the management of North West Transport Investment (NTI).

The meeting sought to plan a way forward on turning the NTI around following financial challenges experienced by this government owned entity.

This follows the removal of the Business Rescue Practitioner (BRP) by the Gauteng High Court on Thursday, the 21st of November 2024.

The North West Department of Community Safety and Transport Management spokesperson, Charles Matlou said through its legal team, the department had filed for the removal of the BRP citing the failure to submit and publish the business rescue plan within the stipulated frame as guided by the business rescue processes.

“On several occasions during the period of the BRP, the department has had to intervene to ensure that employees are being paid by this entity that renders passenger transport services in the eastern part of Bojanala and also operates subsided routes in Gauteng Province,” he said.

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Banyana settle in the Caribbean Islands ahead of last friendlies of the year

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Picture: Banyana Banyana players during match

By KEDIBONE MOLAETSI

29 November 2024 – African champions Banyana Banyana arrived in a hot and humid Montego Bay, Jamaica, on Tuesday night after a gruelling 21 hours of travelling from South Africa.

The Sasol-sponsored South African Senior Women’s National Team travelled to the island of “Jamrock” where they will play their last two international friendly matches of the year against the Reggae Girlz, as they continue to prepare for next year’s CAF African Women’s Cup of Nations.

Jamaica, who are currently ranked at 42 according to the FIFA list, will host the 50th-ranked South Africans in matches to be played in Montego Bay on 29 November, and on 2 December 2024.

The two countries have only ever met on one occasion, when they drew 1-1 in an international friendly match in 2019.

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North West Housing Corporation R74 billion mega city project politicised to address ANC failures

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Picture: Smart City and Mega Project/Generic

By OBAKENG MAJE  

29 November 2024- The North West Department of Human Settlements has allegedly approached the Development Bank of Southern Africa (DBSA), to secure a R74.3 billion loan to fund a mega city project. The mega city project is expected to be constructed through the government’s entity, North West Housing Corporation (NWHC).

However, the Democratic Alliance (DA) in North West said the proposed R74.3 billion mega city project has been politicised to respond exclusively to the failures of successive ANC-led provincial governments.

DA North West spokesperson on Cooperative Governance, Human Settlements and Traditional Affairs, Chris Steyl said they have received responses from the NWHC on questions posed during a meeting of the Portfolio Committee on Cooperative Governance, Human Settlements and Traditional Affairs (COGHSTA) held on 12 November 2024, in which they raised serious concerns with the proposal to secure a R74.3 billion loan from the DBSA to fund a mega city project.

Steyl said the NWHC does not have the mandate to build mega and/or smart cities and is largely responsible to address homelessness and develop social housing assistance within the province.

“However, NWHC CEO, Sello Mogodiri, indicated that President Cyril Ramaphosa announced the government’s position to build mega cities in his 2019 State of the Nation Address. This position was then supported by former COGHSTA, MEC Mmoloki Cwaile in 2021.

“This was followed by several pronouncements since by the former North West Premier, Bushy Maape, former acting Premier, Nono Maloyi, current Premier, Lazarus Mokgosi and the current COGHSTA MEC, Gaoage Molapisi, without any objections,” he said.

Steyl further said ‘this is a lie’ since the DA is on record in the North West Provincial Legislature raising their objections against this vanity project. He added that, but more concerning than Mogodiri’s attempt to justify a mandate to build a mega city on political pronouncements rather than the NWHC Act, shows that the entity is being abused to drive a blatant ANC political agenda.

“Mogodiri indicated in his response that the entity’s former namesake, the Bophuthatswana Housing Corporation, built the townships of Tlhabane, Selosesha, Mothotlung and Pudumong, but since the dawn of democracy, successive provincial governments have failed to build a single mega city and that the “status quo cannot continue.

“He further goes on to say that the housing service delivery problem is being used to deliberately de-campaign the current government. This response confirms the politicisation of this project,” said Steyl.

He said as they have seen with mega projects like Kusile and Medupi, these projects are fraught with corruption and abused to funnel billions of rands to line the pockets of ANC cadres. Steyl said the R74 billion DBSA loan is set to follow the same path should they fail to put a stop to this project and redirect government’s priorities to sensible programmes that address the immediate needs of residents.

“Before any attempt can be made to establish a new city in the North West, this government must first address the current 300 000-unit housing backlog.

“In any case, a mega city is typically a city with a population of more than 10 million residents, according to the United Nations Department of Economic and Social Affairs (UN DESA) definition, which is 6 million people more than the population of the North West,” he said.

Meanwhile, the NWHC CEO, Sello Mogodiri said: “The NWHC is leading the way in smart and mega cities development. The corporation is proud to be at the forefront of implementing the smart and mega cities initiative in the North West. With 11 mixed human settlements underway, including a 10,000-bed student accommodation, NWHC is committed to transforming urban spaces.

“These developments are designed to provide sustainable, affordable, and modern housing solutions, catering to diverse needs while promoting economic growth and community well-being.”

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Prof Raymond Parsons awarded an honorary doctorate by the NWU

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Picture: Prof Raymond Parsons/Supplied 

By REGINALD KANYANE

29 November 2024- On Thursday, the North West University (NWU), conferred an honorary doctorate on the renowned economist, Prof Raymond Parsons. The honorary doctorate was awarded in recognition of the exceptional contribution Parsons has made to the country throughout his distinguished career.

As an organised business leader, academic, media personality, economic commentator and author among others, he has done ground-breaking work on the development and refinement of the NWU Policy Uncertainty Index, the first of its kind in South Africa.

Parsons has also made a significant contribution to thought leadership at the NWU Business School, helping to keep the school and the university at the centre of discussions and debates about South Africa’s economic and political choices and future.

He said: “At the outset, I must convey my deepest thanks to the university Council and management for the honour of receiving an honorary doctorate from the university today.

“I am extremely grateful and humbled to have joined the distinguished list of previous recipients of honorary degrees from this esteemed institution. But, there are many others to whom I owe my thanks and gratitude.”

He further said he sees this prestigious award as recognition of the important role that economics and economists play in making South Africa a better place in which to live and work, especially given the country’s well-known and formidable challenges of unemployment, poverty and inequality.

Parsons added that often described as the ‘queen of social sciences’, economics tries to answer the fundamental question of how best to satisfy the unlimited wants and desires of society using limited available resources.

Professor Babs Surujlal, who is the Executive Dean of the Faculty of Economic and Management Sciences shared the same sentiments. Surujlal said, renowned for his deep expertise, Parsons is widely recognised as an authority on the South African economy and its implications for the business community.

“Parsons has had a distinguished career as a leading South African economist, respected for his political independence. This impartiality has enabled him to engage critically with economic policies across various administrations, earning a reputation for balanced, objective analysis.

“His non-partisan approach has enriched public understanding and solidified his credibility over decades. By upholding rigorous analysis and open dialogue, Parsons has achieved lasting influence as a trusted policy advisor and economic commentator, respected across sectors and political divides,” he said.

Meanwhile, Parsons is currently a Professor at the NWU Business School. He is also Chairperson of the Advisory Board of the Business School.

He studied economics at the universities of Cape Town, Oxford and Copenhagen before playing a leading role in organised business in South Africa for many years. Parsons is a former Director-General of the South African Chamber of Business (SACOB).

Until 2012, he was the deputy CEO of BUSA and subsequently a special policy adviser to that organisation until April 2014. He has also lectured at the Department of Economic and Management Sciences at the University of Pretoria.

From 2000 to 2003, he was a visiting professor at the School of Economic and Business Sciences at the University of the Witwatersrand. Parsons was the overall business convenor at the National Economic Development and Labour Council (NEDLAC) until 2010.

This is the major social dialogue institution in South Africa. He is a key contributor to public and academic debate on a broad spectrum of issues of critical importance to the political economy of South Africa. He is a recognised authority on the South African economy and its implications for the business community.

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Mokgosi calls on govt to find a lasting solution to address socio-economic needs

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Picture: The North West Premier, Lazarus Mokgosi/Facebook

By OBAKENG MAJE

29 November 2024- The North West Premier, Lazarus Mokgosi said the problem of poverty is not the concern of poor people alone. Mokgosi, who was part of the debate at the National Council of Provinces (NCOP) in parliament said, poverty is a challenge facing all humanity for which they need to seek collective solutions to reduce and finally eradicate it.

Mokgosi further said an occasion such as today’s debate is an opportune moment to garner their efforts to resolve and find solutions to challenges of poverty affecting communities. He added that they are gathered here not to remind the people that they are poor and hungry.

“But, to find ways aimed at finding lasting solutions to address their socio-economic needs. We are not here to repeat the truths of how much we have changed the lives of our people as we celebrate the 30 years of the country’s democratic breakthrough.

“This is what they expect from us. To see their lives, change for the better and to afford basic needs. Mr President, poverty has a face, unfortunately it is gendered and is found in our spatial disparities,” said Mokgosi.

He said poverty is a product of the past, a blemish to the present and if they are not careful, it would be the reality of the future. Mokgosi said the fight against poverty needs solutions that work, not theories that sound good.

“Mr President, the North West Province is at least 68% rural and accounts for the highest number of unemployed people in the country representing half of our population.

“Our province is also endowed with vast natural resources accounting for some of the largest deposits of critical minerals that sustain global economies,” he said.

Mokgosi said there is no reason for there to be poverty in the North West. He said as they take over the reign of G-20 leadership, they should not miss the historic opportunity to disrupt the hegemonic global economic order to construct a just economic world order that will take the people of the North West along.

“The welfare of the poor people of the world should be placed at the top of the agenda during South Africa’s G-20 tenure. Since the 2024 General Elections, we have made enormous progress in creating opportunities for the people of North West to address high unemployment, and reduce high levels of poverty in our communities.

“We have recently revised our Provincial Growth and Development Strategy to map a developmental future for the province backed with scientifically modelled economic scenarios and choices open to us to lift our people out of their current situation.

We have adopted bold commitments to revive the vision of the National Development Plan to reduce the rate of poverty in the North West by half by the end of the 7th administration which is 2030,” he said

Mokgosi said the road ahead will be difficult, but they are prepared to stay the course and see to the full implementation of the interventions and the objectives they have set for themselves. He said they are encouraged by the emerging confluence of positivity that has seen the province registering the highest number of jobs created in the latest Quarterly Labour Force Survey with sixty-nine thousand jobs (69 000).

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North West Provincial Legislature speaker, Desbo Mohono attains Doctoral Philosophy Degree in Agriculture  

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Picture: North West Provincial Legislature, Dr Desbo Mohono/Supplied 

By BAKANG MOKOTO

29 November 2024- The African National Congress (ANC) North West Provincial Legislature (NWPL) on Thursday, congratulated the Speaker of the Provincial Legislature, Desbo Mohono for attaining a Doctoral Philosophy Degree in Agriculture. Mohono, who served the provincial government as MEC for Agriculture and Rural Development in the 6th administration, was conferred with the highest post graduate academic qualification at a graduation ceremony of the North West University (Mahikeng campus) on Thursday.

The ANC Chief Whip of the House, Motlalepula Rosho in congratulating Mohono, declared that the conferral of the doctoral degree is a testament of the tenacity and resilience shown by her in attaining good educational outcomes, despite her gruelling and tight work schedule serving her erstwhile department, farming constituencies and broader communities.

“This achievement represents not only her personal success, but also highlights the promising future within the South African educational and political landscape.

“We hope this will inspire younger generations, leaders and public servants to embrace postgraduate education and pursue ever-widening horizons in academic research,” she said.

Rosho further said this highlights the transformative power of education in the changing South African landscape, especially in the agricultural sector to bring about positive change and development both in the province and the country.

Meanwhile, the North West Premier, Lazarus Mokgosi congratulated Mohono. Mokgosi said Mohono’s dissertation titled: “Emerging technologies and effective governance for agricultural sustainability in the North West Province”, a case of Ngaka Modiri Molema District, aligns with the objectives of the province’s Growth and Development Strategy.

“We congratulate Mohono, but critically, I am intrigued by her dissertation. Agriculture is one of the province’s economic drivers, and her dissertation will surely be used as a reference point as we strategize to grow the economy of the province,” he said.

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North West High Court granted NPA preservation order against illegal mining accused   

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By KEDIBONE MOLAETSI

29 November 2024- The High Court of South Africa held at Mahikeng granted the National Prosecuting Authority (NPA) a Preservation Order. This is in terms of Section 38 of the Prevention of Organised Crime Act 121 of 1998 (the POCA) for Platinum Group Material (PGM), weighing approximately 6500 metric tons with an estimated value of R350 million.

The NPA regional spokesperson, Sivenathi Gunya said this is as well as a White Mercedes-Benz Vito on grounds that the Platinum Group Materials and the Mercedes-Benz Vito was proceeds of unlawful activities and or instrumentalities of an offence of illegal mining referred to in Schedule 1 to the POCA.

Gunya said the case emanates from illegal mining investigations, which started in November 2023 after the Directorate for Priority Crime Investigations (DPC) in Rustenburg received information from Impala Platinum Mine about PGM that was stolen from them.

“The DPCI conducted various investigations, which led to the arrest of the suspects and the seizure of the PGM and the Mercedes-Benz Vito. The suspects were arrested and subsequently released on bail.

“Their criminal case was postponed to 25 January 2025. The NPA presented to the court that illegal mining is a serious risk to the sustainability of the mining industry and poses a serious threat to national security, infrastructure and economic security,” he said.

Gunya further said this order will send out a strong message to criminals of organized crime involved in illegal mining and further that the NPA (AFU) is committed to fighting illegal mining in the North West. He added that the Director of Public Prosecutions in the North West welcomed the order and congratulated the AFU unit for the great job done in ensuring that crime does not pay.

“The DPP lauded the collaboration between DPCI and the NPA which sees law enforcement agencies coming together to eradicate organized crime and fight against illegal mining in the province,” said Gunya.

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Banyana ready to rumble against Reggea Girlz

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Picture: Banyana Banyana players ready to face Jamaica

By REGINALD KANYANE

29 November 2024 – Banyana Banyana will face the Reggae Girls of Jamaica in the first of two international friendly matches on Friday 29 November 2024 at 20h00 local time at Catherine Hall Sports Complex in Montego Bay, Jamaica.

The two matches will be the last of the year for the Sasol-sponsored South African senior women’s national team as they wrap up 2024 ahead of next year’s Women’s Africa Cup of Nations (WAFCON) in Morocco.

The reigning African champions will have their last training session this evening ahead of what promises to be a quality game of football between the two nations ranked 42nd and 50th in the FIFA rankings.

Banyana Banyana Head Coach, Dr Desiree Ellis will be looking to try out new combinations, while also seeking to maintain a solid defense. Speaking to http://www.safa.net, Ellis said that they were looking forward to a high pace match against a side that has also held its own against very strong opponents in their region.

“The Jamaicans will give us a good run for our money. We will be looking to ensure that we build on keeping the ball, creating and converting chances, but also maintaining our defensive structure,” said Dr Ellis.

“Now that the draw for the 2024 WAFCON is out, we are focusing on how we will play against the opponents we have in our group. However, as much as we are preparing for our opponents, we are also looking at players that may end up making our WAFCON squad,” she said.

Ellis further said they have brought many young players to Jamaica, who have raised their hands up in the league. She added that this is a great opportunity for them to fight for spots in the national team.

Meanwhile, South Africa were drawn in Group C in next year’s WAFCON and will play against West African sides Ghana and Mali, and Eastern Africans Tanzania.

The first match between Jamaica and South Africa will be played at 20h00 local time (03h00 in South Africa). The second international friendly will be played on 2 December at 19h00 at the same venue.

Broadcast details have not yet been confirmed.

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