1. Presentation on Medium Term Strategic Plan 2008/2011 to the Social Development Portfolio Committee Parliament Cape Town 27 March 2008

2. 2 The National Development Agency (NDA) is a Schedule 3 (A) Public Entity established in terms of Section 2 of the National Development Agency Act 108 of 1998. It gets its funding from State through the Minister for Social Development, Vote No:17. BACKGROUND

3. 3 The NDA consists of a Board, appointed in line with the provisions of Section 5 of the National Development Agency Act as amended. The following Board Members were appointed for a three year Board term starting from 24 October 2008 : Bishop M Mpumlwana Ms Marcia Manong Dr W Mgoqi Prof T Mayekiso Mr. Mmoloki Pheelwane Mr. Phuti Mokobane BACKGROUND

4. 4 Mr. M Madzivhandila Rev N Maphalala Mr. S Mohlabi Mr. D Adler Chief P Ngove The Management of the NDA and the Board met on the 14 & 15 January 2008 to review the Strategic Plan. This current Strategic Plan 2008/11 is a culmination of the deliberations of Board and reflects their input. Background Cont…

5. 5 NDA Legislative Mandate The primary mandate of the NDA is to contribute towards the eradication of poverty and its causes by granting funds to civil society organisations for the purpose of : Carrying out projects or programmes aimed at meeting development needs of poor communities; and Strengthening the institutional capacity of other civil society organisations involved in direct service provision to poor communities.

6. 6 The secondary mandate of the NDA (cont…) a) To promote: Consultation, dialogue and sharing of development experience between civil society organisations and relevant organs of state; and debate on development policy; b) To undertake research and publication aimed at providing the basis for development policy.

7. 7 Our Mission Facilitate development through targeted grant funding, research and strategic partnerships

8. 8 Our Vision A developing society free from poverty

9. 9 Strategic Goals Goal 1: Establish and promote partnerships to leverage funds and capabilities Purpose : To make most of the funds and capabilities available from various players in the development arena Strategic Objectives: 1. Identify potential players and best practices that can be applied and opportunities for intervention to create islands of success 2. Improve internal processes of quality grant-making to optimise funding activities 3. Develop and sustain partnerships and programmes of action

10. 10 STRATEGIC GOALS CONT… Goal 2: Facilitate research that informs grant funding decisions and policy Purpose : To understand the nature of poverty in SA, what must be done to alleviate it, who the players are, what they are doing and what the NDA and other players might do to shape effective programme and influence policy Strategic Objectives: 1. Establish and maintain database of CSOs and other players 2. Identify targets for intervention and craft solutions 3. Measure impact of programmes and share learning and knowledge

11. 11 STRATEGIC GOALS CONT… Goal 3: Build and sustain organisational capabilities Purpose : To build and sustain the capacity we need to deliver our mandate, and to operate efficiently and effectively, with sound governance, and as one committed team adhering to agreed values Strategic Objectives: 1. Right people in right jobs; effective recruitment, induction, training and development, retention 2. Entrench values and sound operating policies 3. Effective business systems and governance processes

12. 12 Defining the Scope and Level of Poverty New estimates of poverty show that the proportion of people living in poverty in South Africa has not changed significantly between 1996 and 2001. Approximately 57% of individuals in South Africa were living below the poverty income line in 2001, unchanged from 1996. Limpopo and the Eastern cape had the highest proportion of poor with 77% and 72% of their populations living below the poverty income line, respectively. The Western Cape had the lowest proportion in poverty (32%), followed by Gauteng (42%).

13. 13 Table 1. Poverty indicators by province ProvinceNo. of poor persons (million)% of population in povertyPoverty gap (R billion)Share of poverty gap Eastern Cape4.672%14.818.2% Free State1.868%5.97.2% Gauteng3.742%12.114.9% KwaZulu-Natal5.761%18.322.5% Limpopo4.177%11.514.1% Mpumalanga1.857%7.18.7% North West1.952%6.17.5% Northern Cape0.561%1.51.8% Western Cape1.432%4.15.0% South Africa25.757%81.3100.0% 199119962001 African0.620.660.72 White0.460.500.60 Coloured0.520.560.64 Asian0.490.520.60 Total0.680.690.77 Household Size2001 1587 2773 31028 41290 51541 61806 72054 8+2503 VARIABLESDESCRIPTION GC_AFRICANGini coefficient: African population GC_COLOURGini coefficient: Coloured population GC_ASIANGini coefficient: Asian population GC_WHITEGini coefficient: White population GC_TOTALTotal Gini coefficient NPOOR_AFTotal number of poor: African NPOOR_COTotal number of poor: Coloured NPOOR_ASTotal number of poor: Asian NPOOR_WHTotal number of poor: White NPOOR_TTTotal number of poor: All races PRATE_AFPoverty rate (%): Africans PRATE_COPoverty rate (%): Coloured PRATE_ASPoverty rate (%): Asian PRATE_WHPoverty rate (%): White PRATE_TTPoverty rate (%): Total PG_AFRICANPoverty Gap: African PG_COLOURPoverty Gap: Coloured PG_ASIANPoverty Gap: Asian PG_WHITEPoverty Gap: White PG_TOTALPoverty Gap: Total

14. 14 Achievements & Highlights 1 Jun 2005 – 28 Feb 2008 - Finalization of matters arising out of the forensic investigation - Grant funding commitment of R341m to income generating and food security projects. - Participation in the National Program for Creation of Small Enterprises and Jobs in Second Economy – ASGISA. - Funding for CSO Capacity Building amounting to R25.7 m - Finalisation of strategic plan 2008/11

15. 15 Challenges Level of funding allocation compared to level of demand. The NDA receives funding requests of approx. R750m per annum. Building organizational capability and competencies - human and institutional. Review the NDA Act to improve internal business processes and align delegations of authority with PFMA

16. 16 Allocations to the NDA 2004/52005/62006/72007/8 2008/9 R’m% % % % % 1096%121.511%1236%129.15%136.35%

17. 17 NDA Impact on Poverty Since March 2000, the NDA has committed R732m to projects in economic development, food security, community health and education This has benefited 407 773 direct households Indirectly benefited 2 031 375 poor people

18. 18 Medium Term Fiscal Allocations

19. 19 Project Disbursements 2004/52005/62006/72007/8 R92.6mR68.7mR110.9mR69m

20. 20 Macro Indicators Macro indicators speak to the high-level, externally focused objectives that will be achieved through implementation of NDA’s strategic goals. The Macro indicators and associated strategic goals are as follows: 1) Improved coordination of resource allocation for poverty eradication Partnering for Development Resource Mobilisation for poverty eradication 2) Improved economic opportunities for communities in NDA targeted localities Community empowerment for sustainable development 3) Improved social empowerment in NDA targeted localities Community empowerment for sustainable development 4) Improved capability of targeted CSOs in relation to service delivery Community empowerment for sustainable development 5) Increased influence in development policy as it relates to poverty eradication Communication of credible and relevant researched development information

21. 21 Questions & Comments THANK YOU