INFOTECH: Information and Communication Technology Sector Charter
Recent Gauteng Business News
Set with the ultimate goal of ending the digital divide in the country and to ensure transformation, the ICT sector charter is now available. Industry inputs and comments are welcomed on the Draft Information and Communication Technology Charter in effect from now till the 10th of August 2011.
Transformation in the Sector
The Charter brings to the forefront, changes aimed at transformation, among them;
Black ownership target of 30% to be achieved by entities in the sector;
A set target of 5% Net Profit After Tax to be used on enterprise development initiatives that are aimed at growing and developing black owned ICT enterprises; and
A spend of 1.5% of Net Profit After Tax on Socio Economic Development Initiatives to improve the lives of communities through programmes such as ICT's in education, and health.
Economic and Social Transformation in the Sector
The charter addresses transformation issues that the ICT sector faced seven years ago, that are still relevant today, such as the increase in the black ownership requirement. It lists the need to close digital divide by promoting access to ICT; encourage the effective implementation of the Broad-Based Black Economic Empowerment Act; stimulate and support growth in the sector; support skills development; and advance economic and social transformation in the sector.
The gazetting of the sector codes will create a platform for economic growth through the creation and increase of a base for ICT goods and services to be consumed; skills development and the promotion of entrepreneurial opportunities, said Andile Tlhoaéle, former deputy chairperson of the charter Steering Committee.
The code remains in effect until there is a need for it to be revised and changes need to be made, it will also be reviewed by the communications minister in its 10th year of operation. Yearly reviews will also be conducted to monitor the transformation of broad-based black economic empowerment implementation.
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