The KwaZulu-Natal Treasury has approved the reprioritisation of R67.5-million in funding to the province’s Department of Economic Development, Tourism and Environmental Affairs to provide relief for township and rural businesses, as well as informal traders affected by the recent floods.
Premier Sihle Zikalala made the announcement during the Growth Coalition Business Breakfast held at the Inkosi Albert Luthuli Convention Centre on May 12.
A survey by the Department of Trade, Industry and Competition (DTIC) shows that at least 826 companies were affected by the floods and the cost of the damages to the companies is estimated at R6.4-billion.
The DTIC Infrastructure Support Grant will also be used to provide cost-sharing grant funding to small, medium-sized and microenterprises (SMMEs) and large businesses affected by the floods.
SMMEs and large manufacturing companies affected by the floods will be assisted through the Manufacturing Competitiveness Enhancement Programme Industrial Loan Component that seeks to assist by financing businesses that are not covered by insurance or by funding the insurance cover shortfall.
Further, the Industrial Development Corporation’s Flood Relief Fund will assist companies affected by the floods through financing businesses that are not covered by insurance or by funding the insurance shortfall of insured companies.