Ramaphosa’s endorsement of property rights welcome, but clarity needed on EWC – IRR

President Cyril Ramaphosa’s acknowledgement in last week’s Opening of Parliament speech that property rights are key to economic success is to be welcomed, but clarity is needed on the Expropriation Bill and the ANC’s commitment to expropriation without compensation (EWC), says the Institute of Race Relations (IRR).

“Property rights are human rights,” says IRR researcher Chris Patterson. “The President’s Opening of Parliament Address (OPA) set the right tone, yet the Expropriation Bill awaiting his signature is the single biggest threat to the Government of National Unity’s ambition to expand access to title for South Africans.”

In his speech, Ramaphosa said that “the provision of title deeds for land […] provides people with the assets they can use to improve their economic position.” Patterson points out that this shows the President recognises how important property rights are for economic development and prosperity.

The IRR has previously written to President Ramaphosa to raise concerns about the constitutionality of the Expropriation Amendment Bill, passed by Parliament in late March. The President has the sole prerogative to send a Bill back to the legislature if he is concerned about the constitutionality of the Bill, says Patterson.

Another concern is that the President’s reference to the expansion of title deeds could create a contradiction.

Says Patterson: “The President cannot argue that title deeds are an important component in helping people to become more prosperous and escape poverty while at the same time he is getting ready to sign the Expropriation Bill, which would, at a stroke, imperil property rights and could make title deeds worthless.”

The Government of National Unity (GNU), which President Ramaphosa leads, has the opportunity to ignite economic growth, which South Africa desperately needs, but for this to happen, there must be clarity on contentious legislation such as the Expropriation Bill and the recently signed NHI Act.

Just as the IRR has called for clarity on NHI funding, so it also urges that contentions over the Expropriation Bill be resolved by the GNU. Three of the parties currently in the GNU have voted against the Bill.

Clarity on this danger to property rights will signal to foreign and domestic investors just how strong the GNU’s commitment to economic growth is. However, property rights are not just important to investors – they are also vital for people who have for too long been locked out of being property owners and prevented from having the dignity and economic agency that owning property can provide.

Not signing the Expropriation Bill will not only provide clarity to investors but will also let ordinary South Africans know that this is a government that is committed to helping them and their families live dignified and prosperous lives.

Media contacts: Makone Maja, IRR Campaign Manager Tel: 079 418 6676 Email: makone@irr.org.za

Chris Patterson, Researcher Tel: 063 682 5035 Email: chrisp@irr.org.za

Media enquiries: Michael Morris Tel: 066 302 1968 Email: michael@irr.org.za