1. EXECUTIVE SUMMARY This Report covers the period October 2010 to January 2013. Like the previous two reports of 2009 and 2010, this Report does not provide every detail regarding the activities undertaken, progress made and challenges experienced in all areas of democracy and political governance, economic management, corporate governance and socio-economic development. The Report is limited to progress made in key areas of concern and specific issues raised in each thematic area and in line with objectives defined in the various thematic areas. Most importantly, it is a progress report which also explains further the issues raised in the previous two reports. Significant progress has been made in addressing the key issues raised in the NPoA to improve the state of governance in South Africa. This Report focuses on the following issues raised in the NPoA:                    Racism, sexism, marginalisation, crime, lack of awareness and poor access to information impair the full enjoyment of human rights; Racism prevents many citizens from realising their human potential and contributes to unequal access to valued goods and services and reproduces acute social inequities; Violence and crime in general and against women and children, in particular, as well as the need for active engagement of all communities in the fight against crime and violence; Marginalised and vulnerable groups experience difficulties in making use of the institutions of justice; Civil society structures seek increased opportunities to contribute to and participate in the delivery and monitoring of public services; Corruption undermines national integrity; Inadequate public consultation, education and feedback in policy making; Underdeveloped capacity and skills in public expenditure management and monitoring; Blockages to service delivery; Lack of deeper economic integration within the SADC; Unemployment; Company legislation is not transformative and needs to be reviewed; Key institutions and certain social groups are underdeveloped and need to become more effective; Consumers and shareholders fail to assert their rights, are ill-informed and inactive; Governance in civil society needs development; No consensus among stakeholders on definitions and measurements of poverty; The need for more effective land use that contributes to sustainable livelihoods, especially for the rural poor; The need to build capacity to implement the programs of the developmental state; Strategies for ensuring children’s nutrition, health and development need improvement; 20