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Comprehensive rural development linked to land and agrarian reform and food
security.
Within this framework, government has developed and is implementing a comprehensive
government-wide development strategy directing all its energy towards the achievement of
these priorities according to principles aforementioned. However, structural distortions in the
economy, weaknesses in the state and the global economic crisis are already acting as
constraints to this process, resulting in lower than expected outcomes coming out year-onyear. The MTSF allows government to constantly adjust its plans and alter its activities to
respond to this objective reality.
The MTSF gives practical effect to the 2008 Anti-Poverty Strategy through which
government explicitly spelt out decisive interventions to address the scourge of poverty. It
also seeks to change the trajectory of the anti-poverty initiatives. It attempts to strengthen
the resolve to reverse, and reduce the incidence of poverty as well as prevent the
recurrence of poverty (or what is famously known as the ‘intergenerational transmission’ of
poverty).
Both the Anti-Poverty Strategy Discussion Document and the Third Country MDG Report
note that South Africa has experienced a remarkable decline in poverty owing largely to a
significant income transfer programme, massive reallocation of pro-poor expenditure, for
example on housing, water, electricity and sanitation.
Based on two essential measures, namely the proportion of the population who live below
the thresholds of $1 up to $2.50 per day, and the poverty gap ratio, it is clear that the
proportion of people experiencing absolute poverty has declined. Applying this measure,
South Africa has reduced the population living below the poverty line of a $1 per day from
11.3% in 2000 to 5% by 200683. This figure has come down even more since 2006, although
figures are not fully certain. The unfortunate reality, however, is that even during the
reporting period, despite the progress made females are still disproportionately affected by
poverty. According to the MDG Report, “whilst poverty has been halved for both males and
females, the proportion of females living below $1 (PPP) per day remains high compared to
that of males: 12.0% (females) and 10.0% (males) in 2000; and 5.3% (females) and 4.8%
(males) in 2006. The same pattern is found when other poverty lines such as $1.25, $2, and
$2.5 per day are used”84.
When it comes to income distribution, available data shows that the average real incomes of
South Africans have been increasing steadily for all population groups. The growth in per
capita income has come both from wages through increased employment and social grants.
Not only did individuals across the whole spectrum experience positive income growth but
those at the very bottom of distribution experience a greater increase than those from the
30th to the 70th percentile. On the other hand, except for part of the period, income growth for
the poor amongst Africans was not in general greater than that for the non-poor. In other
words, overall, those at the top of the income distribution on average benefit more than
83
Millennium Development Goals Country Report, South Africa, p. 27.
Ibid, pp-27-28.
84
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