How Gauteng's digital strategy is transforming township entrepreneurship

The Gauteng provincial government has announced a significant advancement in its economic development initiatives, following a robust partnership with Uber Eats that aims to uplift township-based entrepreneurs through digital transformation.

Gauteng MEC for Economic Development, Lebogang Maile, shared the positive impact of this collaboration following an announcement made in Soweto on Tuesday.

The MEC highlighted how this initiative connects local merchants to a wider customer base and supports job creation in the province.

According to the provincial government, the latest partnership, which stems from a Memorandum of Understanding signed in May 2023, focuses on the implementation of the Gauteng Township Economic Development Act by digitising enterprises within township areas.

Maile detailed that the agreement specifically targets the digitalisation of restaurants and food businesses, ultimately broadening their earning opportunities beyond the traditional walk-in trade.

Maile revealed that since the initiation of this partnership, more than 2,000 township merchants have successfully been onboarded onto the Uber Eats platform, equipped with essential training, tools, and promotional visibility to enhance their growth capabilities. This digital migration has not only boosted their income but has also allowed these businesses to reach a more extensive customer demographic.

Furthermore, the provincial government reported onboarding over 7,500 delivery partners who have undergone training to create reliable delivery networks in the township areas. The results of this collaboration have been striking: more than R1 billion in revenue has been generated for township merchants, with delivery partners earning upwards of R150 million.

These numbers highlight the effectiveness of the initiative in fostering opportunities and reinforcing the importance of township economies.

Maile emphasised the transformative nature of this venture, saying: "Over the past three years, our collaboration has seen more than 2,000 township restaurants, primarily owned by young entrepreneurs, integrated into a digital platform, often for the first time.

This growth has provided real customer demand, enhancing their business resilience and enabling sustainable income generation."

He further articulated that this initiative not only creates jobs but also invigorates the circulation of local income, which is crucial for community empowerment.

Meanwhile, National Empowerment Fund (NEF) CEO, Mziwabantu Dayamini, commended the move for its potential to create jobs and other opportunities for local entrepreneurs and the young people in local communities.

"What has been achieved through this partnership, what it's telling us is that this is something that can be doubled...So, we want to see the people who are growing through these partnerships becoming entrepreneurs. We need to provide them with the support that will give them the training that they need to be able to expand their businesses. If someone started with one scooter, over the next three years, they should have ten scooters and employ more people," he said.

siyabonga.sithole@inl.co.za