Local economic development and poverty alleviation in Nkonkobe Local Municipality

The purpose of this study was to investigate the impact of Local Economic Development (LED) in alleviating poverty in Nkonkobe Local Municipality in the Eastern Cape Province, a municipality that is predominantly rural in nature and also stricken by poverty. The research objectives were; to explore the implementation of LED strategies, to assess the degree to which various spheres of government work collaboratively to enhance efficiency and effectiveness in development planning; and to evaluate the extent to which job opportunities have been created as a result of LED practices in the municipality. To achieve these objectives, a qualitative research approach was utilised. The sample was selected using a purposive sampling technique whereby individuals who are directly involved in integrated development planning and LED planning were targeted. Those who met this criterion were considered suitable for providing relevant information regarding the implementation of LED in Nkonkobe Local Municipality. Based on the literature review presented in chapter 2, LED can be perceived as an integrated, multidisciplinary approach that seeks to alleviate poverty through pro-poor economic growth by promoting economic development initiatives in municipalities. Moreover, the legislative framework presented in the same chapter reveals that the South African government has employed various strategies in the implementation of LED in local communities. The study showed that the Nkonkobe Local Municipality LED strategy has limited impact on poverty alleviation due to a myriad of factors which reinforce and interact with each other, thereby limiting development and thus trapping residents in poverty. The findings suggest that there is significant room for a paradigm shift from predominantly pro-growth LED to pro-poor LED, and the need to adopt a comprehensive LED strategy that seeks to include both pro-growth and pro-poor strategies