The role of local economic development in job creation in Dimbaza Township

The study investigated the role of local economic development in job creation in the Dimbaza Township. Despite a plethora of policy provisions to give strategic direction for the implementation of local economic development in the Republic of South Africa, in the general and local government spheres in particular, local economic development has not benefited local people in terms of creating job opportunities as envisaged. The study consulted the legislative framework governing local economic development (LED) in the Republic of South Africa, investigated the implementation of LED and how it benefited local citizens as well as the cause of failure of the LED intervention strategies, and also provided recommendation to enhance the implementation of local economic development. Scholarly articles provided valuable insights on the centrality of local economic development in socio-economic development. A qualitative approach was used to enable the researcher to explain local economic development and show how it influenced job creation and well-being of the local citizens of the Dimbaza Township. Purposive sampling was chosen as the method to select cases that were informative for this study and to create an understanding of the research problem. Respondents mainly included the ward committee members and ward councillors, who are instrumental in the implementation of local economic development in their respective wards. Self-administered interviewing schedules were used to glean information and to obtain the views, opinions and ideas about the extent of the challenges regarding the topic of discussion. The study found that, despite policy interventions on LED, unemployment levels remained persistently high due to the poor conceptualisation and understanding of LED, the lack of adequate funding and support and the reduction of LED stature from job creation to poverty alleviation projects. Based on the above findings, the study recommended the following: (a) institutionalisation of LED, (b) strengthening intergovernmental cooperation and partnerships, (c) development of a coherent LED strategy, (d) improving stakeholder capacity and participation so that intervention strategies are not externally imposed, (e) strengthening accountability and responsibility, (f) provision of adequate funding for LED interventions, and (g) the establishment of a local economic development agency (LEDA)