Local economic development: a case study of the Blue Crane Route Municipality, Eastern Cape, South Africa

Local economic development (LED) in the countries of the North is a voluntary activity of local government, in South Africa it is a mandatory activity. The purpose of LED is to build the capacity of a local area to improve its economic future and the quality of life for all. While local governments in South Africa are currently engaged with the concept of LED which is seen as a tool through which to achieve sustainable development, it is now recognized that there exists economic, social and environmental interdependence between rural and urban areas and a need for a balanced and mutually supportive approach to development of the rural and urban areas. Adopting the Rural-Urban, Economic and Enterprise Development (RUEED) concept, this study highlights the challenges and development problems experienced by the deep rural and urban communities in the implementation of LED activities within the Blue Crane Route Municipality (BCRM) due to the lack of social, economic and environmental sustainability and rural-urban linkages. This study located in the Blue Crane Route Municipality in the Eastern Cape, seeks to investigate and recommend a map or strategies linking together the urban communities with the poorer neighbourhoods in LED activities. The intensive research design that incorporates the case study method was used to achieve the objectives of this study. The empirical findings of the research indicate that the concept of rural-urban linkages is not an adopted strategy in implementing development programmes resulting in deep rural communities being excluded in LED activities initiated within the Blue Crane Route Municipality. The findings also reveal that the creation of employment opportunities and improvement in the standard of living are important dimensions of LED and rural-urban linkages. This study therefore recommends the adoption of a new perspective referred to as the rural-urban linkages for LED and the consideration of economic, social and environmental complementaries that exist between rural and urban areas in the Blue Crane Route Municipality. The study further indicates that it is critical that the LED policy and interventions reflect the existing patterns of interactions between the rural and urban areas of the Municipality