Bizana: The Mayor of Winnie Madikizela-Mandela Local Municipality (WMMLM) in the Eastern Cape, Daniswa Mafumbatha, has expressed support for the Spaza Shop Support Fund, highlighting its potential to enhance the local economy and improve the lives of unemployed residents in rural regions. Mafumbatha shared her views during a community awareness campaign in Bizana, organized by the Department of Trade, Industry, and Competition (the dtic), in collaboration with the Department of Small Business Development (DSBD).
According to South African Government News Agency, the campaign aims to educate spaza shop owners on accessing the R500-million fund, which was launched by the Minister of Trade, Industry, and Competition, Parks Tau, alongside Small Business Development Minister, Stella Tembisa Ndabeni, in Soweto on April 8, 2025. Mafumbatha underscored the significance of small enterprises in bolstering the economy and reducing unemployment, emphasizing that the fund would substantially benefit the municipality’s economic standing.
Mafumbatha remarked on the pivotal role of small businesses in rural communities, asserting that the funding support aligns with the municipality’s ongoing efforts to enhance residents’ quality of life. She encouraged local spaza shop owners to ensure their documentation is in order to maximize support access.
Thuthula Madikizela, a spaza shop owner, viewed the campaign as an educational opportunity regarding compliance and funding. She noted the critical need for financial assistance to make stores successful and sustainable, expressing gratitude for departmental support with the application process.
The event, attended by over 400 people, is part of a national education and awareness campaign involving the Small Enterprise Development and Finance Agency (SEDFA) and the National Empowerment Fund (NEF). These agencies, representing the DSBD and the dtic, will administer the fund through interactive sessions aimed at guiding spaza owners on application processes and compliance requirements.
The fund’s objective is to bolster South African-owned township community convenience shops, including spaza shops, by increasing their participation in the retail trade sector of townships and rural areas. It offers crucial financial and non-financial support, including initial stock purchases, infrastructure upgrades, and training programs covering various business skills and compliance areas.