Why SA Govt Prefers IDEMIA Over Local Businesses?
Sep 05, 2024

Why SA Govt Prefers IDEMIA Over Local Businesses?

Open Letter to South African Government Led by President Cyril Ramaphosa: Why Do You Prefer IDEMIA, a French Foreign Company, Over Local Businesses?

By eKayzone.co.za
South Africa's First AI-Enhanced Online Business Networking Platform


Dear President Cyril Ramaphosa and Members of the South African Government,

It is with deep concern that we address this letter regarding the recent decision to appoint the French company IDEMIA to oversee South Africa’s driver’s license printing programme. This choice has sparked significant discontent among local businesses and citizens who believe that our government should prioritize homegrown talent and resources over foreign entities.

The Appointment of IDEMIA: A Missed Opportunity for South African Businesses

On the 8th of August 2024, the Department of Transport confirmed that IDEMIA, a French technology firm, has been selected as the preferred bidder to manage South Africa’s driver’s license printing programme. This decision, made on the 8th of August, followed the submission of five bids, with IDEMIA emerging as the overall winner.

While IDEMIA is recognized globally for its expertise in identity solutions, the question remains: Why was a foreign company chosen over capable South African businesses? This decision undermines the potential of our local companies, which could have delivered the same services while contributing to our nation’s economic growth.

The Government’s Contradiction: Advocating Local Support, Favoring Foreign Firms

The South African government frequently promotes the importance of supporting local businesses to create jobs and stimulate economic development. However, the decision to award such a crucial contract to a foreign company contradicts this message. It raises doubts about the government’s genuine commitment to empowering local enterprises.

By choosing IDEMIA, the government has missed a valuable opportunity to invest in local businesses, which could have been upskilled to handle this significant national project. Such an investment would have fostered job creation, skills development, and economic empowerment within our borders.

Creating Much-Needed Jobs: A Call for Government Action

Given the high unemployment rate and the desperate need for job creation in South Africa, we at eKayzone strongly suggest that the government reconsider its decision to outsource the driver’s license printing programme to IDEMIA. Instead, we propose the creation of a government department specifically dedicated to this task, which would not only produce driver’s licenses but also create much-needed jobs across the country.

If the government is truly committed to job creation and local economic growth, it should prioritize local businesses for such contracts. In cases where there are no existing businesses capable of providing the required services, the government should advertise these opportunities and offer advance cash incentives to local entrepreneurs who can establish the necessary infrastructure.

Supporting Local Businesses: A National Imperative

The government’s role in supporting local businesses should extend beyond mere rhetoric. It should actively utilize local platforms and services, such as eKayzone.co.za, a proudly South African online marketplace. By advertising government tenders, projects, jobs, and more on local platforms like ours, the government would be directly supporting a local business that, in turn, can employ more South Africans.

The economic benefits of this approach are clear: by keeping public spending within the country, we strengthen our economy, reduce unemployment, and foster a culture of innovation and entrepreneurship. This is a win-win for both the government and the people of South Africa.

Conclusion: Aligning Government Actions with Promises

The decision to award the driver’s license printing contract to IDEMIA highlights a troubling disconnect between the government’s promises and its actions. To maintain credibility and truly support local businesses, the government must align its procurement policies with its stated objectives of job creation and economic growth.

We call on you, President Ramaphosa, and your administration to reconsider your approach to government contracts. South Africa has the talent, skills, and potential to meet its own needs. By supporting local businesses and creating jobs through targeted government initiatives, you will not only contribute to the economic empowerment of South Africans but also honor the commitments made to our nation.

Sincerely,
eKayzone.co.za
South Africa’s First AI-Enhanced Online Business Networking Platform


At eKayzone.co.za, we are dedicated to empowering local businesses by offering a free online marketplace where South Africans can buy and sell goods, promote services, and connect with customers. As the first platform in the country to integrate AI with Chat-GPT, we provide tools to help you create optimized adverts that attract customers to your business. Join us in supporting local businesses and building a stronger South African economy