The strategic position and intergovernmental relations roles of South Africa's Local Economic Development Perspective.

Abstract

The creation of local economic development agencies (LEDAs) is a result of the South African government’s efforts to increase socio-economic benefits in communities. As opposed to national and provincial sector departments, LEDAs as municipal actors, locate the local economic development (LED) agenda in its rightful place, in municipalities. LEDAs counteract LED initiatives imposed from national and provincial sector departments that often generate skewed and distorted development patterns in municipalities, and between urban and rural municipalities. LEDAs possess a locational advantage and their mandates, legis-lative frameworks and strategic objectives, as well as their structural composi-tion, allow them to play multiple roles that are geared towards the creation of economic opportunities in communities. These roles of LEDAs uncover available and opportune networks together with which they can make meaningful impact in communities they serve. LEDAs’ roles are sought to be embedded within the intergovernmental relations framework and are referred to as intersectoral, extra-sectoral and international roles. In this way, LEDAs assume a meaningful role and offer a significant contribution to the implementation of LED.