Growth and development require a long term perspective to frame shorter term trade-offs. A long term plan helps focus government and society to deal with the inevitable short term turbulences in a nation’s progress.

Over the past fifteen years, government has made significant progress, most critically in establishing sound and credible institutions and in extending basic services to millions deprived too long of these necessities. A stable economic platform has enabled rising investment, rising employment and a steady reduction in the proportion of people living in poverty. Nevertheless, the challenges remain monumental. Unemployment remains unacceptably high, poverty is rife and opportunities are still skewed. Two striking weaknesses in government are the lack of a coherent plan and poor coordination.

There is a need for better long term planning to inform shorter term plans, resource allocation, trade-offs and the sequencing of policies. The rationale derives both from our own context and the lessons of international experience.

The paper sets out an institutional framework for planning and describes the outputs of planning.

A National Planning Commission is proposed, consisting of respected intellectuals and experts outside of government. It would work under the guidance of the Minister in The Presidency for National Planning to produce a long term plan for South Africa. Only the Executive can take policy decisions that are binding on government. So the minister must facilitate close interaction between the commission and the Executive. A secretariat, based in The Presidency, will support the commission’s work. The minister would also lead interaction with broader civil society on the development of the plan.

The key outputs of planning include the development of a long term vision and plan for South Africa. The Presidency, led by the Minister in The Presidency for National Planning, will produce a Medium Term Strategic Framework (MTSF) every five years. The MTSF will be more detailed than it has been until now, complete with high level outcomes and targets for priority functions. These outcomes and targets will be a key input into the performance management component of The Presidency’s work. The annual Programme of Action will be derived from the MTSF. There will also be a series of papers on thematic, cross-cutting areas that impact on development and on government’s policies; areas on which The Presidency will provide ongoing leadership.

These outputs would play a role in shaping policies and programmes, budgets and resource allocation. The planning ministry would also help enhance the capacity of government, including state owned enterprises and public entities, to plan more effectively.

A long term plan has to be informed by breaking down the country’s high level aspirations into focused strategies. These would deal with such issues as economic development, human resource development, building a developmental state, enhancing regional stability and so forth. A plan has to take into account environmental factors such as the global economy, climate change, demographic trends and regional peace and stability. Long term cross cutting issues such as food, energy and water security would also have to be factored in.

Effective national strategic planning requires clarity on the role of the planning ministry and the National Planning Commission, as well as capacity to support the planning process. It requires the building of a developmental state with the capacity to lead the process of national development.