A number of major coordinated infrastructural and industrial investment projects have been initiated. Our monetary and financial policies are aimed at containing the inflationary impact of the currency depreciation and protecting the integrity of our banking system and capital markets. Consistent with the opening up of the economy to international trade and capital flows, the former financial rand has been abolished and the remaining exchange controls will in due course be phased out. Our complex tariff regime has been substantially rationalised, customs surcharges have been removed, a programme of tariff reductions is under way and trade negotiations are in progress both with the European Union and in our own regional context. Following the sale of several radio stations last year, a partial privatisation of our telecommunications utility will be completed this year.
Preparation is in progress for the sale or corporatisation of several other public entities.
A new Labour Relations Act is in place, and 1997 should see the introduction of a new framework for financing industrial training in addition to completion of negotiations around the protection of basic conditions of employment. In some of these areas, policies are already in place and programmes are up and running. In others there is further work to do - in labour market policies, for example, time has to be allowed for the negotiations process within the Nedlac environment, and the trade reform programme requires extensive international consultation and sometimes tough bargaining. But on other fronts, the record of the past year has been consistent with our growth strategy projections. Exports have continued to grow strongly, government has kept to its deficit target for this fiscal year, and industrial investment continues to take the lead in the expansion of domestic expenditure.