By Sandile Dudu Saki
With the National Arts Festival around the corner, the municipality’s alleged failure to pay Makana Tourism its subsidy has been the talk of social media. With the advent of the second live and interactive National Arts Festival since the Covid-19 lockdowns, Makhandans have been worried about the impact that an underfunded tourism agency would have on the local economy. Traditionally, the agency has proved to be a pivotal link between the National Arts Festival and local arts, hospitality, and tourism establishments in Makhanda.
In the special council meeting held on 30 May, ANC mayoral committee member for local economic development, Mzobanzi Nkwentsha, said that the Municipality’s contract with Makana Tourism had lapsed in January this year. It was extended for six months, but now a new three-year contract would begin on July 1.
Nkwentsha said that Makana Tourism’s member businesses should also pay fees so that the agency could become self-reliant, because the municipality had a very low rate of revenue collection.
“You cannot continually subsidise a tourism organization, because out of your list of priorities, Makana Tourism may be in the middle, not at the top,” said Nkwentsha.
However, speaking at the same council meeting, DA Councilor Brian Jackson disagreed strongly, saying that tourism was a top priority for the town. He added that Makana Tourism last received its annual municipal subsidy of approximately R1 million “well over a year ago”.
“They have been running on reserves. Makana Tourism has been getting clean audits and doing its job, and they have to be commended for that. They have exhausted their reserves and have a huge job ahead of them where they have to manage the Church Square Fair during the National Arts Festival. Release the money that they are owed,” said Jackson.
ANC Ward Two councilor Ramie Xonxa said because the municipality subsidized Makana Tourism, it needed to be sure that the agency was transformed and that it served all tourism establishments in Makhanda.
