Local economic development as an instrument for job creation : the case of Maquassi Local Municipality

Abstract

Local economic development (LED) is a participatory process in which the community from all sectors work together to stimulate economic activities, resulting in a resilient and sustainable economy. It is a way to help create decent jobs and improve the quality of life for everyone, including the poor and marginalized (Rodriguez-Pose and Tijmstra, 2009:6). Both Qualitative and Quantitative approaches were used. Data were collected using a questionnaire instrument developed through review of literature along with focus group findings. The findings on four objectives of the study identified that, out of 62 respondents received, 72.6% indicated that building relationships with existing businesses would encourage the development of local enterprises; 61.3% of the respondents highlighted that responding to new opportunities and providing support for local businesses would encourage the development of local enterprises. The main stumbling blocks in the Maquasi Local municipality include the lack of skills and attracting new investments. It has been recommended that; In order to increase the level of employment, it is important to improve capacity; competitiveness; quantity and quality and productivity of small, medium and micro enterprises.