As tensions over undocumented migrants escalate in township communities, uMkhonto weSizwe Party (MKP) MP Carol Mafagane has tabled a Private Member’s Bill proposing that small businesses including spaza shops and hair salons be reserved exclusively for South Africans.
The proposed legislation comes amid growing frustration in communities like Thembisa, where residents have taken to the streets calling for the closure of foreign-owned shops. Demonstrations have also occurred in Katlehong, with pressure mounting on government to address immigration and local economic concerns.
Mafagane explained that a Private Member’s Bill is legislation proposed by a member of parliament not in government or serving as a minister. She stated that the MK Party has listened to “the cries of our people” that informal trading should be reserved for South Africans only.
“Most African countries have reserved this specific informal trading sector for their citizens,” Mafagane said, citing Nigeria, Ghana, Tanzania, Zimbabwe, and Botswana as examples. “Having this legislation for South Africans is not something new.”
The MP identified what she called a “grey area” in Section 22 of the Constitution as the root of the problem, noting that the current wording does not specify that businesses are reserved for naturally born South African citizens. She argued that the Constitution needs to be changed to restrict these businesses to “South Africans by birth.”
Regarding enforcement concerns, Mafagane acknowledged that enforcement is currently weak but said her bill addresses this extensively across multiple departments, including Home Affairs, Health, and Cooperative Governance and Traditional Affairs (COGTA). She noted that municipalities lack capacity to verify visa statuses when issuing business licenses, pointing out that asylum seekers cannot legally be business owners and that foreign nationals applying for business visas must invest a minimum of 5 million rand.
The presidency has meanwhile reacted to the heightened immigration debate. Following discussions between President Chapo and President Ramaphosa, both leaders agreed that South Africa is not xenophobic and South Africans are not xenophobic. The presidency characterized the protests as “pockets of protest” permissible within the constitutional framework, while emphasizing that the president expects law enforcement to prevent any acts of violence against individuals.
Mafagane also criticized inadequate government support for small businesses, contrasting South Africa’s approach with other countries where governments nurture businesses until they become self-sufficient. She alleged that some foreign-owned businesses use unfair pricing, concentrate multiple shops in small areas to suffocate South African competitors, and ship products from overseas while moving money out of the country undetected.
The bill addresses what Mafagane described as a lack of municipality bylaws, noting that 111 municipalities have not complied with standard bylaws released by the minister of COGTA, while 95 municipalities are still engaged in public participation processes.