ABSTRACT

The 1990s have been characterised by reduced state economic and political intervention and the consideration is, in itself, a key catalyst of Local Economic Development (LED). LED has re-emerged as a development approach in South Africa. If the South African or the Eastern Cape government wishes to promote widespread LED, it will need to embark on a major programme of education, facilitator training and funding allocation for the venture. In terms of the different categories of LED, namely community based and authority based LED, it is difficult to state categorically that one type is more effective than another. Some specific findings include the fact that international theories regarding LED are clearly appropriate in the South African context, subject to contextual and other modifications. The development of an environment conducive to the emergence of LED in South Africa has clearly been facilitated by broad, macro-changes which parallel international trends.