The illicit economy, which includes the cross-border flow of various commodities and funds, poses a serious risk to South Africa not only in terms of physical security but also in undermining the government’s ability to protect South Africa and raise the necessary revenue to carry out its developmental mandate.
That’s the view of acting SA Revenue Service (Sars) commissioner Mark Kingon who said recently that the revenue service had adopted a comprehensive illicit economy strategy. He said Sars, together with other government departments, was investigating a solution that would enhance crossborder movement of people and cargo while bolstering a whole-of-government capability in tackling illicit activities.
“We believe that we should all leverage information technology and process alignment to collectively increase efficiency at our border.” He said in order to bring the country’s fledgling economy to life, government, business, labour and civil society required a partnership where everyone played their part in enhancing economic growth and protecting South Africa from any negative outcomes.
In relation to the administration of international trade across the borders and the collection of much-needed revenue, Sars had to continuously enhance its operations. Kingon said this included comprehensively addressing non-compliance and illicit activities that posed a risk to South Africa’s economic and physical security.
