Mining giant Anglo American has said it will start a new venture in South Africa that could create 25,000 jobs in up to 1,500 businesses across the country within the next seven years.
The London-based company has said it will provide financing for small business start-ups and mentoring, while also helping companies to become suppliers.
The commitment is part of the Business Call to Action (BCtA), a global initiative to encourage companies to use their business expertise, technology and innovative skills to contribute towards the attainment of the Millennium Development Goals (MDGs) and alleviate poverty.
The MDGs are eight goals adopted by 189 world leaders at the Millennium Summit in 2000 that respond to the world's main development challenges, to be reached by 2015. They represent a global commitment to promote poverty reduction, education, maternal health and gender equality and aim to combat child mortality, AIDS and other diseases.
Since 2008, 19 companies have developed business initiatives that contribute to the attainment of the MDGs as well as to their own commercial success.
Anglo American, one of the worldÔÇÖs largest mining companies, is the first company from the extraction industry to have a programme accepted by the BCtA.
The company plans to set up 12 enterprise development hubs in areas of the country where unemployment is high, within the ongoing Anglo Zimele initiative. It plans to expand the scheme to Chile and Brazil in the near future.
Currently, through its three funds, Anglo Zimele has invested into 509 businesses, which collectively employ 9,514 people. The Supply Chain Fund, the Anglo Khula Mining Fund and the Small Business Start-Up Fund have interests in a portfolio of enterprises with a collective turnover of R1.5 billion.
The plans have been welcomed by the United Nations Development Programme (UNDP). ÔÇ£Long term economic growth is vital to the fight against global poverty and business investment is vital to building economic growth,ÔÇØ commented Helen Clark, administrator of the UNDP.
ÔÇ£Today, business leaders are rewriting the value equation, to show that true worth comes not only from profits but from making a positive difference.ÔÇØ
Cynthia Carroll, CEO of Anglo American, said: "We are delighted that the expansion of Anglo AmericanÔÇÖs long-established Anglo Zimele programme has been recognised by the Business Call to Action and we are continuing to review further opportunities to grow this successful and enormously valuable community programme."
Anglo American is headquartered in London, UK, with operations in Africa, Europe, South and North America, Australia and Asia.
