Abstract
M.Comm.
Black economic empowerment (BEE) is one of many policies the South African government introduced when South Africa became a democratic nation. This was in response to the inequalities caused by apartheid policies that were enforced by the previous government. This paper provides the origins and background of BEE as well as the objective of this policy. The different forms that BEE has undertaken over the years are highlighted, along with some of the financing mechanisms adopted.
Insight is provided into the challenges encountered in implementing a BEE transaction by a South African financial institution. The study investigates if the BEE transaction applied addressed the challenges inherent in most BEE transactions prior to it. The BEE regulatory framework is analysed. The study concludes with a discussion on recommendations for future BEE transactions based on a model, which contains certain elements that must be considered in any BEE transaction upon implementation.