Governance challenges: A buffer in enhancing local economic development in the Vhembe District Municipality
Madzanga Carol Netshandama ORCID ↗ · Harry Munzhedzi ORCID ↗
International Journal of Business Ecosystem & Strategy · 2026 · Vol. 8 / Issue 2 · 158-165
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Abstract
This study focuses on the governance challenges in enhancing Local Economic Development (LED) in Vhembe District Municipality (VDM). Good governance is a critical factor in enhancing LED, as it ensures transparency, accountability, inclusivity, and efficient resource management. However, the municipality faces a multiplicity of local economic challenges, including poorly maintained infrastructure, a lack of an LED strategy, limited capacity, and low community participation. The article employed a mixed-method approach that comprised quantitative and qualitative research methodologies. Data were collected through a closed-ended questionnaire and structured interviews. For data analysis, the article adopted statistical methods for quantitative data and thematic content analysis for qualitative data. The article found that a lack of accountability, ineffective policy implementation, poor communication, and insufficient financial management practices are challenges VDM faces in enhancing LED. To address these challenges, the municipality should implement stronger accountability measures for officials to ensure transparency and improve the effectiveness of LED efforts. Community engagement should be enhanced by creating more inclusive platforms for participation. The municipality must implement regular, targeted training initiatives to enhance officials’ skills, knowledge, and capacity to drive effective governance and sustainable economic growth. Training programs for municipal officials will improve governance and support economic development.
Keywords: {'name': 'Good governance, Governance, Local Economic Development, Local government, Municipality'}
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Madzanga Carol Netshandama
Affiliation not supplied
Harry Munzhedzi
University of Venda
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