Nxuba Local Municipality is situated in the Winterland of the Eastern Cape, under the jurisdiction of the Amathole District Municipality. The two towns are imbedded with a variety of architecture and steeped in history.
The Nxuba Local Municipality is characterized by low levels of employment and a high percentage of people who are not economically active. This in turn accounts for the high poverty levels and low income levels. High unemployment rates impact negatively on municipalities as low affordability levels generally result in a poor payment rate for services. Nxuba Local Municipality‟s unemployment rate is estimated to be 69%.
In Nxuba Local Municipality the agriculture sector accounts for the majority of specified jobs (20.6%) and this is closely followed by the community and public sector with 17.6%. The latter sector is an unlikely base for employment expansion. Manufacturing and the wholesale and retail trade constitute the third and fourth highest employment sector (14.5% and 10.1% respectively), but it is also doubtful whether these sector will expand significantly as commercial and business activities are confined to urban centers of Adelaide and to a lesser degree Bedford. This limits the majority of the rural population from finding work in these sectors.
The Municipality has managed to develop and promote its enterprise development by proving business skills training to its SMME‟s. Focus in the 2010/11 financial year was agriculture and the Municipality, together with other Government Sectors, provided communities with food gardens and livestock thereby improving their livelihood.
Funding for LED projects remains a great challenge in this Municipality. Nxuba was in the process of developing its Local Economic Development Strategy in 2011.
Source: Nxuba Local Municipality IDP 2011/12