The ruling party has published a policy paper calling for an end to internal squabbles, poor governance and corruption. The report predicts that more voters will desert the party if it fails to reform.
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An ANC policy document released on Sunday warned that the party, which has ruled virtually unopposed since the end of apartheid in 1994, now faced "declining fortunes."
The paper, produced by the party's leadership, blamed "internal squabbles, money politics, corruption and poor performance in government" adding that they had all conspired "to undermine its legitimacy in the eyes of the broader public."
South Africa - corrupt and increasingly poor
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The report also warned that the party must deliver on promises to tackle poverty, in a country where about 35 percent of the labor force is unemployed or has given up looking for work.
The ANC suffered its worst-ever results in local polls last August, losing its grip on cities including Pretoria and Johannesburg, amid a slew of corruption allegations against President Jacob Zuma.
The party's policy chief Jeff Radebe acknowledged that the party was "increasingly losing trust of the people."
Win back trust
"The organization must act urgently to restore its moral character to win back the trust of the people," he told a meeting at the ANC's Johannesburg headquarters.
More than two decades after the ANC ended white-minority rule with Nelson Mandela at its helm, inequality festers in South Africa.
Black people make up 80 percent of the 54 million population, yet the white minority control the lion's share of the economy in terms of ownership of land and companies.
The paper contained few specific policies but is to form the basis of debates at the party's national conference which kicks off on June 30, party officials said.
He has also called for a public expenditure boost to fund a "radical economic transformation," at the same time as his Finance Minister Pravin Gordhan is trying to tackle graft and uncontrolled spending.
Analysts said factional fighting over who should replace Zuma, who has governed since 2009, has seen the ANC government take its eye off much-needed policy implementation.
The party's constitution does not bar him from standing for a third term, but he has repeatedly said he will not.
mm/jm (AFP, Reuters)
Soweto: transformation of a city
Once a symbol of apartheid oppression, Soweto has become a vibrant example of urban South Africa. 40 years after the violent Soweto uprising, the city is now a tourist hotspot – where history is not forgotten.
Image: Reuters/S. Sibeko
Football and freedom
Often seen as the heart of South African football, 'Soccer City,' now FNB Stadium, was built for the 2010 World Cup, on the site of the previous stadium. But it's not only famous for sport. It was here that in 1990, thousands gathered to celebrate Nelson Mandela's release from prison and listen to him speak. In 2013, Mandela's funeral was held here.
Image: picture-alliance/Zuma Press
A hero's home
As well as accommodating the working class, Soweto was also home to anti-apartheid activists including Nelson Mandela. He lived in one of the dwellings built by the government for black workers, known as ‘matchbox’ houses for their small size and uniform design. ‘It was the opposite of grand, but it was my first true home of my own and I was mightily proud,' Mandela wrote in his autobiography.
Image: Getty Images/C. Furlong
From school to the streets
The Soweto uprising has its roots in the city's classrooms. In 1976, the government issued a ruling enforcing the Afrikaans langauge in schools. Hardly anyone in the majority black townships could speak what they saw as the language of the oppressor. School pupils took to the streets in protest against the ruling and the whole Bantu education system, which extended apartheid to schools.
Image: AFP/AFP/GettyImages
Mega mall
Soweto’s Maponya Mall is one of the largest shopping centers in South Africa, opened by Nelson Mandela in 2007. The hugely expensive development was designed to generate wealth and jobs, but it also caused controversy by forcing small enterprises and shopkeepers out of business. The mall was built by Richard Maponya, one of South Africa’s first black millionaires, who still lives in Soweto.
Image: picture-alliance/robertharding/I. Trower
Anger met with violence
Thousands of black students spilled onto Soweto's streets in a march which became a turning point for South Africa's struggle for liberation from apartheid. When the protestors refused to disperse, the police opened fire. An estimated 176 young people were killed on June 16 1967. The protest started a wave of resistance - and violence - around the country.
Image: AFP/Getty Images
Power station glamour
Originally part of a coal fired power station, the Orlando Towers are now covered in colorful murals depicting township culture.The power station was constructed in the 1930s to provide electricity to the white suburbs and downtown Johannesburg. Black South Africans flocked to the South West Townships to work in the mining industry. Later, many others were 'relocated' there under apartheid.
Image: picture-alliance/WILDLIFE/M. Harvey
Culture and color
Soweto’s first theatre opened in 2012. Its striking architecture and extensive cultural program are a marker of how the city has changed. The colorfully tiled structure is home to three auditoriums, and designed to reflect the diversity of the city’s residents. Public funds paid for more than half of the cost of building the theatre, as part of a prestigious regeneration project.
Image: Getty Images/AFP/S. de Sakutin
A lasting image
Among the first to die in the uprising was 13-year-old Hector Pieterson, who was shot by police. The photograph of a local boy carrying his body, alongside his sister, was published in newspapers around the world the following day, sparking outrage and bringing international attention to the injustices of apartheid. Today, a memorial stands not far from where Pieterson was shot.
Image: Imago/imagebroker
South Africa's most famous street
The only street in the world to have housed two Nobel Prize winners: Nelson Mandela and Archbishop Desmond Tutu both lived on Soweto's Vilakazi Street. Thanks to a government development project, it has now become one of South Africa's top tourist destinations. An estimated eight percent of visitors to South Africa tour the "South Western Townships" - more than 700.000 annually.
Image: Getty Images/C. Somodevilla
The struggle continues
Despite the extensive investment projects which have transformed the city from the ghetto it once was, some say hope has given way to disillusion. But poverty and poor education remain problems in Soweto. Many say that 40 years after the uprising, the struggle for equality is far from over.