On Thursday, January 12, 2023, Team South Africa held a business briefing ahead of the country’s participation at the 53rd World Economic Forum. Finance Minister, Enoch Godongwana outlined that the common message South Africa is taking to the annual meeting is that the country continues to be open for investment and is committed to creating a conducive environment for business.
Led by Minister Godongwana, the briefing was also attended by International Relations and Co-operation Minister Naledi Pandor, Human Settlements Minister Mmamoloko Kubayi, as well as other senior government officials and industry captains including Adrian Gore of Discovery and Nonkululeko Heita from Standard Bank.
Minister Godongwana stated that South Africa is committed to translating policy plans into action and carrying out the implementation of structural reforms - as well as being a strategic gateway for international investors into the continent.
"The African Continental Free Trade Area provides great opportunities for South African businesses to expand and grow their business in Africa, and for international businesses to partner with their local counterparts to increase their presence on the continent," he added.
As expected, Minister Godongwana came prepared to address the country's biggest crisis to date – load shedding. He said that government is fully aware of the challenges that the country’s power supplier Eskom faces, and that an unstable electricity supply remained a threat to economic growth and disrupted the lives of South Africans, as well as deterred potential tourists and investors.
“In addition, government is aware of the inefficiencies in the logistics sector, as well as criminal activity, which were serious obstacles to growth and doing business, and must receive the urgent attention of government,” he said.
Minister Pandor said that this year's WEF gave South Africa the opportunity to integrate initiatives already being realised through BRICS to translate into the diplomatic leverage that South Africa is carrying into the global meeting.
“We are in a very difficult global geo-political position. SA advocates for peace. Our democracy is built on it. As a country, most of our major decisions of conflict are made through well-crafted negotiations," Minister Pandor said.
Minister Kubayi said that government would showcase how South Africa is becoming a more attractive business destination by eliminating red tape and focusing on further connecting industries. The forum will also allow South Africa the opportunity to highlight the brand success accruing from activities like sports, tourism, music and arts and through leading products and services.
Brand South Africa is the official custodian of South Africa's brand reputation, and the entity’s Acting CEO, Sithembile Ntombela noted that nothing would be left unsaid about the potential that South Africa offered to the world. Ntombela stated that it is integral to share progress on how far the country has come with its economic recovery processes, ensuring energy security and restoring the health of its public finances.
Team South Africa’s programme will focus on energy security, infrastructure, development, food security, job creation and the green transition - designed to create a sustainable, resilient and inclusive economy.
Ntombela highlighted that South Africa is characterised by a large labour force which is highly skilled and trained through tertiary institutions and government training programmes, and that the country’s wealth of human capital elevates its global competitiveness.
The Brand South Africa bouquet showed that South Africa is restoring the health of its public finances and making progress in reducing and stabilising its debt by strengthening money-laundering laws as well as counter-terrorist financing laws.
South Africa is the most industrialised and diversified economy on the continent with one of the most sophisticated and promising emerging markets, an affluent consumer base and growing middle class. Moreover, the country acts as a principal manufacturing hub in Africa, characterised by an industrial base that can confidently drive long-term returns on investment. South Africa is the location of choice for multinationals in Africa, with a supportive socio-economic ecosystem that strengthens its position as a hub for innovation, technology and fintech.
The country also boasts a mature, accessible legal system. The respect for rule of law and a sound regulatory framework adhering to international standards provides assurance for potential investors and stakeholders.
Aside from, or perhaps parallel to, the country’s affinity for business efficacy, South Africa also offers a favourable cost of living, generally superb weather all year, diversified cultural cuisine, artistic and sporting excellence, complemented by a thriving tourism sector and grounded in world-class hospitality.
The WEF convenes government, business and civil society leaders from all over the world and intends to provoke “Co-operation in a fragmented society”.
More than 2 700 global leaders will be at this year’s forum. Top political leaders expected at WEF include Germany’s Federal Chancellor, Olaf Scholz; European Commission President, Ursula von der Leyen; European Parliament President, Roberta Metsola; Korea’s President, Yoon Suk-yeo; Spanish Prime Minister, Alain Berset; and a host of African leaders from the DRC, Morocco, Tanzania and Tunisia. International organisation heads from the UN, International Monetary Fund, World Trade Organization, North Atlantic Treaty Organization, World Health Organization, International Energy Agency and Unicef will also be in attendance.
Brand South Africa is confident that the forum will certainly reinforce the country’s already favourable global positioning.