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Return on Investment (ROI)

1 December 2019

South Africa has the most diversified economy on the African Continent, the most industrialised, and a highly developed infrastructure which supports not only primary manufacturing and services sectors, but is host to the largest diplomatic representation on the continent. With over 250 representations, trade, consular and honorary consul offices, it is home to the 2nd highest number of diplomatic offices in the world, preceded only by the United Nations headquarters in New York.

Photo: China's high-level government delegation headed by Former Senior Vice Minister of Commerce H.E. Mr. Chen Jian (pictured left) with Ambassador-designate Siyabonga Cwele who has been posted to Beijing as South Africa's Ambassador and Advocate Mr Ajay Sooklal.

Many multinationals have set up operations in South Africa and have chosen the country as their base for engagement throughout the African continent.  The country is acknowledged for its innovation in the technology, communications, financial and media and entertainment arenas and has hosted a number of mega events. It has also played host to a number of high profile and influential personalities over the years.

The Continental Free Trade Agreement (CFTA) will spur the integration of the African people, who for far too long have been divided by boundaries defined by slavery and colonialism. It underlines the truth of how a minority was able to undermine a majority through the divide and conquer strategy.

Photo 1: Mr Norio Maruyama, Ambassador of Japan expressed his government's support of investment recording a further $20 billion for the African continent.  Pictured with him are Mr Ebrahim Patel, Minister of Trade and Industry and Ms Naledi Pandor, Minister of International Relations and Cooporation.
Photo 2: Mrs Elif Çomoglu Ulgen, Ambassador of Turkey (centre) pictured with Mr Evren Albas, Managing Director of Defy Appliances (left) and Mr Dagistan Turanli, Chairman of Cisco (right)
Photo 3: Mr Yamin Jafarli, Charge d'Affaires of the Embassy of Azerbaijan in South Africa
Photo: French companies announced R20-billion of new investment in South Africa. Ambassador Aurélien Lechevallier attended the conference, highlighting that France shares the transformation agenda of President Cyril Ramaphosa

South Africa’s progressive constitution, independent judiciary and robust chapter nine institutions certainly make a clear statement that the freedom, together with the responsibility and a sense of belonging, make for a leadership that can stand up to criticism of its failures, acknowledge its weaknesses and draw on the strength of its people and heartily accept the accolades of its success. It also exposes the total failure of the nationalist apartheid regime which used all heinous means of oppression, extra judiciary killings, bannings and detention without trial, torture, suppression of the press and media and misinformation, misguided by a flawed ideology of racial supremacy.

An adage that may ring true for South Africa currently is “whatever doesn’t kill you makes you stronger” The initial euphoria of the negotiated settlement and the first democratic elections in 1994 spurred the country to new heights in the warm embrace of the international family. South Africa became the toast of the town and became known as the miracle nation for the way in which it managed to avert a racial conflagration.

The reality of the past 25 years have certainly taken its toll on the citizens who had to contend with reconciling and building a new, inclusive nation which will be of benefit to all. This had to take place internally while the country opened up to the world which was experiencing a seismic shift and jockeying for position in the new order after ‘the Fall of the Berlin Wall’.

The international community has once again placed its faith in South Africa with support from all corners of the planet for the2nd South African Investment Summit that was held in Johannesburg, South Africa from the 5 – 7 November. The 350 billion in investments recorded include many local South African enterprises and shows that the people are embracing the mantra of self-empowerment and self-forgiveness as they realise their own value and potential.

R7 000 is what each child, man and women would receive if the R350 billion was evenly invested and spread among its 50 million population. What impact would this have on creating inclusive economic growth? This is especially at a time when economists and policy makers are questioning the relevance of GDP and looking at alternative and new indicators that define well-being and inclusivity.  

What return (ROI) would the investors have projected and what are their expectations.




February/March 2020








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