Invest SA intensifying efforts to attract investors

Friday, October 20, 2017

Invest SA, South Africa’s one-stop shop for investors, is intensifying efforts to restore investor confidence following a drop in ranking in a recent global competitiveness report.

Deputy President Cyril Ramaphosa said this when he responded to oral questions in the National Assembly on Thursday.

African Christian Democratic Party (ACDP) leader Reverend Kenneth Meshoe had asked the Deputy President what government was doing to address concerns raised in the latest Global Competitiveness Index of the World Economic Forum, which saw South Africa dropping its ranking from 47 to 61.

“South Africa’s drop… is attributed to an increase in corruption, crime and theft and government instability. That means we need to decisively tackle corruption and address governance challenges as a matter of urgency. At the same time, we need to strengthen our efforts to promote investment.  

“Government has established the IMC [Inter-Ministerial Committee] on Investment to oversee our overall investment policy, alignment and coordination and improve the investment climate,” Deputy President Ramaphosa said.

He said that in consultation with the private sector, government has established an inter-governmental clearing house, Invest South Africa, as a one-stop shop approach to investment. 

“To counter negative perceptions, Invest SA meets with investors on various platforms and on an ongoing basis to discuss investment opportunities and address investor concerns.

“In view of the slowed growth and the decline in FDI, Invest SA is intensifying its efforts to attract and secure both foreign and domestic investment. Invest SA has formalised a relationship with the World Bank to address South Africa’s ranking in its annual Ease of Doing Business Survey and overall investment climate issues over the medium to long term.”

Invest SA continues to market South Africa as a lucrative and attractive investment destination. 

The Deputy President said for the first two quarters of this financial year, Invest SA achieved an investment pipeline of R42.7 billion.

“More broadly, government’s massive infrastructure programme is improving conditions for investment.

“Incentive programmes like that in the auto industry are attracting new investment and encouraging companies to expand their operations. Despite the challenges, investors see South Africa as an attractive investment opportunity and a viable long term investment destination.

“If we are to realise our economic potential, however, we need to meaningful address the problem of corruption and instability in government.”

He said once this was done, he was certain investor confidence will improve and South Africa will move up the global competitiveness rankings. – SAnews.gov.za

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