Deputy President Paul Mashatile recently delivered opening remarks at the Global Investment Summit held virtually on June 14, 2023. The summit’s theme was “Adapting to a New Reality,” and its focus was on propelling the economy forward amidst the challenges faced during the COVID-19 pandemic.
Collaboration between Government and Business
Mashatile highlighted the importance of collaboration between the government and business sector to grow the economy. To this end, he urged attendees to support South Africa’s development agenda, as outlined in the National Development Plan (NDP) 2030. The NDP aims to eliminate poverty, reduce inequality, and foster an inclusive economy.
Economic Reconstruction and Recovery Plan
To counter the economic effects of COVID-19, South Africa adopted the Economic Reconstruction and Recovery Plan. According to StatsSA, the economy expanded by an estimated 0.4% in the first quarter of 2023. The African Development Bank (AfDB) projects the economy to grow marginally by 0.2% in 2023 and 1.5% in 2024, supported by growth in trade, tourism, mining, and manufacturing.
Addressing the Energy Crisis
Addressing the energy crisis remains a top priority. Mashatile outlined various strategies, including fixing the state-owned utility Eskom, enabling private investment in generation capacity, and procuring new capacity from renewables, gas, and battery storage. The government is also implementing the Integrated Resource Plan 2019, which aims to procure additional energy capacity through renewable energy programs.
Adapting to the Fourth Industrial Revolution (4IR)
Mashatile emphasized the importance of adapting to the Fourth Industrial Revolution (4IR) and investing in digital infrastructure and skills development. The government’s focus on fostering a results-oriented, efficient, and ethical public sector includes partnering with leading institutions such as University College London to deliver executive education programs for senior public officials.
Investing in Industries
The Deputy President urged participants to consider investing in industries such as manufacturing, agribusiness, transport and logistics, the ocean economy, the digital economy, and renewable energy. He highlighted the need for collaboration between the government, businesses, and investors to fund projects that can generate income, profit, and investment opportunities.
Infrastructure Investments
In terms of infrastructure investments, Mashatile encouraged attendees to partner with Infrastructure South Africa and the Department of Water to invest in water infrastructure projects, thereby avoiding future crises in the sector.
Commitment to Peace
Additionally, Mashatile mentioned South Africa’s commitment to maintaining a peaceful world, working with the African Union to engage in dialogue with President Putin and President Zelenskyy regarding the Russia-Ukraine conflict, and supporting peace initiatives in South Sudan and other parts of the African continent.
Open for Business
As South Africa remains open for business, the Deputy President called for continued investment and collaboration with businesses to change the fortunes of the economy, ensure economic growth, and involve more people in the economic process. By adapting to a new reality, the goal is to achieve shared growth and prosperity for all citizens and committed partners.
