Invest South Africa, the country’s one-stop shop for investors, is intensifying efforts to restore investor confidence following a drop in the country’s ranking in a recent global competitiveness report, South African Deputy President Cyril Ramaphosa has said.He was responding to oral questions in the National Assembly on Friday from the African Christian Democratic Party leader, the Rev. Kenneth Meshoe, who 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,” Ramaphosa said.
He said in consultation with the private sector, government had established an inter-governmental clearing house, Invest South Africa, as a one-stop shop to attract investment.
Ramaphosa added: “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 (Foreign Direct Investment), 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.”
According to the deputy president, Invest SA continues to market South Africa a lucrative and attractive investment destination, adding that the first two quarters of this financial year, Invest SA achieved
“More broadly, government’s massive infrastructure programme is improving conditions for investment. Incentive programmes like that in the car 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.
Ramaphosa said once this was done, he was certain investor confidence would improve and South Africa would move up the global competitiveness rankings.