Distinguished delegates, esteemed investors, business leaders, and partners,
This conference has demonstrated that our economy is entering a new phase of growth.
Having witnessed and heard the announcement of commitments of investment that will be made in our country, I can confidently say there is a strong case for investment in South Africa today.
Through the structural reform agenda, we have brought about a new era of hope and promise for South Africa, and positioned our economy as one of the leading destinations for investment in emerging markets.
The pledges made today have highlighted many of our unique advantages – a sophisticated financial sector, deep capital markets, unparalleled wind and solar energy resources, cutting-edge digital infrastructure, and above all a young and growing population.
But more importantly, South Africa is a constitutional democracy whose supreme law is the Constitution. The rule of law is central to South Africa’s constitutional democracy. It underpins legal certainty, rights protection and accountable government; and is essential for social justice and economic development.
The cumulative value of the pledges made at this conference are the highest we have achieved since the first South Africa Investment Conference. It is also the highest number of projects.
Much of this is domestic capital—demonstrating the strong and growing confidence of South African investors in our own economy.
Investors from offshore-based companies have also increased phenomenally, adding to our foreign direct investment (FDI) flows.
We have also seen significant participation from development finance institutions.
These investments span across all nine provinces, affirming their potential as engine rooms of growth.
In KwaZulu-Natal, Toyota will be investing R10,4 billion in preparing for the energy transition in the automotive sector.
In Mpumalanga and the Free State, Sasol has committed R60 billion to upgrade their plants and to deploy the latest technologies.
In Limpopo, Valterra Platinum is investing in new mining shafts, a smelter and other operations, providing key inputs for the products of the future.
In the Northern Cape as well as the Hillside smelter in KwaZulu-Natal, South32 is investing R3,9 billion in rail infrastructure upgrades at their manganese mines.
In Gauteng and the Western Cape, Actom, a black owned electrotechnical manufacturing company, is investing R250 million in equipment to support grid expansion, including transformers, high voltage equipment and batteries for energy storage.
In the Eastern and Western Cape, Teleperformance is investing R145 million in global business services, an investment that will create 2 600 jobs.
In North West, Mulilo is investing R14,8 billion in a total of four renewable energy projects in the province as well as in the Free State and the Western Cape.
As government we are more than coming to the party, matching our commitment to sustained reform with capital with the largest infrastructure investment intervention in our country’s history.
The task before us is to double fixed investment that is currently at 15 per cent for a sustained period of time.
The reality is that even as we have progress to celebrate, we are still a long way off from meeting our growth targets.
South Africa’s investment case is not in doubt, and the reform agenda has proven to be consistent and measurable.
But there is a gap between improved sentiment on one hand, and greater capital deployment that translates to strong growth and jobs on the other.
The structural reform agenda is irreversible, and firmly embedded within the state.
It is supported by strong and robust regulatory architecture that act as guardrails and ensure predictability for investors.
We have anchored the reform agenda to ensure lasting, measurable change.
We must now leverage its momentum to close the gaps, together.
I wish to acknowledge the leadership and decisive contribution of business to South Africa’s economic recovery.
This contribution has not been peripheral, but instrumental.
When the sixth administration took office in 2019, we were determined to build a government that was open to collaboration and to finding shared solutions to common problems.
We extended the hand of partnership to the private sector. This was met by a willingness to engage, to take us at our word, and to support the reform agenda.
When we launched the first national investment drive with a target of R1.2 trillion, the private sector responded with billions of rands in investment pledges to support growth, job creation and industrial expansion.
In 2020, we worked together across society to respond to the COVID-19 pandemic, to stabilise the economy and to protect jobs.
When we announced the Economic Reconstruction and Recovery Plan (ERRP), business rallied alongside us to design initiatives to support businesses to recover and grow.
The private sector has supported our efforts to expand employment and skills development, and has to date created more than 200,000 work opportunities for young people through the Youth Employment Service.
Collaboration with the private sector and other social partners helped shape the Just Energy Transition Investment Plan that has enabled us to mobilise climate finance while safeguarding jobs in affected industries.
Today, through the Government Business Partnership that is currently in its third phase, we are working together to improve the performance of our logistics system, to achieve long-term energy security, and to deal decisively with crime and corruption.
This collaboration reflects a deep and maturing partnership, and a uniquely South African approach to mobilising the skills, energy and talent that we have in abundance.
We are determined to sustain the momentum we have built, with a single-minded focus on achieving more rapid and inclusive growth.
That includes reforming our criminal justice system and tackling crime and corruption, so that businesses can invest and operate without fear.
We are deploying multidisciplinary teams to dismantle organised crime networks and root out police who are complicit in working with criminals - while strengthening the independence and capability of agencies such as the Special Investigating Unit, the National Prosecuting Authority and the Hawks to investigate and prosecute corruption.
Soon we will be establishing a new criminal justice reform initiative modelled on the success of Operation Vulindlela in advancing economic reform. It will focus on organised crime, corruption, the illicit economy, and illegal firearms.
By the middle of this year we will also be finalising the new Public Procurement Act regulations that will enable us to root out corruption in public procurement.
We have come a long way in a short space of time.
Ten years ago, we were in the throes of state capture. Our economy was stagnating, and policy uncertainty was higher than ever before.
Today, the green shoots of renewal are emerging. We have turned a corner. And confidence in our economic trajectory is rising.
Our task now is to build on this progress, to create a dynamic and thriving economy and a more inclusive society.
We will not rest until it is complete, and until every South African benefits from the fruit of economic progress.
We invite you to continue walking this journey with us, not only as investors, but as long-term partners in South Africa’s development.
You are not merely investing in an economy, you are investing in a nation determined to grow, transform, and succeed.
I would like to thank our generous sponsors for stepping up to support this conference.
• Afreximbank
• Anglo American
• African Rainbow Minerals
• Coca Cola
• The Development Bank of Southern Africa
• DP World
• Eskom
• Google
• MTN
• Naspers
• The National Empowerment Fund
• Transnet
• South 32
• Uber
• Vodacom
I would like to also thank the Department of Trade and Industry led by Minister Tau, the leadership of InvestSA, Infrastructure South Africa, the Industrial Development Corporation, Brand SA, Transnet, and all our partners for their hard work.
We are pleased that labour participate in today’s deliberations. They are an essential part of the government/business labour partnership.
This has been an exemplary conference. The feedback I have been getting from you in this room that it has really been the best-organised, with productive, targeted, outcomes-based sessions and an extremely high quality of speakers. Well, as a speaker, I agree!
Just as was evidenced by our hosting of the G20 Summit and B20 Summit last year, South Africa is up there with the best in the world when it comes to organising international events of this nature. We thank you for this valuable feedback.
As we leave this conference, let us carry forward the momentum.
This is just the start, we still have much farther to go. Let us turn commitments into projects on the ground and translate plans to progress.
South Africa is rising.
Those who see our economy’s potential and invest now will be rewarded in years to come.
We look forward to walking this journey of growth and change with you until the next investment conference.
I thank you.
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