President Jacob Zuma of South Africa
By Tamzin Hudson : As I write this article, the ANC is gearing up for its 53rd elective conference, which will elect the new leadership of the party. More significantly, the leader of the party, almost by default, becomes the President of the country in the next elections in 2014. This particular conference is playing out against a backdrop of serious domestic challenges confronting the party and by extension the country as a whole. The conference will, therefore, be closely watched, particularly because the party is set to address policies and engage in debates that will almost surely define the course and direction of the country going forward. No doubt investors will also be keeping a close eye on developments in one of Africa’s largest and most diversified economies.
South Africa has made tremendous strides in all areas of its national life, including building a peaceful, prosperous and inclusive society with democratic and stable institutions of governance. More people now have access to services, including water, electricity, sanitation, education, healthcare and social security than ever before. South Africa has one of the most progressive constitutions in the world enshrining the democratic values of human dignity, equality and freedom as founding provisions in its Bill of Rights. The constitution further places a responsibility on all South African’s to address the divisions, inequities and wounds of the past in a spirit of reconciliation and inclusiveness. Poverty levels have dropped, there is a growing economy and real incomes have risen since 1994.
At the same time, the conference will need to take stock of the standing of the party and evaluate progress towards stated commitments and address the stacking up of critical issues to protect the precious gains that have been made and further bolster the country’s emerging democratic and economic status. Question marks have arisen over the leadership of the country. The spotlight has once again been highlighted on what are regarded as unacceptably high levels of corruption, unemployment, serious gaps in the education system, a slowing economy and politicisation of the state media and the judiciary.
While all too conscious of the threats that confront South Africa, there are remarkable opportunities that have opened up to the country both in its more immediate neighbourhood and the continent as a whole. This presents a wonderful story of great optimism, dynamism and must surely also be regarded as one that will equally determine our levels of success. It has often been remarked that South Africa’s future is inextricable linked to that of the continent and so it was no wonder that early on in its march to entrenching democracy and economic progress its leaders placed Southern Africa and Africa at the centrepiece of its foreign and economic policies. It is surely then good news that a positive picture is emerging of the landscape that is Africa today
An article in the Financial Mail reported that according to McKinsey & Co, Africa has 30 of the world’s top performing economies and within the next decade Africa is expected to generate more than R3 trillion in economic growth.
In the International Monetary Fund’s (IMF) World Economic Outlook of October 2012, figures demonstrate that during the first decade of the 21st century, six of the world’s 10 fastest growing economies were in sub-Saharan Africa, and this growth is projected to continue staying above five percent until at least 2015. The Economist underscores this too but adds that in the next five years African countries will secure the top seven positions. It goes on to further state that Africa’s economic growth rates will outperform its Asian contenders over the next five years.
Africa’s commodities boom, the large-scale investments in infrastructure, relatively good savings rates, a consumer surge and a young, energetic population with an increasing entrepreneurial penchant are driving the change on the continent. Countries that are winning are able to take advantage of their relatively large-scale investments and ensure that their economies are well managed, through sound planning, clear and consistent policies, the absence of corruption, the promotion of transparency and a stable tax regime. They are further able to capitalise by diversifying their economies and making the right investments ensuring a stable socio-economic environment through investments in health and education.
2012 was a watershed year for South Africa as it marked the centenary celebrations of the ANC commemorating its birth on January 8 1912 and the organisation can only be regarded as one of the most revered and iconic liberations movements in history. With this historic moment in mind in and in view of the ANC elective conference it is time for South Africa’s leaders to take stock of both the threats and opportunties and set the country on the right course. The conference will be over when this article goes to print and so it is our sincerest hope that the right decisions and choices are made so the positive story of Africa and its “miracle” country only go on to scale ever greater heights of economic and democratic achievement and reach for a brighter future for all its peoples.
“I dream of the realisation of the unity of Africa whereby its leaders combine in their efforts to solve the problems of this continent. I dream of our vast deserts of our forests and great wildernesses.” Nelson Mandela
Cape Town South Africa
