President Cyril Ramaphosa told US businesses he would like them to deepen their investment ties with South Africa.
The president made these comments while speaking at the South Africa-United States Interactive Business Forum in New York this week.
Ramaphosa made it clear that South Africa is on a trajectory of economic recovery and structural reform.
He argued that the coalition government is open to major opportunities available to foreign investors.
“The advent of the Government of National Unity (GNU) has renewed investor optimism in the South African economy. The message I bring to US investors is that this optimism is well-placed,” he said.
“South Africa is firmly on the road to recovery, and we invite you to be part of this journey. Investments in South Africa are secure. Our business environment is stable. This is supported by policy certainty and regulatory safeguards,” Ramaphosa added.
The president said that SA intends to stay the course on the structural economic reform process, on scaling up investment in key infrastructure, and on improving the business operating environment.
He said that the country has attracted around R1.2 trillion in foreign investment.
Green energy is vital
“We have announced a new target of approximately R2 trillion or approximately $100 billion over the next five-year period up to 2028. The far-reaching structural reforms we have implemented over the past six years have opened up the country to increased levels of investment that continues to grow,” Ramaphosa said.
The president also emphasised that SA is focused on renewable energy initiatives and is calling on US businesses to support South Africa’s commitment to decarbonisation and energy security.
“We are equally committed to a Just Energy Transition that is inclusive, that take our developmental needs into account, and that leaves no community behind. We have a supportive and enabling industrial policy that incorporates, among others, expanding the special economic zones, driving export-led growth, and harnessing the potential of the Africa Continental Free Trade Area or AfCFTA. In January 2024 we began preferential trading under the AfCFTA,” he added.
“With substantial reserves of critical energy transition minerals, we are positioning ourselves to be at the forefront of the green energy revolution,” he said.
He told investors that SA has the world’s largest platinum group metal reserves and noted that the country has a competitive advantage when it comes to the production of sustainable energy technologies, including electric vehicles, new energy vehicles and renewable energy components.
Lastly, the president praised the collaboration between the New York Stock Exchange (NYSE) and Johannesburg Stock Exchange (JSE).
This partnership has promoted cross-border investment and drives economic growth on a global scale, according to the president.
“Mutually beneficial trade and investment not only unlocks the dynamism and potential of an entire continent, it will also aid Africa’s efforts to achieve the Sustainable Development Goals,” Ramaphosa said.
“Together, we can forge a path to shared success and progress, leveraging our combined strengths to achieve enduring prosperity for our people,” he noted.
IOL BUSINESS