Cape Town -- During the first nine months of the year, the Western Cape approved an increase in building plans which amounted to more R27 billion.
The increase has been highlighted as evidence of a rise in semigration to the Cape region, thanks to remote work.
Building plans approved in the Western Cape were up 23.4% in the first nine months, driven by small home building plans, according to Statistics South Africa report “Selected building statistics of the private sector as reported by local government institutions” released this week.
“Seven provinces reported year-on-year increases in the value of buildings completed during January to September 2022, of which Western Cape (contributing 11.8%) and KwaZulu-Natal (contributing 5.4%) were the largest positive contributors,” read the StatsSA report.
Gauteng, meanwhile, saw a 1.9% decline in building plans passed.
Western Cape MEC for Finance and Economic Opportunities, Mireille Wenger, has welcomed the stats.
“As a leading indicator of economic confidence in an economy, building plans passed provide insight into future investment and planned construction,” said Wenger.
“Between January and September, R27.31bn worth of building plans were passed in the Western Cape, more than any other province, and representing a year-on-year growth rate of 27.50%,” she said.
“This is the fourth month in a row that the Western Cape has passed the most building plans and has completed the most buildings by value, in South Africa.”
Wenger added: “While we face challenges in the Western Cape, we are determined to create the right environment for the private sector to expand, to grow the economy and create the jobs we need to improve the lives of our residents.
“It is therefore important that building plans convert into building sites, so that we continue to create new construction jobs in the province. Ensuring this conversion takes place will be a priority for me and the provincial government.”
Earlier this month, the Mother City was represented on a panel on remote working at World Travel Market London, a leading event in the global travel industry.
“I was invited to participate on the panel because of our work in Cape Town to capitalise on this trend, including working with industry to align product and pricing, and because we have successfully marketed the city as a perfect destination for this segment of the travel market,” said the City’s Mayco member for Economic Growth, James Vos.
Vos, at the event, said an increasing number of professionals were seeking out employers that let them work from anywhere and, with beaches, bars and mountains all on one’s doorstep in the Mother City, this was a big draw for many.
“It is the perfect place for digital nomads who blend work and play into their travels,” said Vos.
“I also told the audience that I am still pushing the South African government to institute a remote worker visa as four other African countries and 40 global countries have done.”
Research conducted by the City indicates that digital nomads tend to stay in one destination longer than three months, while spending up to R50 000.
“One report of a remote worker incentive programme in a city in Oklahoma in the US shows that these travellers generated nearly $20 million (R344m) in additional local gross domestic product. With a special visa, South Africa stands to realise such gains,” said Vos.
Last week, the Department of Home Affairs’ director-general Livhuwani Makhode told the Western Cape Legislature a report containing recommendations on the adoption of a start-up and remote work visa, among others, had been completed.
Weekend Argus.