Inflation is likely to remain high given that there is little prospect that substantive structural reforms in both the policy and administered price areas will be implemented any time soon (“SA consumers at ‘tipping point’ as food inflation soars, says NielsenIQ”, July 27).
How can businesses assist in South Africa’s economic recovery when a growing number of the country’s municipalities are unable to perform their most basic functions?
There may be overtures to accountability and structural reforms, but for as long as the ANC adheres to the requirements and edicts of the NDR the incentives and pressures for corruption will persist.
Within the context of a tightening global business environment, foreign investment in countries such as South Africa may decline, or head towards more friendly climates. Higher interest rates also mean tighter credit, and so businesses that want to expand may be faced with higher risk and credit costs.
Monopolising the management of healthcare — even if it is done only incrementally over a long period — will add yet more layers of bureaucracy and control over doctors and nurses, and concentrate resources in the hands of the state. In so doing it will add incentives for cronyism and corruption.
Considering the consistently below-average performance of the country’s ports, it comes as no surprise that the Port of Maputo is emerging as an alternative to its nearest South African competitors, a point confirmed by Chris Hattingh, senior policy analyst at the Centre for Risk Analysis.
The Centre for Risk Analysis says conditions at local ports are costing Transnet and the economy billions, due to years of neglect.