SA a strong economy, says Zweli Mkhize

2013-09-13 16:30

South Africa remains a strong economy and is considered to be one of the most developed countries in Africa, ANC treasurer-general Zweli Mkhize has said.

“South Africa benefited from its tight monetary policy, which effectively ensured that the financial-services sector was insulated from the global financial crisis,” Mkhize said in a speech prepared for delivery at a private equity conference in Mauritius.

“The banking system continues to be among the most respected in the world.”

He said the fact that the country hosted the Fifa soccer World Cup in 2010 had created a “comfortable cushion” for the economy and helped it weather the storms of the 2008 global financial crisis.

Mkhize explained the role of the National Development Plan (NDP), which aimed to eliminate poverty and reduce unemployment and inequality by 2030.

“According to the plan, South Africa can realise these goals by drawing on the energies of its people, growing an inclusive economy, building capabilities, enhancing the capacity of the state, and promoting leadership and partnerships throughout society.”

He said the NDP integrated with the initiatives of the African Union in terms of various infrastructure initiatives and programmes of governance.

“I believe we all have a role to play in the NDP, and that this role can be extended to global investors as investment opportunities arise from the NDP.”

Mkhize said government’s commitment of R3 trillion was an unprecedented quantum of investment in the history of the country.

“The figure will be compounded when private sector commitments come on to stream, with large investment expected in the mining sector, manufacturing, and value addition and various social and economic infrastructure projects,” he said.

“Many of the NDP projects are already in progress, making the NDP a practical programme rather than a pipe dream or political rhetoric.”

Private equity in South Africa continued to be a significant industry, which provided much-needed capital to grow the economy.

As of December 2012, the country’s private equity industry had about R127 billion in funds under management, with the financial sector dominating approximately 60% of the total funds, Mkhize said.

Sectors such as energy, telecommunications, consumer goods and services, and healthcare remained underexplored from a private equity perspective.

“This presents potential opportunities for investors looking for exposure in these sectors,” he said.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24


Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.