Forum discusses socioeconomics

2016-03-02 06:00

DURBAN South Business Forum recently discussed and evaluated various recent events in the country and the reaction of organised business.

A presentation was made by Christo Botes, executive director of Business Partners and President of the AHi. After the recent “shake-up” in Parliament when President Zuma replaced finance minister Nhlanhla Nene with David van Rooyen, organised business, under the leadership of Botes and AHi were the first to react, until the president, within a few days, reappointed Pravin Gordhan as finance minister.

It is believed that had the president not done his about-turn by replacing Van Rooyen, the country would have seen a major exodus of major prominent business from South Africa, aggravating not only the already weakening rand and the threat of being downgraded to “junk status”, but would severely impact the entire socioeconomic circumstances in South Africa.

As it is, KwaZulu-Natal would have been most severely affected. It is estimated that only 23% of the KZN economically active population enjoy full-time employment. The official unemployment rate in SA is estimated at 35%. In KZN this figure is 39,9%. In addition, it is notable that SMEs, excluding the informal sector, produce 45% of GDP. In addition, small businesses employ 50% of all working people. Therefore, small business is a significant factor of the South African, and specifically KZN economy.

He emphasised that if the status of the country is downgraded, all businesses in the country would automatically assume the same status or lower, in other words all businesses, large or small, good or bad will automatically have the same junk status or lower. This should therefore be avoided at all cost.

The meeting concluded with a braai at the clubhouse, sponsored by RBI Technical Solutions International (Pty) Ltd. - Jaco Wijnmaalen.

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.

Inside News24

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.