Polity.org.za Audio Articles

Unknown

Polity.org.za offers a unique take on news, with a focus on political, legal, economic and social issues in South Africa and Africa, as well as international affairs. Now you can listen to the top three articles on Polity at the end of each day.

  1. 7 HR AGO

    SA Investment Conference to kickstart new five-year R2tr investment goal

    SA Investment Conference to kickstart new five-year R2tr investment goal Ahead of the sixth South Africa Investment Conference (SAIC) being hosted in Sandton on March 31, President Cyril Ramaphosa says South Africa presents a favourable proposition as investors look to destinations that are resilient in the face of increasingly volatile global financial conditions. He explains in his latest weekly newsletter that the green shoots of economic recovery that South Africa is experiencing are bolstering its position. The President will be addressing delegates at the SAIC with the conference serving as the formal launch platform of South Africa's second investment drive – government has set the goal of mobilising R2-trillion of new investments by 2028. The event will see delegates from more than 50 countries gathering to discuss investment opportunities, with the conference having cemented its position as a premier global forum for showcasing investment prospects to domestic and international investors since 2018. The five prior SAICs of the first investment drive managed to attract a combined R1.57-trillion of investment commitments in mining, healthcare, automotive, food and beverage and others, which Ramaphosa says reflects the sophistication of the South African economy. Of the 300 projects initiated as a result of the SAIC to date, 161 have been finalised or are under construction. Ramaphosa believes investment conferences play a key role in attracting foreign direct investment as high-profile platforms that connect international investors with local opportunities. "They also facilitate strong partnerships by bringing together governments, business, banks and development finance institutions," the President says in his newsletter. The theme for this year's conference, 'Digitisation, decarbonisation and diversification' seeks to position South Africa as a competitive, reforming and future-focused economy. Ramaphosa points out that South Africa is Africa's largest economy with a diversified industrial base with particularly promising prospects in renewable energy. Moreover, the President affirms the country has a sound policy and regulatory environment that offers certainty to investors at a time when many emerging markets are vying for capital globally. Additionally, South Africa is a gateway for businesses looking to set up or expand their operations in Africa. The prior SAIC pledges have not been merely vague commitments and promises, but have materialised as tangible, brick-and-mortar projects that are creating jobs. The sixth instance of SAIC seeks to embed even greater confidence in South Africa as an investment destination and to demonstrate government's commitment to structural reform, policy certainty and policy execution. GREEN SHOOTS Ramaphosa says South Africa has an improved macroeconomic outlook after four consecutive quarters of growth by the end of 2025 and national debt is stabilising. Last year South Africa's sovereign rating was upgraded for the first time in 17 years while the country was also removed from the Financial Action Task Force grey list. The President attributes much of the progress in the economy to successful structural reforms, primarily through Operation Vulindlela, including improvements in electricity, freight logistics, water, telecommunications and the visa system. Ramaphosa boasts that loadshedding has been brought to an end while a new, competitive electricity market will ensure energy security and attract investment. He also affirms that the logistics sector is being rapidly modernised, which is enabling private sector investment in port and rail operations. For example, a private sector participation process is under way for the Ngqura Manganese Export Corridor, in the Eastern Cape, and the Richards Bay dry bulk terminal, in KwaZulu-Natal. Government last year signed a 25-year concession agreement for the Durban Container Terminal Pier 2, which represents R11-billion in private sector...

    4 min
  2. 3 DAYS AGO

    Ramaphosa backtracks on US role in G7 Summit snub

    Ramaphosa backtracks on US role in G7 Summit snub South Africa walked back its claim that US pressure led to its disinvitation from an upcoming Group of Seven summit in France. Pretoria's presidency spokesperson, Vincent Magwenya, had said on Thursday afternoon that an invitation to attend the meeting scheduled to take place from June 15-17 had been withdrawn because of "sustained pressure" from Washington. Hours later, President Cyril Ramaphosa said the country hadn't been snubbed. "My information is that there has been no pressure from any country, the US or any other country," Ramaphosa said in remarks aired by Johannesburg-based broadcaster eNCA. "We haven't attended every G7, so if we don't go to this one it should never be a surprise to anyone." Magwenya didn't immediately respond to a request for comment sent by text message on Friday morning. The US State Department said it hadn't requested that South Africa be shut out of the G7 meeting. "We have not asked the French to exclude South Africa from the G7 summit," Nick Checker, who heads the State Department's Bureau for African Affairs, said in an emailed response to a request for comment. The South African presidency's initial statement suggested a new flashpoint in already strained ties with the US. Relations have deteriorated sharply since Donald Trump's return to the White House last year, with the US president falsely accusing Pretoria of subjecting White farmers to a genocide and seizing their land, denouncing its relations with Iran, and rejecting its Black economic-empowerment policies. Last year, Trump boycotted a G20 summit that Ramaphosa hosted in Johannesburg, and said South African officials won't be invited to attend this year's meeting in Miami. French Foreign Minister Jean-Noel Barrot said Kenya, rather than South Africa, had been invited to the G7 meeting. Kenya and France are scheduled to co-host the Africa Forward Summit in Nairobi on May 11-12. "We did not give in to any pressure," Barrot was quoted as saying by Agence-France Presse. "We made a choice consistent with our decision to hold a streamlined G7 focused on geo-economic issues."

    2 min
  3. 3 DAYS AGO

    Ramaphosa says municipalities in ‘crisis’, with 63% ‘at risk’

    Ramaphosa says municipalities in 'crisis', with 63% 'at risk' President Cyril Ramaphosa on Friday stressed the importance of restoring the fortunes of local government to attract investment that creates jobs and boosts provincial economies. He acknowledged that local government was in crisis, noting that the number of municipalities across the country being placed under administration was growing, including seven in the Free State. Ramaphosa and the national Cabinet met with Free State Premier MaQueen Joyce Letsoha-Mathae and the provincial executive council, in Bloemfontein, in the eighth such national engagement since 2024. Ramaphosa will be meeting with the leadership of all nine provinces in due course. He revealed that as of 2025, 35 of the country's 257 municipalities were classified as distressed, and about 63% were classified as being "at risk". "Underfunding, lack of capacity, high debt and struggling revenue generation models are just some of the challenges. At the same time, many municipalities are practically paralysed by poor governance, financial mismanagement and corruption," he pointed out. Weaknesses or failings at local government not only affect service delivery but also the trust between government and citizens. In his State of the Nation Address in February, Ramaphosa outlined steps to strengthen local government, including reviewing the funding model for municipalities and establishing ring-fenced utilities for water and electricity services. He said government would undertake extensive consultations around the updated White Paper on Local Government this year. Meanwhile, Letsoha-Mathae emphasised that her province was committed to fixing local government, noting that several municipalities had been placed under administration. She stressed the need for stricter consequence management for unethical officials, improvement of ageing infrastructure such as sewerage systems, and bolstered human settlements as people migrated between areas. A primary focus for the province is the eradication of the bucket toilet system and reviewing stalled capital projects, such as the Dark and Silver City Housing Development in Bloemfontein. She pointed out that Ramaphosa's previous engagements with the province reaffirmed the urgency of confronting social challenges facing the province. "We remain resolute in intensifying our efforts, particularly in the fight against gender-based violence and in building safer, more cohesive communities," she said. Ramaphosa highlighted that the Free State was uniquely positioned to be at the heart of the country's economic growth story. "It is strategically located, making it a natural logistics and distribution hub linking major economic centres. The province has extensive agricultural capacity, contributes significantly to our nation's food security, and has a growing agroprocessing sector," he said. He explained that mining was well-established, with increasing opportunities in manufacturing and beneficiation. "… the province is also leveraging its natural resources to generate renewable energy and for battery storage. The Free State's urban centres that are already administrative hubs are well-positioned to attract investment in the professional services and education sectors," he explained. He noted that these endowments and advantages must be leveraged to drive inclusive growth and create jobs.

    3 min
  4. 4 DAYS AGO

    US urged France to revoke South Africa G7 invite, Pretoria says

    US urged France to revoke South Africa G7 invite, Pretoria says France withdrew an invitation for South Africa to attend a summit of Group of Seven leaders in June following pressure from the US, President Cyril Ramaphosa's office said. Leaders of the world's richest nations are scheduled to meet in Évian-les-Bains, in southeastern France, from June 15 to 17. "The invitation was withdrawn by the French government due to sustained pressure from the US," South African presidency spokesperson Vincent Magwenya said by phone on Thursday. "That's the communication we received from the French government." A spokesperson for President Emmanuel Macron's office didn't immediately respond to a request for comment. The US State Department also didn't immediately respond to a request for comment sent via its website and by email. Earlier, an official in Macron's office said that South Africa wasn't invited to the G7 because Kenya — where Macron plans to travel in April — is attending in its stead. Other invited countries include India, South Korea and Brazil, the official said. Kenya's principal secretary for foreign affairs said on March 24 that the East African nation had been asked to attend the summit. South Africa's relations with the US have deteriorated sharply since Donald Trump's return to the White House last year. The American president has falsely accused Pretoria of subjecting White farmers to a genocide and seizing their land, denounced its relations with Iran and Hamas, and rejected its Black economic-empowerment policies. Trump boycotted a G20 summit that Ramaphosa hosted in Johannesburg in November last year, and said South African officials won't be invited to attend this year's meeting in Miami.

    1 min
  5. 4 DAYS AGO

    DA launches urgent interdict over CoJ's R10bn wage agreement

    DA launches urgent interdict over CoJ's R10bn wage agreement The Democratic Alliance (DA) is seeking to urgently interdict the R10-billion wage agreement between the City of Johannesburg (CoJ), and the South African Municipal Workers Union (Samwu). Last week, the Johannesburg City Council passed the adjustment budget, which the DA said highlighted the "catastrophic risk" to the City's financial viability of the agreement with Samwu. The party described the agreement as a "heist," claiming that it bypassed proper Council processes and was made without proper authority. DA Johannesburg mayoral candidate Helen Zille explained that the agreement committed the city to paying Samwu members more than R10-billion. "This is more than the City's entire annual budget for building new infrastructure to improve service delivery," she highlighted. She said the agreement was a "politically facilitated agreement". "…it is, once again, the ANC using ratepayers' money to buy Samwu's support for the forthcoming election. Put another way, it is the ANC using public money to bribe Samwu to support and campaign for the ANC in this election," she stated. She pointed to the adjustment budget, which she said demonstrated the impact of the agreement. "In the budget, the first tranche of R1.4-billion under this agreement would be paid. That almost exactly equalled the cuts to the budgets of City Power, Joburg Water and Pikitup," she explained. Zille claimed that in reaching this agreement, the ANC ignored the law, and the City's dire financial circumstances, to buy political support. "This is illegal. That is why we are seeking an urgent interdict to prevent the further looting of the City's water and electricity budgets to fund the ANC's election strategy. "This is a matter of the gravest public importance because if implemented, it will have devastating financial consequences for the City," she warned. Zille highlighted that the CoJ was already in an "extreme" financial crisis, which is why President Cyril Ramaphosa, and the Minister of Finance Enoch Godongwana singled out Johannesburg as an example of a failing government. "… if this agreement is not stopped, it will be the final nail in Joburg's coffin," she said.

    2 min
  6. 4 DAYS AGO

    South Africa's policy rate on hold as Iran war seen pushing up inflation

    South Africa's policy rate on hold as Iran war seen pushing up inflation South Africa's central bank maintained its main lending rate at 6.75% on Thursday, saying caution was needed as higher energy prices triggered by the US-Israel war against Iran would push up inflation. Economists polled by Reuters had expected no change in the repo rate, as the Middle East conflict has forced central banks around the world to revise their forecasts and reconsider the path for interest rates. South Africa's inflation was well-contained in the months before the conflict, slowing to the central bank's 3% target in February, but it is expected to pick up as the effects of anticipated fuel price hikes and a weaker exchange rate filter through. The decision by the Monetary Policy Committee of the South African Reserve Bank (SARB) was unanimous. "We warned of elevated risks, and we have been proceeding cautiously in our rate setting," Governor Lesetja Kganyago said, reading out the decision. "Now a crisis has hit, this prudent approach is proving appropriate." The central bank expects headline inflation to accelerate to around 4% soon, with fuel inflation of more than 18% for the second quarter. Before the US and Israel started the war and then Iran retaliated, economists had been predicting further policy easing by the SARB this year. But those bets are now off. Kganyago said the SARB's projection model showed rates unchanged for a longer period, postponing cuts seen in January.

    1 min

About

Polity.org.za offers a unique take on news, with a focus on political, legal, economic and social issues in South Africa and Africa, as well as international affairs. Now you can listen to the top three articles on Polity at the end of each day.