In 2018, President Cyril Ramaphosa laid out an ambitious target of $100 billion in new investments over the next five years to kick start an economy stunted by a decade of Jacob Zuma’s looting and mismanagement. Based on the latest UN data, after three years South Africa is woefully short of this goal.
According to The United Nations Conference on Trade and Development (UNCTAD), foreign direct investment flows into South Africa in 2020 almost halved to $2.5 billion from $4.6 billion in 2019, which was a 15% decline from around $5.4 billion in 2018.
The cumulative total over the three years amounts to $12.5 billion, which can seem like a really big number in rand terms. But President Cyril Ramaphosa in 2018 set an investment target of $100 billion over five years, and at an investment conference in Sandton in October of that year, no less than $55 billion in investment pledges were made by various titans of industry.
Over half way there! Talk about action, talk about promises kept! From the Karoo to the Limpopo, it was like money was falling from the sky. Investors were besot by South Africa, coming on bended knee, carrying suitcases bulging with cash….