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Type your title and date here 00/00/0000 UNCLASSIFIED.

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Presentation on theme: "Type your title and date here 00/00/0000 UNCLASSIFIED."— Presentation transcript:

1 Type your title and date here 00/00/0000 UNCLASSIFIED

2 SOUTH AFRICA Inspiring New Ways Type your title and date here 00/00/0000 UNCLASSIFIED

3 MAP OF THE PROVINCES 9 Provinces: Capitals: PTA – Administrative Cape Town – Legislative Bloemfontein - Judicial

4 Type your title and date here 00/00/0000 UNCLASSIFIED 4 WHY SOUTH AFRICA? Economic powerhouse of Africa Covers just 3% of the African continent and contributes 25% of its GDP GDP growth rate: 2.1% + large scale infrastructure investment to create growth and jobs Gateway to other sub-Saharan African markets 45 th most competitive country / ease of Doing Business: ranked 35 out of 183 countries English is main business language and similar systems and business cultures Suitable time difference

5 5 THE TRADING RELATIONSHIP – OUR GREATEST SYNERGY Over £9.6 billion annually in bilateral trade UK in Top 5 trading partners Local partnerships and Black Economic Empowerment 4 out of 5 South African companies in Europe are based in the UK There are opportunities in various sectors for British business such as: Type your title and date here 00/00/0000 UNCLASSIFIED Advanced Engineering Food & Drink Agribusiness ICT Creative Industries Life Sciences Infrastructure & Energy Ports Education & Skills Retail Professional Services

6 6 SWOT ANALYSIS Strengths Abundant supply of natural resources Well-established & modern infrastructure Well developed financial and legal services Strong Legal and Financial frameworks Accountability of private institutions Stock exchange amongst the Global Top 10 Govt spending on Education in 2012/13 was £16 bn which is 19% of total govt expenditure. Fast growing black middle class Weaknesses High unemployment Economic Integration/Poverty Skills shortage Infrastructure bottlenecks in energy, transport & water due to lack of govt capacity HIV Aids Crime Type your title and date here 00/00/0000 UNCLASSIFIED

7 7 POLITICAL & ECONOMIC CONSIDERATIONS Type your title and date here 00/00/0000 UNCLASSIFIED Political Broad-Based Black Economic Empowerment Young, relatively stable, multi-party democracy, dominated by one political party 2012 is an important year for SA politics Economic Recovered from recession Prudent macroeconomic policies, targeting infrastructure-led growth Job creation Strong business environment attracts investors – according to World Bank survey easiest BRICS country to do business in Economy is diversified with strong services sector

8 8 FOCUS ON EDUCATION South Africa underwent a major transformation in education following the end of Apartheid in 1994. Huge inequalities still exist. Lack of quality teachers, poorly functioning schools, backlog in infrastructure, absenteeism and strong unionisation mean the state system is failing large parts of the population. Two education ministries, Department of Basic Education (DBE) & Department of Higher Education and Training (DHET). January 2012 the Government launched its Green Paper on Post- School Education and Training outlining a broad policy for expanding and improving access, strengthening institutions, improving infrastructure, raising the quality of teaching and building coherence between basic education, further education and the labour market. 50 State Further Education Colleges. Numerous private and industry institutions. Type your title and date here 00/00/0000 UNCLASSIFIED

9 9 HOW TO ACCESS THE MARKET Skills shortage make the opportunities look obvious. But the space is very crowded. South African solutions, anti colonial sentiments, bolstering own economy, expensive imports. Local relationships are critical. Broad Based Black Economic Empowerment (BBBEE), Preferential Procurement Framework, Preferred Suppliers at Provincial level. Government is criticised for changing the system too often. May choose to work with private institutions in the first instance Sector Education Training Authorities (SETAs) National Skills Fund Further Education Training institutes need management skills. Need to be clear about what you are offering No quick wins Type your title and date here 00/00/0000 UNCLASSIFIED

10 10 UKTI IS REPRESENTED IN 3 MAJOR CENTRES FOR BUSINESS Type your title and date here 00/00/0000 UNCLASSIFIED Johannesburg (covering PTA), Cape Town and Durban

11 11 HOW UKTI SOUTH AFRICA CAN ASSIST YOUR COMPANY Our Services Bespoke research, market entry advice & introduction to potential partners In-market programme arranging Event Management Targeted functions with key & relevant contacts Business networking events Product launches For further information visit www.ukti.gov.uk/southafrica Ernst & Young Africa Attractiveness – www.ey.com 2012 Africa Attractiveness Reportwww.ey.com Grant Thornton Established a presence in SA - www.gt.co.zawww.gt.co.za Type your title and date here 00/00/0000 UNCLASSIFIED

12 12 KEY EXAMPLES OF UK COMPANIES OPERATING IN SOUTH AFRICA Type your title and date here 00/00/0000 UNCLASSIFIED

13 13 Type your title and date here 00/00/0000 UNCLASSIFIED HMG PROMOTING BRITISH CAPABILITIES AROUND THE WORLD


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