DURBAN-- South African Trade and Industry Minister Rob Davies has called for greater co-operation among countries of the BRICS bloc -- Brazil, Russia, India, China and South Africa -- to raise investment levels.
Addressing a meeting of the BRICS Business Council in Durban on Sunday, Davies expressed concern over a large disparity among BRICS countries investing in South Africa. The BRICS Business Council Meeting began Sunday ahead of the annual BRICS Summit set to begin in Johannesburg on Wednesday.
Earlier this month, President Cyril Ramaphosa launched a 100 billion US dollars investment drive over the next five years. The business council is confident that the target will be reached within a year, with 20 billion already pledged by Saudi Arabia and the United Arab Emirates (UAE) during a recent trip by the president to those two Gulf nations.
While working towards making South Africa an investor-friendly market, stagnant investment inflow remains a challenge for the country.
Davies said the investment inflows of BRICS countries into the South African economy between 2003 and 2017 amounted to 17.8 billion USD and created 36,850 jobs but actually between 2001-2016 South Africa invested 68 billion USD, a larger sum, in other BRICS countries.
Dwindling infrastructure and skills shortage in South Africa have been identified as barriers for attracting international investments.
The main challenge I had would be to effectively overcome is the structural obstacles impending growth such as infrastructure, labour market constraints and skills shortage, says New Development Bank Vice-President Xian Zhu.
Source: NAM NEWS NETWORK