Business
As Africa grows, South Africa ceases to become continent’s gateway
“With 240 Australian listed mining companies, among others, and over 800 oil and gas outfits operating in Africa, the gateway concept is declining. Many of these companies operate from their host countries and go direct to the resources as required, rather than setting up headquarters in Africa, we (South Africa) focus heavily on BRICS and not on African countries. But BRICS might fizzle out,” Games said.
“We inherited the role of a gateway, it wasn’t necessarily a policy objective,” commented one South African trade official. “And we are certainly not a gatekeeper, which is the connotation that goes with the idea of a gateway.”
But according to the official, it is not really relevant whether South Africa is losing its gateway status. “We would welcome investments being routed directly to African countries. That way our collective growth trajectory is increasing. It means our policies are working. It means that the continent is growing and becoming more competitive. We need a growing Africa for South Africa’s own future.”
By Servaas Van Den Bosch for IPS
