South Africa-Economy-Reforms

Ramaphosa urges investors to take advantage of economic reforms

APA-Pretoria (South Africa)

South African President on Monday called on business and investors to take advantage of “the changes that are underway and turn their pledges and commitment made at investment conferences into tangible, job creating investments.”

The president was addressing the nation in his weekly newsletter as his government preparesd to release an update report on the work of Operation Vulindlela for the first quarter of 2022. 

Set up two years ago, the Operation Vulindlela report outlines the progress that government has achieved to identify challenges in network industries which are critical to the economy by providing technical support to the responsible ministries of these networks.

“The reform agenda is moving and its momentum is unstoppable. Together, let us build on this progress and translate economic reforms into growth, opportunity and employment,” Ramaphosa  said.

He emphasised that “the South African economy, like any other economy, cannot function -- let alone grow -- without efficient and competitive network industries.”

These industries, which included electricity, water, transport and telecommunications, were the arteries through which the oxygen of the economy ran, he said.

The structural problems in these areas had long been cited as some of the main constraints on the country’s economic growth, Ramaphosa said, adding that inefficiency and the high cost of network services were an impediment to doing business in the country.

This was why his government introduced Operation Vulindlela in October 2020 as an initiative of the Presidency and National Treasury to accelerate structural reforms in these network industries.

While the responsible government agencies entities were driving these reforms, “Operation Vulindlela monitors and identifies challenges and blockages -- and where needed, it facilitates technical support to ministries,” he said.

“This includes the auction of high-demand spectrum for mobile telecommunications, which was delayed for more than 10 years and finally completed in March. The release of new spectrum will improve connectivity and bring down broadband costs,” the president added.

NM/jn/APA

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