Domestic policy key to addressing SA’s five major risks identified by WEF — analyst

The World Economic Forum meets in Davos this week. Picture: X / @wef Government and private sector dignitaries are in Davos this week to grease the world’s economic wheels. In the build-up to the glitzy gathering, the World Economic Forum (WEF) released its annual global risk report last week, listing the five major risks identified in each country.

Economic downturn, disruptions to critical infrastructure, as well as crime and the illicit economy, were among the top five risks in South Africa. The second-biggest concern cited by the WEF was insufficient public services and social protections such as education, infrastructure and pensions. Topping the list was a lack of economic opportunity and unemployment, highlighted by the country’s 44.9% composite measure of labour underutilisation.

The WEF was assisted in the evaluation of South Africa’s risks by Business Unity South Africa (Busa), which states that its mandate is to enable South African businesses to contribute towards development, economic growth, and transformation goals. “Busa’s work is largely focused on influencing policy and legislative development for an enabling environment for inclusive growth and employment,” Busa stated. South Africa’s government delegation features five ministers from the finance, business development, tourism, electricity and energy and international relations and cooperation ministries.

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“The delegation’s strategic intent is to position South Africa as an attractive investment destination reflected in demonstrable progress in attaining macroeconomic stability, positive momentum in economic reform implementation, regional leadership, and global diplomacy,” the government stated on Sunday. The ministers will be backed by delegations from the South African Reserve Bank, three other government entities and at least 10 of the country’s biggest companies, including its major banks. While the stage is set for global flattery, one analyst believes South Africa already has the keys to its own economic freedom.

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