As South Africa moves to lockdown Level 2 (18 August), marked by the further easing of restrictions within the country, can we expect to see the swift economic recovery that the country needs – now that virtually all sectors within the economy have been allowed to open up?
Things don’t look positive when taking into account the devastating impact that the ramifications of the lockdown has had on the livelihoods of South Africans.
Business for South Africa (B4SA), an alliance of the main business groups in the country, does, however, believe the decision to move to Level 2 will enable a quicker recovery process.
“Now is the time for swift action to restart a more integrated and inclusive economy that can deliver growth and benefits for all,” says B4SA.
B4SA has made detailed proposals for a new economic recovery strategy that leverages the new social and economic compact forged between government, business, labour, and civil society during the pandemic, hasten the process for structural adjustment and ensure sustainable and inclusive growth.
Mining has a role to play in the post-COVID-19 economy, with the Minerals Council South Africa showing its support for B4SA’s accelerated economic strategy.
Minerals Council CEO Roger Baxter says that while COVID-19 could not have come at a worse time for South Africa, in many ways it has created the burning platform around which we can all unite – business, government, labour and civil society – to achieve a better outcome for the future.
A number of key priority areas for the mining sector have been identified by the Minerals Council and B4SA, which include the critical need to improve the country’s competitiveness and ease of doing business as well as significant structural, institutional and regulatory reform.
If the right actions are taken, it could result in an additional $3.6 billion in mineral sales, $0.3 billion additional tax revenues, 70 000 jobs saved and an additional 26 000 mining jobs and 47 000 indirect jobs created by 2024, Baxter believes.
Read more about Business for South Africa‘s stance