SCOPA furious families still not moved off Cape Town’s railway tracks
SCOPA chair tells authorities to “shape up or ship out”
SCOPA chair tells authorities to “shape up or ship out”
International tax standards critical to combating illicit financial flows
Finance Minister Enoch Godongwana says tax administration tools are imperative to countering illicit financial flows and ensuring that governments can continue to collect revenue and serve society.
He was addressing the 13th Africa Initiative Meeting held by Tax Transparency in Cape Town on Thursday.
The Minister highlighted that in Africa, illicit financial flows are costing governments between €48 billion and €77 billion – valuable resources needed for functioning governments.
“[Tax administration] is one of the most valiant career callings because it is at the centre of enabling governments to provide infrastructure and basic services, and improve the lives of society at large, but especially the lives of the poor, vulnerable and marginalised. As tax administrators, you are tasked with the imperative responsibility of collecting what is due to governments in a timely and efficient manner.
“However, this task is not easy where tax evasion, tax crimes and illicit financial flows continue to spirit away revenues due to the State. A means to counter this scourge is [allowing] tax administrations, with the requisite tools and capabilities, measures such as tax transparency through Exchange of Information (EOI), as facilitated by the Global Forum and its regional partners,” he said.
Godongwana emphasised that although these tools are being improved, “this is only effective where the necessary political will is explicit”.
“We see this in the quality of laws that are passed, international agreements that are entered into, and the commitment to build competent and fully resourced tax administrations and the development of best international practices in effective tax administrations,” he said.
The Minister reflected on the efficiency of international tax standards and how these have become an “effective tool” in curbing tax evasion and other illicit financial flows.
“During the past eight years, the Africa Initiative has changed the tax transparency landscape in Africa, enabling the mobilisation of more than €310 million in domestic resources. However, continuous action is needed to ensure a long-lasting positive impact.
“Working with its regional partners, the Global Forum should continue to serve African countries and to support the Africa Initiative in its efforts to build or enhance their capacities to use the EOI standards at their full potential on the continent.
“From the South African experience, I can unequivocally say that [Exchange of Information on Request] and [Automatic Exchange of Information] are essential tools to drive tax compliance. As such, I want to urge members of the Africa Initiative to continue this important work, to collaborate closely, and to ensure that a sustainable legacy is left behind for future generations,” Godongwana said. – SAnews.gov.za
NeoB
Thu, 07/06/2023 - 12:04
President Cyril Ramaphosa has expressed deep sadness to the devastating and tragic loss of innocent lives at the Angelo Informal Settlement, in Boksburg.
A gas accident which happened last night has claimed the lives of 17 residents of the squatter camp.
The President extends his heartfelt condolences to the families that have lost loved ones.
President Ramaphosa has described this as a very sad morning.
He further urges investigators to get to the bottom of what may have caused this accident to avoid similar disasters in future.
Distributed by APO Group on behalf of The Presidency: Republic of South Africa.
Renault South Africa, in partnership with the Motus Imperial Trust, has donated a brand new library and resource centre to the Mangwele Combined School in Diepkloof, Soweto. The library, like two similar facilities donated earlier this year, is intended to promote literacy and a love of learning right from the primary stage of education. The …
Fatal gas leakage incident a 'tragedy' - Gauteng Premier
Gauteng Premier Panyaza Lesufi has passed his condolences to the families of those affected by a gas cylinder leak which killed at least 17 people in Boksburg on Wednesday evening.
A further 11 people have been hospitalised with some of them in a critical condition.
The incident comes just six months after a gas tanker exploded – killing at least 40 people in the same area.
Addressing the media at the site of the incident, Lesufi said support will be given to families of those affected and the surrounding community where the incident took place.
“We want as national government, provincial government and local government to extend our sincere condolences to all the families that have been affected. It’s a tragic event.
“We have learnt from the previous incident and our systems…this time, were on par and they responded the way we advised them and the lessons we learnt from the previous explosion. We are strongly monitoring the situation and we keep our eye on it. We have asked our experts to remain here,” he said.
It is believed that the gas cylinder was cut by illegal miners in the area – causing the leakage.
Lesufi condemned the alleged criminality and said a specialised unit needs to be formed in the SA Police Service to combat the scourge.
“We are under siege. We are using outdated law enforcement mechanisms in a new era that needs new forms of law enforcement. We have to overhaul our law enforcement response.
“This thing of illegal mining is completely out of control. I am of the view that we need a specialised way of training our law enforcement. They try…[but] the fire power of the illegal miners and the resources that [police] have are not…at the level that they confront these things.
“I am calling for a completely new strategy in confronting this thing. A strategy that is well resourced and the capability of our law enforcement agencies that are at a higher level and they need to respond as if we are in a war zone,” he said.
The premier said police are doing what they can to combat illegal mining but, he said, the service needs to be further capacitated.
“The police are doing their best…[however] we are exposing them because they are confronted with a situation that is well resourced, well connected and that has the firepower to create problems for all of us. We just have to capacitate the police with the necessary firepower to respond.
“We need firepower… from technology and from the air. If people get out of those illegal mines and come out, we need to be able to pick them up and we need to know where these activities are taking place. We can’t do that with the naked eye or the resources that we have,” he said.
The Premier is expected to meet with community leaders in the area. – SAnews.gov.za
NeoB
Thu, 07/06/2023 - 11:12
In respect of an ongoing court application which was launched back in 2018, wherein the Minister of Water and Sanitation is cited as a Respondent, the High Court of South Africa (Gauteng Division, Johannesburg) has, as per the agreement between the parties, ordered that the Minister of Water and Sanitation, Mr Senzo Mchunu, to file an affidavit outlining all the measures taken to date by the Minister in respect of the Minister's Vaal River Intervention in terms of Section 63 of the Water Services Act, 1997. The agreement was made an order of court and the notice thereof was given on the 26th of June 2023.
The main court application, which was filed by Save The Vaal Environment, a Non-Governmental Organisation, concerns “the discharge of raw or inadequately treated sewerage by Emfuleni Local Municipality from its wastewater care and management system into the Rietspruit River and/or the Klip River and/or the Vaal River and/or the Vaal River Catchment Area”. The matter has not been finally ruled on by the court.
The Section 63 Vaal Intervention, one of the Ministry's priority projects in Gauteng, includes the upgrading of water infrastructure, refurbishment, operations and maintenance, sustainability, water conservation, water demand management, and advocacy within the Vaal area. This is meant to deal with urgent matters relating to security of supply and more urgently, matters relating to the pollution of the Vaal River, and enhancement of capacity for the embattled Emfuleni Local Municipality.
Rand Water, as the Implementing Agent, was formally appointed on the 5th of October 2021. Minister Mchunu will be filing a detailed affidavit, containing amongst others, progress updates on the various elements of the Intervention.
Distributed by APO Group on behalf of Department of Water and Sanitation, Republic of South Africa.
Susan Robinson doesn’t believe in slowing down. Despite having a disability, this 73-year-old has started a career as a delivery person using the Uber Eats app– and she’s never been happier. Susan reveals that her introduction to Uber Eats came through her daughter and son-in-law, both of whom are drivers using the Uber app. “It …
President mourns former Minister in the Presidency, Essop Pahad
President Cyril Ramaphosa has paid tribute to struggle stalwart and former Minister in the Presidency, Essop Pahad, for serving the nation with pride, principle and pragmatism.
“Pahad was a thinker and strategist, who brought his understanding of the human condition, injustice and inequality at the national and international level to bear on our transition to democracy and in introducing a democratic, non-aligned and activist South Africa to the global community,” the President said on Thursday.
President Ramaphosa expressed deep sadness at the passing of Pahad at the age of 84.
“We mourn the passing of a veteran of our struggle, 65 years after he took his first revolutionary step of becoming a member of the Transvaal Indian Congress.
“Security crackdowns, banning and exile shaped Essop Pahad’s contribution over decades to our struggle, and as Parliamentary Counsellor to President Thabo Mbeki and Minister in the Presidency, to the early design and impact of our democratic state,” the President said.
He offered his deep condolences to the family, friends and comrades of the late veteran.
“He served our nation with pride, principle, pragmatism and a charm that lived comfortably alongside a tongue that could lash severely at the right provocation.
“Amid the excessive demands of his public life, Essop Pahad was deeply devoted to his wife, Meg, and was a proud and doting father and grandfather, who is now sorely missed. May his soul rest in peace,” the President said. – SAnews.gov.za
nosihle
Thu, 07/06/2023 - 09:39
For Google it appears that their much hyped Google Analytics 4 release is becoming a bit of a nightmare release as marketers and anaylists compile lists of why Google Analytics 4 sucks. And herein could lie a few lessons for PR Professionals and their clients. That Google is being panned for what is essentially a …
Leeuwfontein has been developed without subdivision or approval by local authorities. Now residents want services
Lesedi municipality non-payment a 'financial strain' - Eskom
Eskom has lodged a dispute against Lesedi Local Municipality as a result of the municipality’s failure to service its R125 million debt.
According to Eskom, the municipality began to default on payments in June last year and says it has exhausted “all avenues” to recover the debt.
“In January 2023, Lesedi submitted a payment proposal to Eskom to settle the arear debt, which Eskom accepted on condition that it would continue to service its monthly current account.
"However, the municipality defaulted on both the repayment and the current account by failing to settle the April 2023 invoice of R20 million that was payable on 29 May 2023, and only paid R7 million.
“The May 2023 invoice of R21 million, which was due on 29 June 2023, remains unpaid. Eskom has issued the June 2023 invoice of R38 million and that is payable on 27 July,” the power utility said.
Eskom has struggled to recover monies owed and regular payments from municipalities. Municipal debt for bulk electricity supply had ballooned to at least R56 billion by December 2022.
This, Eskom said, is hampering its ability to deliver on its mandate of supplying electricity to the country.
“Failure to service debt by Lesedi and other local municipalities burdens the power utility’s revenue streams, ultimately affecting service delivery. This puts further strain on Eskom’s finance and its ability to operate effectively,” Eskom said. – SAnews.gov.za
NeoB
Wed, 07/05/2023 - 11:33
Gina advocates for youth participation in N Cape projects
The education sector has been urged to help equip young people with skills that will empower them to participate in the various economic development projects earmarked for the Northern Cape.
Trade, Industry and Competition Deputy Minister, Nomalungelo Gina, on Tuesday addressed the Namakwa District Development Model (DDM) executive in Aggeneys in the Khâi-Ma Municipality in the Northern Cape.
Attended by stakeholders including the Northern Cape Agriculture MEC, Monopole Mase, mayors, municipal managers and senior officials, the meeting was convened to chart a way forward following the approval of the Namakwa One Plan DDM.
Gina is the national champion appointed by President Cyril Ramaphosa for the Namakwa District.
In the Namakwa district, efforts are being made to address critical challenges, among them the decline in mining activities, which has impacted negatively on the economy. The district is the biggest in the country by land mass.
One of the major upcoming programmes is the Namakwa Special Economic Zone (SEZ) recently designated by Cabinet. Vendata Zinc International is an anchor investor, with R16 billion earmarked for its operations in the SEZ.
Gina told the leaders and senior officials that one of the most urgent tasks is ensuring that schools, especially technical schools and institutions of higher learning work towards producing skills required by the new economic sectors for the district.
“This province is going to be the home of renewable energy for the country in solar, wind and green hydrogen. My biggest worry is the speed with which investments in the green economy are coming to this province and the district, without a local skills pipeline to meet them.
“We need to produce the required skills for these industries. I will not be excited to see technical people coming exclusively from outside the province and locals being left behind because of the skills deficit,” she said.
Gina said real work must begin immediately, and discussions with investors and the efforts to increase interest towards the district must be well coordinated.
The meeting resolved to establish two skills centres working with major companies, one in Poffader (in the Khâi -Ma municipality) and another in Port Nolloth (Ritchersveld Municipality), which is a host to Boegoe Baai deep sea and a future green hydrogen energy project.
The District Development Model was initiated by President Ramaphosa in 2019. It is aimed at improving the coherence and impact of government service delivery with focus on 44 Districts and 8 Metros around the country as development spaces that can be used as centres of service delivery and economic development and job creation. – SAnews.gov.za
Edwin
Wed, 07/05/2023 - 13:56
Planning tribunal gives the go-ahead
National Health Insurance: All you need to know
What is the NHI and how will it change the system?
Why do we need NHI? What are the benefits of NHI?
What is the significance of passing the Bill?
Who will be covered under the NHI Fund?
Will unemployed people be able to access health care services?
How much will it cost to receive services at a clinic, GP or hospital?
How can I register and what do I need for registration?
Will individuals be able to use facilities of their choice?
How will South Africans who do not have IDs be helped?
What services will be provided under NHI?
Will the NHI provide adequate cover compared to current medical scheme benefits?
Where will the funding for NHI come from?
Is NHI an affordable system?
Who will run the Fund?
What is being done to improve the infrastructure of public sector facilities?
There are initiatives underway to improve the conditions of public facilities. The Department of Health has allocated R7.2 billion over three years to facilitate maintenance, refurbishment, upgrades, replacements of infrastructure or new infrastructure.
Will the NHI destroy the private sector?
What role do private health care providers play in the NHI?
How will the NHI Fund procure health products?
What role do medical schemes play in the NHI?
Will NHI take the reserves of medical schemes?
What if I want to contribute to a medical scheme?
How does the NHI affect those who are currently insured by medical schemes?
How can I qualify to be an accredited health care provider under the NHI?
Is the function of accreditation by the NHI Fund substituting function of OHSC, HPCSA, SANC and other health professional regulatory bodies?
What are the requirements for accreditation with the NHI Fund?
Will private health care providers be forced to contract with NHI?
Not at all. Contracting with NHI Fund gives the health care provider opportunity to offer health care services to a designated population (significantly more patients than currently). The provider will not have to worry about the patients’ affordability as the Fund would have paid a capitation fee for the designated population. Patients who consult with providers who are not contracted with NHI will pay cash for the providers’ services. Patients will only be able to use their medical schemes to pay for benefits not covered by the Fund with non-NHI contracted providers.
What will happen in the first few years of NHI implementation?
How will corruption be prevented?
Matona
Wed, 07/05/2023 - 13:59
KZN boosts youth in business
The KwaZulu-Natal government has recommitted to provide funding opportunities for young people in business and those who want to start their own businesses.
Engaging with youth in business at Ilembe District, northern KwaZulu-Natal, Finance MEC Peggy Nkonyeni said the provincial government is committed to assist the youth, through Operation Vula Fund, the Youth Fund, Transformation Fund, and Small, Medium and Micro Enterprise (SMME) Fund.
“As a matter of fact, over R3 million of Operation Vula Fund has been spent on the youth during window two, with 19 females, 14 males and five people with disabilities all getting a piece of the funding pie,” Nkonyeni said.
Nkonyeni said there are various business ideas that can assist in starting and successfully running businesses, however, the key element is innovation.
“Youth should be innovative and approach any government entity to request guidance and support. We have brought various strategic government entities so that they can present to you all their services, and this will create an opportunity for a useful engagement that will assist in starting and running businesses,” Nkonyeni said.
Nkonyeni, together with Health Deputy Minister Dr Sibongiseni Dhlomo -- who are both champions of Ilembe District -- and various government partners held an engagement with young people in business to empower them with a package of interconnected business opportunities available with KwaZulu-Natal government.
The session aimed to empower the youth with vital information about supply chain, compliance and access to government funding. The engagement also aimed to assist in fighting youth unemployment that is estimated at over 30% in Ilembe District.
Young people were taken through the process of how to start and manage a business, and were given information on how to successfully manage a business and be compliant with the law.
The business owners were also assisted with their queries regrading government’s Central Supplier Database (CSD), which maintains a database of organisations, institutions and individuals who can provide goods and services to government.
Dhlomo encouraged the youth not to give up when their business ideas or businesses either do not get off the ground or collapse.
“We need the youth to stay focused, creative and always on the lookout for business opportunities. Government has availed funding schemes and we need to use these schemes to grow our businesses.
“As champions of Ilembe District, we need to see the difference next year in the area of youth businesses,” Dhlomo said.
Ilembe District Municipality Mayor, Thobani Shandu, emphasised the importance of engaging with Ilembe youth in business, and encouraged the youth to take advantage of the available funding opportunities.
“We want to give all the guidance and information that will assist our youth to start, run and grow their businesses. We want to have the type of youth who are not only thinking about getting employed.
“Unemployment is rife and we need the type of the youth who want to create employment and contribute to growing the economy of our district. Our youth must take advantage of these funding opportunities,” Shandu said.
Yoliswa Nxumalo from Mandeni, who attended the engagement, asked the provincial government to give guidance and support in running her agricultural farming.
“I am in farming and have 12 hectors of agricultural land. I need support to ensure that there is no piece of land that remains unused,” said Nxumalo. – SAnews.gov.za
GabiK
Wed, 07/05/2023 - 14:44
De Lille sends condolences to Greig Oliver’s family
Tourism Minister Patricia de Lille has sent condolences to the family and friends of Irish tourist, former rugby player and coach, Greig Oliver, who lost his life in a paragliding accident in Cape Town on Monday.
“We share in their grief and offer our full support at this difficult time,” De Lille said.
Oliver, 58, reportedly collided with another paraglider in the air above Sea Point Promenade.
Despite the immediate emergency response by the National Sea Rescue Institute and Emergency Services, he was declared deceased at the scene.
“South Africa offers a broad spectrum of adventure tourism activities, and we firmly believe in providing exhilarating, safe and memorable experiences to our visitorsm," De Lille said.
“This tragic incident is a reminder that we must fully support robust safety protocols and a strong regulatory environment to grow and develop South Africa as a destination in which adventurers feel safe and secure,” De Lille said.
She further reaffirmed South Africa’s commitment to the highest levels of safety standards maintained by the adventure tourism sector in South Africa, commending the efforts of organisations such as the Southern Africa Tourism Services Association, which promote self-regulation in the adventure tourism sector.
“Through our collective efforts, industry stakeholders, adventure tourism operators and associations can strengthen our safety protocols and ensure the well-being of adventure tourists.
“I am committed to engaging with industry stakeholders to collaborate on any initiative that prioritises the welfare of our tourists,” De Lille said. – SAnews.gov.za
Edwin
Wed, 07/05/2023 - 15:11
Cholera death toll rises to 47 after four new fatalities recorded
The Health Department on Wednesday confirmed that Cholera has claimed four lives in the Free State, pushing the death toll to 47.
While the department has recorded new deaths since the last reporting cycle, it said it has noted a significant decline in the number of both suspected and confirmed cholera cases around the country in the past few weeks.
A confirmed case is defined as a laboratory-confirmed presence of cholera bacteria called Vibrio cholerae in any patient with diarrhoea.
“A suspected case of cholera is a person of any age with or dying from acute watery diarrhoea with or without vomiting. In areas where a cholera outbreak has been declared, any person presenting with or dying from acute watery diarrhoea meets the criteria of a suspected case,” the department explained.
According to data, only one confirmed positive cholera case was recorded out of 28 new suspected infections in the past 10 days.
“This doesn’t mean the transmission of cholera is over, and members of the public are urged to remain vigilant and exercise personal hygiene at all times, especially when preparing and serving food during mass gatherings,” the statement read.
Data shows that the country has recorded a total cumulative number of 1 073 suspected cases of cholera in five provinces , of which 198 of them were laboratory-confirmed between 1 February and 4 July 2023.
Gauteng is leading with 176 infections mostly from Hammanskraal in Tshwane, while 11 were recorded in Free State, six in the North West, four in Limpopo and one in Mpumalanga.
In addition, most infections were diagnosed in the public sector, while 6% were detected at private laboratories.
In terms of gender distribution, females accounted for 52%, which translates into 102 out of 198 confirmed cases.
Meanwhile, the age group between 41 to 50 accounted for 23% (46 out of 198) cases, followed by 31 to 40 years at 17% (33 out of 198), while 60 years and above is sitting at 13% (26 out of 198).
The department urges all those involved in running initiation schools to work closely with healthcare workers to ensure that the cultural practice takes place in compliance with relevant health and safety regulations.
The department has since stressed the importance of personal hygiene and the provision of clean water from reliable sources to prevent the outbreak and transmission of waterborne diseases like cholera.
Meanwhile, efforts and interventions to prevent new infections mainly through health education and targeted case-finding activities continue. – SAnews.gov.za
Gabisile
Wed, 07/05/2023 - 15:20
Some Inanda families lost all their possessions and their homes
MEC saddened by two learner suicide deaths
Gauteng Education MEC Matome Chiloane has expressed his sadness at the untimely passing of two learners who took their own lives.
According to the department, a Grade 8 girl learner from Geluksdal Secondary School in Ekurhuleni and a Grade 12 girl learner from Nigel High School, also in Ekurhuleni, took their lives on Tuesday and Thursday respectively.
The department said according to information at its disposal, the learner from Nigel High School consumed poison at her home on Thursday and passed away.
The learner from Geluksdal Secondary School also consumed poison at her home on Tuesday in the evening. She was rushed to a nearby medical facility but died in the vehicle while being transported to receive medical attention.
“We wish to convey our deepest condolences to the families and school communities of these learners. Indeed, it is really concerning that learners will resort to taking their own lives. We call upon learners to always seek assistance for necessary support to be provided. Our psycho-social support team will visit all affected schools to provide required support to the school community and families once Term 3 begins,” MEC Chiloane said.
Learners who may be experiencing abuse or need counselling are encouraged to contact Childline by simply dialing 116 for assistance. – SAnews.gov.za
DikelediM
Wed, 07/05/2023 - 15:34
Sustainability, inclusivity, and growth are central to this year’s Ballito Pro Presented by O’Neill Festival, with organisers excited to announce an important programme addition, the Para Surfing Expression Session on Saturday, 1 July from 1pm to 2pm. Run by local non-profit organisation, Made for More, this session will allow adaptive surfers to showcase their skills …
The winter holidays have arrived, and while that might mean keeping warm indoors elsewhere, it’s time for fun in the sun on the sunny KZN South Coast! The Sardine Winter Festival is bringing beach and hinterland family fun until 16 July, with the Sardine Run still in action, and a number of great events on …
Court reaffirms non-compliant imported goods not allowed to enter SA
The National Consumer Commission (NCC) has welcomed the decision by the Gauteng High Court, Pretoria, reiterating that non-compliant imported Clothing, Textile, Footwear, and Leather (CTFL) goods cannot enter the Republic.
“We welcome this judgment and we believe that it clears up the confusion that surrounded both the Compliance Notice where and when the goods can be labelled,” Acting National Consumer Commissioner Thezi Mabuza said on Tuesday.
The NCC said the proliferation of non-compliant clothing, textiles, footwear and leather imported goods destroys the South African textile industry.
During the last financial year, the Commission issued more than 50 non-compliance notices to importers of CTFL goods. Non-compliant goods to a value of just above R18 million were either returned to the country of origin or destroyed.
The High Court also confirmed that the Commission is within its mandate to exercise its power bestowed to it by the Consumer Protection Act (CPA) by issuing a Compliance Notice where an investigation by the NCC revealed that the consignment does not comply with the provisions of the Act.
“I want to remind importers that it is their responsibility to ensure that their goods do comply with the CPA. Where the goods are non-compliant, we will not hesitate to issue non-compliances instructing Importers to either return non-compliant goods to the country of origin or destroy them,” Mabuza said.
Following an Investigation into the importation of non-compliant goods by Scoop Clothing, the NCC issued a Compliance Notice against Scoop Clothing.
In response, Scoop Clothing CC applied to the National Consumer Tribunal for the review of the Compliance Notice.
The review by Scoop Clothing was successful and the National Consumer Tribunal ordered the NCC to allow Scoop Clothing to apply compliant labels to the imported goods.
The NCC appealed the Scoop Clothing CC judgment handed down by the National Consumer Tribunal allowing the supplier to label non-compliant goods in the country.
“It has always been the NCC’s view that non-compliance cannot be rectified by allowing the importer to attach labels within the Republic.
“The High Court agreed with the NCC that imported goods can only be allowed into the Republic if they comply with the provisions of section 24, failure to comply means that goods must be returned to the country of origin or be destroyed.
“A Compliance Notice does not mean that a supplier can label non-compliant goods within the republic,” the Commission said. – SAnews.gov.za
nosihle
Wed, 07/05/2023 - 14:03
As preparations get underway for the 54th Ballito Pro Presented by O’Neill taking place at KwaDukuza’s Willard Beach from 27 June to 9 July, music lovers can get ready for another epic line-up of top South African musicians and DJs. This includes the free Ballito Pro Music Concerts coinciding with the final weekend on 6 …
UNCTAD's World Investment Report 2023 published on 5 July shows that foreign direct investment (FDI) flows to Africa declined to $45 billion in 2022 from the record $80 billion set in 2021. They accounted for 3.5% of global FDI.
The number of greenfield project announcements rose by 39% to 766. Six of the top 15 greenfield investment megaprojects (those worth more than $10 billion) announced in 2022 were in Africa.
In North Africa, Egypt saw FDI more than double to $11 billion as a result of increased cross-border merger and acquisition (M&A) sales.
Announced greenfield projects more than doubled in number, to 161. International project finance deals rose in value by two thirds, to $24 billion. Flows to Morocco decreased slightly, by 6%, to $2.1 billion.
In West Africa, Nigeria saw FDI flows turn negative to -$187 million as a result of equity divestments. Announced greenfield projects, however, rose by 24% to $2 billion. Flows to Senegal remained flat at $2.6 billion. FDI flows to Ghana fell by 39% to $1.5 billion.
In East Africa, flows to Ethiopia decreased by 14% to $3.7 billion; the country remained the second largest FDI recipient on the continent. FDI to Uganda grew by 39% to $1.5 billion on investment in extractive industries. FDI to Tanzania increased by 8% to $1.1 billion.
In Central Africa, FDI in the Democratic Republic of the Congo remained flat at $1.8 billion, with investment sustained by flows to offshore oil fields and mining.
In Southern Africa, flows returned to prior levels after the anomalous peak in 2021 caused by a large corporate reconfiguration in South Africa. FDI in South Africa was $9 billion – well below the 2021 level but double the average of the last decade. Cross-border M&A sales in the country reached $4.8 billion from $280 million in 2021. In Zambia, after two years of negative values, FDI rose to $116 million.
Four regional economic groupings see growth
Over the past five years, FDI inflows have risen in four of the regional economic groupings on the continent.
FDI in the Common Market for Eastern and Southern Africa grew by 14% to $22 billion. Flows rose also in the Southern African Development Community (quadrupling, to $10 billion), the West African Economic and Monetary Union (doubling, to $5.2 billion) and the East African Community (up 9%, to $3.8 billion).
Intraregional investment remained relatively small, despite an increase over the past five years. In 2022, intraregional greenfield project announcements represented 15% of all projects in Africa (2% in terms of value), as compared with 13% (2% in value) in 2017.
However, looking at announced projects invested in by only African multinational enterprises, three quarters of their value remained on the continent.
In 2022, the biggest increase in announced greenfield projects was in energy and gas supply (to $120 billion from $24 billion in 2021). Project values in construction and extractive industries also rose, to $24 billion and $21 billion, respectively. The information and communication sector registered the highest number of projects.
International project finance deals targeting Africa showed a decline of 47% in value ($74 billion, down from $140 billion in 2021) but a 15% increase in project numbers, to 157.
European investors remain, by far, the largest holders of FDI stock in Africa, led by the United Kingdom ($60 billion), France ($54 billion) and the Netherlands ($54 billion).
Distributed by APO Group on behalf of United Nations Conference on Trade and Development (UNCTAD).
