The Country's emergence from recession a relief to business

6 September 2017

The County’s emergence from recession is both a relief and a source of encouragement for business,” says the Cape Chamber of Commerce and Industry.

“It is the sort of positive news we desperately need,” said Ms Janine Myburgh, President of the Chamber, “but there is a great deal more that we need to do to ensure that the recovery is sustained.”

One of the reasons for the improvement was the bounce back by agriculture after the drought in the northern parts of the country, but this was still an uncertain area for the Western Cape which has experienced a very dry winter.

“In spite of this, the lifting of the dark cloud will encourage investment for further growth and this will send a good signal to the rating agencies.”

In the long term, however, the country had to deal with fundamental problems like the corruption which was draining South Africa of the resources needed for investment and job creation. “We also have to deal with the gross mismanagement of the State owned enterprises and get our municipalities into shape,” Ms Myburgh said.

Structural reforms were urgently needed to make it easier for companies to employ the young and inexperienced and measures were needed to ensure stability in the labour market like the long-overdue use of secret ballots before a strike.

Issued by Dean Le Grange, Media and Digital Co-ordinator, Cape Chamber of Commerce and Industry, 6 September 2017