South Africa remains an attractive destination for Foreign Direct Investment (FDI) despite a slow down in FDI inflows, President Jacob Zuma said on Thursday.
Multilaterals have affirmed South Africa as a regional manufacturing hub and many companies have invested in expansions, upgrades and new plans in South Africa, Zuma said at a Q&A session in Parliament.
However, the president admitted that South Africa was also affected by global economy and as a result FDI inflows slowed by 8.3 billion US dollars in 2013.
The country has interventions to boost investment in science and technology, water and sanitation, transport infrastructure, broadband roll-out and state-owned companies, said Zuma.
“Government is also committed to improving the investment climate and enhance the ease of doing business,” Zuma said in response to allegations from opposition MPs that he managed the economy poorly.
“It’s not true that ever since I’ve taken power the country has gone down,” he said.
South Africa remains the largest recipient of FDI in Africa, he said.
In addition to SA being destination for FDI, the country is also an important source of FDI on the African continent, he said.
“The African continent is the next growth frontier. SA is in the fortunate position of having identified growth opportunities many years ago,” Zuma said.
He cited a recent Ernst and Young survey which put South Africa as an attractive destination for FDI. Enditem