Brexit no worry for SA-UK ties
May promises investment boost
British Prime Minister Theresa May has assured SA that her government’s looming exit from the European Union will not affect trade relations between the two countries.
May has also committed to lobbying British companies to help President Cyril Ramaphosa achieve his $100billion (R1.4-trillion) target for foreign direct investment.
May made these announcements at a joint press briefing with Ramaphosa at the presidential office of Tuynhuys in Cape Town as part of her first working visit to SA.
The British prime minister added that her government was determined to make the UK the number one investor on the African continent among the G7 – the seven most industrialised economies.
As of last year‚ the UK was SA’s sixth largest global trading partner with total trade at R79.5-bn.
With the UK set to exit the EU trade bloc by March 2019‚ May’s government signed an agreement on Tuesday with countries in the Southern African Customs Union (Sacu) to ensure trade relations with the UK are not affected once “Brexit” happens.
“We’ve agreed that as the UK prepares to leave the EU‚ we must think about how to grow that trade in the future.
“So‚ today‚ as you’ve just witnessed; we’ve signed the joint statement with SA‚ Mozambique‚ Botswana‚ Namibia‚ Lesotho and eSwatini (formerly Swaziland) to enjoy the provisions of the region’s current trade deal with the EU continue after this agreement no longer applied to the UK.
“This important step will provide the strong foundations on which we can build a closer trade and investment partnership in the future that brings even greater benefit for both sides. My ambition is for the UK to be the number one G7 investor in Africa by 2022.”
Ramaphosa said he welcomed the UK’s commitment to help achieve his $100-bn investment campaign‚ which was due to be discussed with British companies travelling with May at an investment round table in Cape Town later on Tuesday.
The investments are targeted at sectors such as manufacturing‚ mining‚ energy and tourism.
“We also confirmed our wish that the negotiations on the UK’s exit from the European Union are concluded in a manner that restores stability to economic and financial markets‚” Ramaphosa said.