Gumede showing excessive optimism
YOUR front-page report (May 5) “£s for the Promenade” refers.
It is interesting to note that at the launch of the Durban business fair and on the eve of the annual tourism Indaba in the city, eThekwini Mayor Zandile Gumede said “the city’s aim is to double their present R100 billion investments placed in major projects around the city”.
I am of the view that what Gumede said is a sensational pipe dream.
Let us be practical – South Africa is now known to be an unstable country – a junk state like many on the African continent, and the bid to lure investors to South Africa is not going to be easy.
Investors from Britain, Europe or other countries are not fools to invest in South Africa – they are eagerly watching and are well informed of the unfavourable political situation in the country.
If they do decide to invest, they won’t rush in to do so, but they will closely watch the situation.
In other words, no investor will want to invest overnight in the country.
It is not like during the Mandela and Mbeki era – politics was stable and foreign investors had confidence in the economy and in the future, and this led to investors to South Africa in droves.
After ex-president Jacob Zuma took office, the vibrant economy got into the doldrums. The unemployment figure is steadily rising, while the unstable political situation continues to prevail.
For how long this is to continue, is a good question, and it is on everybody’s lips.