SU impact on local economy measured
STELLENBOSCH University’s (SU) impact on the town’s economy is estimated to be more than R5 billion for this year.
This is according to a recent study by the Bureau for Economic Research (Ber) at SU. The study aimed to give credible assessment and measurement of the economic contribution of the university to the economy of the Stellenbosch municipal area.
An economic impact assessment was done using the university’s operating and capital expenditure as well as spending by staff and students as an estimate of the initial impact of SU.
Analysis of spin-off companies and businesses and the role of SU as an anchor institution assisted in giving an indication of the non-quantifiable economic benefits of the institution.
SU’s Professor Johann Kirsten, director of the Ber, said the study found that the economic impact of the university on output was estimated to be R5 112m in 2016, and R5 644m this year. He said the university sustained 13 406 jobs.
“The more than 13 000 jobs, or full-time job equivalents, in the region sustained by the university is more than 17% of total local employment or income received by the jobs.”
SU’s chief operation officer, Professor Stan du Plessis, said: “Not only is the university labour intensive in that it creates more wealth than its relative size, but it acts as a catalyst in luring investors, entrepreneurs and business leaders alike while also actively contributing to Stellenbosch as a knowledge region.” |