Fin24

Gigaba: Investors confident

2012-09-07 18:02

Pretoria - Investors have confidence in South Africa's capacity to resolve the ongoing turmoil in the mining sector, Public Enterprises Minister Malusi Gigaba said on Friday.

The effects of the unrest would be limited, as the country had a proven record of conflict resolution, he told reporters in Pretoria.

"I don't think this (unrest) has had a major impact on the country because everybody knows that South Africa has a very solid Constitution.

"They know that the rule of law applies in this country and we are capable of resolving industrial disputes. We have (had) many industrial disputes that we had to deal with."

South Africa's image as a viable investment destination had not been significantly tainted so far.

"The international and domestic investors are confident that we have the necessary leadership with requisite skills and experience to rein in the situation."

However, Gigaba warned if the situation was not curtailed, many jobs could be lost in the mining sector.

He said prolonged turmoil would undermine investor confidence, which would lead to job cuts.

The government would work with its partners in labour and business to stabilise the mining sector.

"The challenge we face as government, mining sector, and unions is to ensure that we close the space for those who seek opportunistically to exploit genuine industrial disputes in the mines for political ends," Gigaba said.

"It's quite clear that in the wake of the tragedy at Marikana there are many people who have sought to abuse the situation for political gain."

The solution to the Marikana impasse would not be found "on the streets, with people shouting at one another".

"Instead of leaders going there (at Marikana) to fan the conflict, promoting the impasse, and hyping up the emotions, we need the leadership to say 'give the commission (of inquiry) time'."

The minister announced a review of the board of struggling state-owned diamond miner Alexkor. Rafique Bagus would chair the new board.

Other members of the newly-appointed board are Gillian Nonhlanhla Jiyane, Dr Nono Mohutsioa-Mathabathe, Mohammed Bhabha, and Zukiswa Ntlangula.

Dr Roger Paul had been retained from the previous board, "to provide institutional memory and continuity", said Gigaba.

"The company had budgeted for a loss in excess of R20m for the 2011/12 financial year. As a result of effective cost-cutting measures implemented, the company only incurred an actual loss of R16.4m for the year," Gigaba said.

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Comments
  • larry.piggott1 - 2012-09-07 18:27

    Another dose of ANC wishful thinking… or outright BS.

  • afrikeni - 2012-09-07 18:40

    I am convinced that there is a school that ANC politicians in particular goes to be taught to say senseless stuff in so many words with a straight face on top of that!!

      alf.pop - 2012-09-08 14:36

      The school is in Limpopo and to be guaranteed a place you need to be an ANC cadre, have an IQ below 20, preferably single digit figure and have failed and woodwork at least once!

  • Vince.York - 2012-09-07 18:50

    he ALSO has direct dialing to that one on a cloud?

      alf.pop - 2012-09-08 14:37

      He is constantly in a dense cloud!

  • tdshezi - 2012-09-07 18:58

    Who is he trying to convince? Because I'm not convinced and I'm not even an investor! Have the investors told him that or is that a figment of his imagination? Gigaba must remember that he now speaks for government not the ANCYL.

  • Zahir - 2012-09-07 20:02

    investors will take their money out this strike has gone on for a month and there has been no orogress to fix it anc is a spectator

  • tshifhiwap1 - 2012-09-07 20:41

    Y playin mnd gaes? Even a grade 1 kid cnt B fooled wit dis nonesense talk, He xul nt tok bout oppotunist,Poor ppl wu r wrkin hard,R in nid of increasment, Nxaaaaaa

  • Stewart Croucamp - 2012-09-07 21:16

    Stupid fool!

  • pieter.scholtz1 - 2012-09-07 21:19

    I don't buy it. In addition, where is the Leadership they keep talking about. Zuma is dead quiet on this issue. At a time like this we need statemenship. He is supposed to be the Captain of the ship. Where is he?

      KeeperofChaos - 2012-09-08 00:33

      In the shower.

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