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Cape Town - South Africa’s competitiveness is still on the decline.
The country is now judged 52nd out of 59 countries in the latest competitiveness report from the esteemed Swiss International Institute for Management Development (IMD).
South Africa is the only African country included.
Last year it was placed 44th of out of 58 countries, in 2007 50th of 57, in 2008 53rd of 57 and in 2009 48th of 57.
On Monday the 2011 report was released by Albert Brink, Cape regional manager of ProductivitySA.
He said that South Africa certainly does not fall in the global premier league in terms of competitiveness.
Poor management is, in his view, a major reason for South Africa’s competitive decline. Brink believes South Africa is developing a reputation as a lazy country.
One of the categories in which South Africa fared poorly was infrastructure – in terms of healthcare, education, research and development. In this category South Africa occupied the second-last position, after being rated 51st in 2010.
In the employment category South Africa also fell from second-last last year to last this year.
Hong Kong remains the most competitive region, followed by the US, Singapore, Sweden, Switzerland, Taiwan, Canada, Qatar, Australia and Germany.
Countries that have now left South Africa behind include Mexico (38th), Turkey (39th), Colombia (46th), Slovakia (48th), Russia (49th), Romania (50th) and Slovenia (51st).
Countries that dropped below South Africa include Greece (down from 46th to 56th) and Jordan (53rd). Argentina lies 54th. Ukraine (57th), Croatia (58th) en Venezuela (59th) were rated worst.
If a country like Chile, which competes directly with South Africa’s deciduous fruit and wine, can come 25th and Kazakhstan 36th, why can’t we do as well, asked Brink.
Alan Winde, Minister of Finance, Economic Development and Tourism for the Western Cape, thinks the biggest obstacle is the decline in direct foreign investment in the country.
South Africa now receives only the ninth-biggest share of foreign investment in Africa and countries like Kenya, Ghana and even Rwanda are starting to leave South Africa in the shade.
Winde said that investors always look for certainty and nationalisation talk frightens them off. Good labour legislation is of course necessary, but when it becomes an impediment this has to be discussed.
- Sake24
For business news in Afrikaans, go to www.sake24.com.
The country is now judged 52nd out of 59 countries in the latest competitiveness report from the esteemed Swiss International Institute for Management Development (IMD).
South Africa is the only African country included.
Last year it was placed 44th of out of 58 countries, in 2007 50th of 57, in 2008 53rd of 57 and in 2009 48th of 57.
On Monday the 2011 report was released by Albert Brink, Cape regional manager of ProductivitySA.
He said that South Africa certainly does not fall in the global premier league in terms of competitiveness.
Poor management is, in his view, a major reason for South Africa’s competitive decline. Brink believes South Africa is developing a reputation as a lazy country.
One of the categories in which South Africa fared poorly was infrastructure – in terms of healthcare, education, research and development. In this category South Africa occupied the second-last position, after being rated 51st in 2010.
In the employment category South Africa also fell from second-last last year to last this year.
Hong Kong remains the most competitive region, followed by the US, Singapore, Sweden, Switzerland, Taiwan, Canada, Qatar, Australia and Germany.
Countries that have now left South Africa behind include Mexico (38th), Turkey (39th), Colombia (46th), Slovakia (48th), Russia (49th), Romania (50th) and Slovenia (51st).
Countries that dropped below South Africa include Greece (down from 46th to 56th) and Jordan (53rd). Argentina lies 54th. Ukraine (57th), Croatia (58th) en Venezuela (59th) were rated worst.
If a country like Chile, which competes directly with South Africa’s deciduous fruit and wine, can come 25th and Kazakhstan 36th, why can’t we do as well, asked Brink.
Alan Winde, Minister of Finance, Economic Development and Tourism for the Western Cape, thinks the biggest obstacle is the decline in direct foreign investment in the country.
South Africa now receives only the ninth-biggest share of foreign investment in Africa and countries like Kenya, Ghana and even Rwanda are starting to leave South Africa in the shade.
Winde said that investors always look for certainty and nationalisation talk frightens them off. Good labour legislation is of course necessary, but when it becomes an impediment this has to be discussed.
- Sake24
For business news in Afrikaans, go to www.sake24.com.
