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Xenophobic attacks a big worry for business

Cape Town - In a strongly-worded statement, Business Against Crime SA (Bacsa) said on Tuesday it is clear that the recent xenophobic attacks cannot be managed by the SA Police Service alone, and it is therefore calling on President Jacob Zuma and the South African National Defence Force to play a more proactive role in deterring the violence.  

Bacsa expressed concern that the attacks could exceed the reach of xenophobia, causing a brain drain and an outflow of investors.

"How soon before we lose more skilled people in the country who want to flee South Africa because they fear the uncontrolled violence? How soon before businesses move their investments to countries that have an environment in which they feel safe to flourish in?" it asked.

Bacsa said it has recently observed a number of violent crimes being committed in front of security cameras, the public and even in front of the media. "Why are criminals becoming so arrogant? It is very clear that the criminal justice system is not a deterrent, because perpetrators just do not care.

"Are we becoming a lawless country? It recently seems as if we are heading there fast," said Bacsa.

The business body said the xenophobic attacks have already negatively impacted South African businesses both locally and in parts of Africa, a loss they can ill afford in a gloomy economic climate. "Business is the largest tax contributor to the South African government and yet at this point in time is highly vulnerable, without sufficient protection of their property or people.

"The South African economic climate has been bleak over the last few years. This problem has been escalated with the crisis at Eskom, and the recent spike in serious crimes. The xenophobic attacks are the cherry on top which is going to cause significant further deterioration of the economy.

"As South Africans, we are proud of our constitution because it set the tone for the development of a peaceful and fair democracy. It especially advocates the right to life. Government needs to spend more time teaching our communities about the values of the constitution and equally practise these values.

"More needs to be done to create jobs in the country, and to alleviate poverty. Many members of the community are disgruntled as they are still suffering in post-apartheid South Africa as they did before, if not more so. This is why any sort of competition for jobs or job creation involving foreigners is going to be unpalatable. Government needs to review its spend and channel considerably more funds towards social development in the country.

"As an organisation that deals with the SADC countries, I am deeply embarrassed by the xenophobic attacks in the country at present. Engagements and relationships built with other African countries over many years now stand the risk of being destroyed and tainted with distrust," said Bacsa CEO Advocate Simi Pillay-van Graan.

She called on the business community at large to join Bacsa in saving South Africa from further violent crimes.

Blue chip businesses join in condemnation

JSE-listed companies also added their voice in condemning the xenophobic attacks that erupted in Durban and Johannesburg in the past week.

"We join the SA government, organs of civil society, the labour movement and business in saying clearly that this is not the way we do things in South Africa; this is not the way we live," Standard Bank Group [JSE:SBK] CEO Sim Tshabalala said on Tuesday in a video broadcast shared with media.

Without disclosing a monetary value, Standard Bank said it was linking up with organisations - including Meals on Wheels, the Red Cross and Gift of the Givers - to provide relief for victims of xenophobic attacks.

In addition to an undertaking of monetary support, the bank said it has also encouraged its staff to become involved in fighting xenophobia.

'Blight on our history'

Bullion producer AngloGold Ashanti [JSE:ANG] condemned the "shameful attacks, perpetrated by a clear minority" as "a blight on our country’s history and on our democracy".

AngloGold Ashanti described itself as "a proudly pan-African company with mining operations across the world". This includes the African continent, where it has businesses in Mali, Guinea, Ghana, the Democratic Republic of Congo, Tanzania and South Africa.

It said the company's strength and resilience is rooted not only in its values and its commitment to treat all people with dignity and respect but also in its diversity, as AngloGold draws skills and talents from people in each of the countries in which it operates.

Tshabalala said Standard Bank Group, the largest African bank by assets with a unique footprint across 20 African countries, is part of Africa "where we have the privilege of serving 17 million customers throughout this beloved continent".

Said Tshabalala: "We hope that this initiative is going to contribute to the healing of all those involved."

This support follows Zuma's strong condemnation of the attacks on Monday. He stated: “Millions of South Africans condemn these atrocious killings and abhor xenophobia and all related intolerances. Together we must work harder to root out violence and hatred in our society."   

WATCH Standard Bank CEO's address:

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