Deputy president Paul Mashatile is pitching for UK investment in SA’s renewable energy and mineral beneficiation sectors as he leads a delegation of ministers at the government’s London Investment Week, which opened on Monday evening with a lavish gala dinner at London’s Savoy Hotel.
The event aims to strengthen SA’s trade and investment ties with the UK, which has traditionally been one of the country’s largest trading partners and biggest sources of foreign direct investment. It also showcases SA businesses, particularly small and medium enterprises (SME), providing a platform to pitch for funding from potential investors.
It is expected to attract particular interest from investors who are keen to get a sense of how well the government of national unity (GNU) is working, and to assess Mashatile himself.
Mashatile assured a Bloomberg panel on Monday the UK had a special place in SA hearts — and that the GNU was working to create a conducive environment for businesses to thrive. The GNU was “working together to ensure that we do not derail our efforts to reform society for the better. It is the best tactical option for us to move the country ahead”, he said.
SA is the UK’s largest trading partner in Africa, accounting for nearly a third of its trade with the continent, and is the UK’s 29th-largest trading partner internationally, according to a government briefing note, which also points to the longstanding relationship between the JSE and London Stock Exchange (LSE).
The SA high commission and LSE will host an SA investor day on Tuesday morning with ceremonial speeches at the opening of the London market day, and a series of panel discussions featuring London-based investors and economists, as well as government ministers.
SA’s sizeable ministerial delegation includes international relations & co-operation’s Ronald Lamola, public works & infrastructure’s Dean Macpherson, small business development’s Stella Ndabeni-Abrahams and planning, monitoring & evaluation’s Maropene Ramokgopa.
Finance deputy minister David Masondo is among the four deputy ministers in the delegation, though the Treasury is in a closed period ahead of the medium-term budget on October 30, so it is not clear how much he can share on SA’s public finances and outlook.
The London outing coincides with President Cyril Ramaphosa’s meeting with business leaders to launch the second phase of the 16-month-old partnership between business and government to tackle the energy, logistics and crime crises holding back economic growth. The partnership, which has delivered improvements, particularly in energy, is due to provide an update on its progress on Tuesday afternoon.
Absa, which is one of the sponsors of the London investment week event and SA business showcase, said the events intended to highlight SA’s vibrant SME sector and the role it played in the country’s economic growth.
“The event aims to enhance collaboration between the SA and UK entrepreneurship ecosystems, focusing on connecting SA SMEs with major businesses, facilitating market access and exploring funding opportunities,” the bank said.
Mashatile said SA sought to strengthen its bilateral partnership with the UK in trade, investment, skills development, science, innovation, tourism and the just energy transition. SA was expediting funding for investment-ready projects in all areas of the just energy transition. It also sought co-operation on key minerals.
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