SA knows how to win. On the rugby field, cricket pitch and athletics track our flag flies high and our anthem rings out as champions stand on podiums. In sport, we punch well above our weight. But when the spotlight shifts to economics and global competitiveness, the story changes dramatically.
This contrast stands out most clearly when SA takes its seat at forums such as the G20 and B20. These gatherings of the world’s largest economies shape trade, investment and policy decisions that affect billions of people.
SA’s presence presents an opportunity for pride and progress. But the uncomfortable question arises whether we earn our place through performance or whether our inclusion is due more to global optics.
The G20 brings together 19 countries plus the EU to address global economic issues. The B20 provides the business voice for this collective, offering input on growth, sustainability and trade. Inclusion unlocks access to critical conversations about the future of the global economy.
A seat at these tables should represent seriousness about reform, innovation and development.
From rising star to fading narrative
SA was once a rising star among emerging markets. The Rainbow Nation narrative of the 1990s captured the world’s imagination. Investors believed in our story of resilience and renewal.
That narrative has faded and been replaced by slow growth and deepening inequality. Recent years show economic growth failing to exceed 0.6% in 2024, with an expected 0.7% forecast for 2025. Unemployment remains elevated at almost 32% in the fourth quarter of last year, and youth unemployment (ages 15-24) at 45%.
Schools failing competitiveness test
The education system reinforces this narrative. SA consistently underperforms in international literacy and numeracy benchmarks, placing near the bottom globally.
The Pirls 2021 study ranked SA last out of 57 countries, with 81% of grade 4 pupils unable to read for meaning. Poor educational outcomes drive low productivity and hamper competitiveness.
Recent global productivity rankings show SA trailing behind other middle-income nations and even some of its African peers. Rwanda and Kenya have made notable strides in digital innovation and ease of doing business, while Nigeria’s tech sector continues attracting global investment.
This trend underscores an urgent need to reform or risk being outpaced by regional neighbours.
The drag of corruption and crime
Corruption represents another obstacle with measurable real-world costs. SA scored 41 out of 100 in Transparency International’s 2024 Corruption Perceptions Index, ranking 82nd out of 180 countries, below the global average of 43. The Global Organised Crime Index shows SA’s score increased from 6.63 in 2021 to 7.18 in 2023, positioning it among the highest globally.
Illegal mining exemplifies these dynamics. There are about 30,000 illicit miners, known as “zama zamas” operating under about 200 syndicates, costing the economy about R21bn annually in lost revenue, with more than 34 tonnes of gold smuggled abroad between 2012 and 2016. These figures represent more than mere statistics; they are tangible evidence of weakened state capacity and eroded public trust.
From symbolism to substance
Inclusion in the G20 and B20 should represent more than symbolic representation. These forums offer platforms for action on pressing global challenges such as climate change, trade reform and digital transformation.
SA has the opportunity to influence these conversations. Actual impact depends on the reforms and credible progress demonstrated domestically.
There was a time when SA inspired the world. We fought for moral reasons, passed laws advancing justice, and worked collectively to build a better future. The Rainbow Nation was never just rhetoric; it was a commitment to progress. That spirit must be reignited to reclaim our place as a respected voice in global forums.
Symbolic representation will not suffice. SA must earn its seat at the table through measured improvements in governance, education and entrepreneurship. Our nation possesses immense potential through vibrant entrepreneurs, natural resources and creative talents. These strengths will convert into sustainable growth only when we confront structural blockers.
SA holds a seat at these global tables, but its influence seems constrained. Presence without progress diminishes credibility. The challenge is to transform token representation into transformative leadership through sustained, visible reform.
• Pillay is group CEO of Ariston Global.
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