South Africa’s efforts to attract investment while also strengthening trade on the continent, are paying off.
On Thursday, Cabinet welcomed Toyota South Africa’s (TSAM) investment in Kenya.
“Cabinet welcomes the investment by TSAM in Kenya that will see the country reassemble Toyota Hilux kits produced at the company’s manufacturing plant in Durban. This is in line with advancing intra-African trade and strengthening the automotive manufacturing sector in the continent,” said Cabinet in a statement following its fortnightly meeting.
Last week, TSAM announced the start of its export operations to support local assembly of the Hilux bakkie in the East African country. The investment is worth R20 million.
TSAM said the start of production in Kenya will be later in October 2019.
Meanwhile, Cabinet also welcomed the findings of the World Economic Forum’s (WEF) annual Global Competitiveness Index.
In the index published earlier this month, South Africa jumped seven places in the 2019 report that provides an annual assessment of the drivers of productivity and long-term economic growth.
South Africa now ranks 60th out of 141 economies assessed in the survey.
The index showed that South Africa had moved up seven places, making it, according to Cabinet, more attractive for investors and increasing the possibility of creating much-needed jobs.
“The improved ranking affirms that government’s interventions in strengthening the building blocks of reviving the economy are beginning to yield positive results. Cabinet calls on South Africans to build on these remarkable achievements,” said Cabinet.
As part of efforts to attract more investors, President Cyril Ramaphosa this week also engaged investors and business leaders on the sidelines of the 6th Financial Times Africa Summit in London.
President Ramaphosa delivered the opening address at the summit, which focused on business affairs and opportunities in African countries.
Next month, South Africa will hold its second Investment Summit which will take place from 5 to 7 November 2019.
“The conference will again seek to mobilise R1.2 trillion in new investments over the next five years and promote the country as a preferred investment destination,” it said.