On 23 April the Trade and Industry Minister welcomed the 2017 Annual Foreign Investment Confidence Index release by AT Kearney, a global management company.
The index, entitled the Glass Half Full, ranks South Africa in position 25 which is a ray of sunshine and a more realistic representation of the state and outlook of South Africa’s economic prospects and investment landscape. According to the report, South Africa’s return to the index may be attributed to the short-term improvement of economic prospects and also the long-term investment potential in the country’s manufacturing sector. South Africa returned to the index after a two-year absence.
The Trade and Industry Minister said that in spite of the recent downgrade, South Africa was proactively meeting investors, foreign governments and foreign ambassadors to promote South Africa as an attractive investment destination which is confirmed by the AT Kearney index.
“Investors are convinced about the long-term investment prospects in South Africa. With sustained and continued improvements, SA is poised to lead one of the world’s next manufacturing hubs,” states Davies.
According to Minister Davies, South Africa performed extremely well compared to other African countries, after having the third highest drop in investment levels in 2015, according to UNCTAD’s World Investment Report, which estimated a 38% increase in investment levels for 2016. Minister Davies indicated that South Africa’s return to the index was remarkable and foreign direct investment (FDI) inflows were estimated at $2.4 billion according to the AT Kearney index.
The index is a product of survey results based on global Chief Executives Officer (CEO) views regarding investment potential of various economies.