Air infrastructure needed to boost intra-trade

Inadequate transport infrastructure – including air infrastructure – continues to raise the cost of doing business in Africa and has constrained intratrade on the continent. “Without ever-improving infrastructure, South Africa – and the rest of Africa – will not be able to achieve its economic objectives,” said Department of Public Enterprises deputy director general, Kgomotso Modise, at the 4th annual Infrastructure Africa Business Forum held in Johannesburg last week. She commented that, compared to global standards, Africa was “woefully” lacking in its infrastructure development. “Inadequate infrastructure has increased the cost of business for most developing economies on the African continent,” she said, adding that this contributed to lower productivity levels on the logistics front. “African countries exhibit the lowest levels of productivity globally, which affects our competitiveness on the global trade stage,” said Modise. She pointed out that the facilitation of intra-Africa trade could boost regional economies but that adequate transport infrastructure was a key component of this. “Investment in infrastructure is key in promoting longterm, sustainable growth, which further creates the need for more infrastructure,” said Modise, noting that transportation was one of the core drivers of infrastructure development and economic growth. Modise noted that Africa presented “endless opportunities” for investors, which would, in turn, provide the catalyst for intra-Africa trade. Bridging the infrastructure gap requires adequate planning and private and public sector collaboration, said Development Bank of Southern Africa (DBSA) international finance group executive, Moe Shaik. INSERT & CAPTION Without everimproving infrastructure, South Africa — and the rest of Africa — will not be able to achieve its economic objectives. – Kgomotso-Modise