‘Transnet investment mst grow the economy'

As Transnet embarks on its R300bn investment strategy over the next seven years, the key issue underpinning the entire programme is growing the economy. “The vital signs are there for everyone to see,” Transnet Port Terminals CEO Karl Socikwa said last week. “GDP growth in Africa is worrying at around 2.7%. Unemployment is a concern at 23.9% and inflation is at a very worrying level. “We’ve also seen other global economic indicators. And while they don’t impact on us specifically, they do impact on our customers and other stakeholders. We have to shape our thinking in terms of what we have to do to turn the tide and ensure the South African economy grows at a faster rate. We also need to ensure we are creating jobs and developing skills.” For the past 12 months Transnet has looked at the infrastructure backlog and its impact further down the line. “We looked at what we need to do together with our business partners to ensure that we implement measures that deal with the backlog and inject some vibrancy into the economy. And the outcome of that is our market demand strategy.” It’s a very bold capital investment plan that is informed by what the market demands – hence the name. “It’s aimed at ensuring that we invest at the rate necessary to cater for that demand and we will work closely with our customers to ensure we develop human capital and create sustainable jobs for the economy. INSET ‘It’s a very bold capital investment plan that is informed by what the market demands.’