South Africa: Focus on infrastructure and governance to boost jobs, say experts
Helanya Fourie and Claire Bisseker, writing for News24, argue that South Africa's approach to job creation should prioritize fundamental improvements rather than targeting specific "right" industries. They contend that reliable infrastructure, functional municipalities, and reduced bureaucratic red tape are more effective drivers of employment. The opinion piece suggests that addressing these basic operational issues will naturally lead to job growth. By focusing on these core elements, the country can create a more stable environment conducive to economic activity and, consequently, employment opportunities. This perspective challenges conventional strategies that often aim to identify and cultivate particular sectors believed to hold the most promise for job creation. Instead, the authors advocate for a foundational approach, emphasizing that a well-functioning system is the prerequisite for sustainable employment gains. Their argument implies that without these basic improvements, efforts to boost employment through industry-specific interventions may prove less effective.
This perspective highlights a potential systemic contradiction in economic development strategies. By focusing on "chasing the right industries," policymakers might overlook the foundational requirements for broad-based economic growth and job creation. Investing in and ensuring the reliability of essential infrastructure, alongside the efficient functioning of local governance and the streamlining of regulatory processes, can significantly reduce the cost of doing business and attract investment. This approach shifts the focus from potentially speculative industry targeting to creating a more predictable and enabling environment. Over the next decade, as automation and digital transformation accelerate, the importance of robust infrastructure and efficient governance will likely be amplified, as these are critical enablers for adopting and scaling new technologies and business models.
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