http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.54Change: 0.02
R/$ = 12.18Change: -0.02
Au 1173.82 $/ozChange: -0.69
Pt 1086.00 $/ozChange: 6.50
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Feb 10, 2012

Government planning, infrastructure key growth drivers - Leipziger

Back
George Washington University International Business Professor Danny Leipziger on the importance of governments in planning for the supporting economic growth. Camera Work: Nicholas Boyd. Editing: Darlene Creamer.
 
 
 
Africa|Environment|Industrial|Africa|Manufacturing|Infrastructure
Africa|Environment|Industrial|Africa|Manufacturing|Infrastructure
africa-company|environment|industrial|africa|manufacturing|infrastructure
© Reuse this



In the prevailing context where economic growth will be harder to generate and global competition will intensify as nationalism grows, governments will have to play more strident roles in planning for and supporting economic expansion initiatives, a leading international economist told a South African audience at the weekend.

Speaking at the Centre for Development and Enterprise, in Johannesburg, Danny Leipziger, a former World Bank VP and currently international business professor at George Washington University, said that the Great Recession of 2008 and 2009 had served to reinforce the indispensible role that governments played in coordinating economic growth and development, as well as in guaranteeing stability.

Leipziger was the vice-chairperson of the 22-member Commission on Growth and Development, which was initiated in 2006 under the leadership of Nobel Laureate Michael Spence to study which policies and strategies had supported rapid and sustained economic growth and poverty reduction across the world. He is currently the MD of the Growth Dialogue, which seeks to connect policymakers and thought leaders to advance the economic-growth cause internationally.

In the commission’s work, which preceded the prevailing economic crisis, it was discovered that only 13 countries, mostly from Asia, had been able to sustain yearly growth rates of more than 7% for 25 years.

Five factors – including market openess, good macroeconomic management, a future orientation, a market orientation and strong government leadership and planning – were identified as having been common across all those countries.

Even ahead of the crisis the commission found that the governments in fast-growing countries had been central to crafting and driving the economic vision and in developing the economic and social infrastructure required to support rapid rates of growth.

“I believe that government’s role is even more indispensible than in the past . . . but it’s not the size of government that matters, but the effectiveness,” he said, noting that governments were currently not only being called upon to act as regulators, but also as risk mitigators.

It would take a combination of factors in the current hostile environment to ensure that a country was placed on a competitive footing. But the deployment, ahead of demand, of well-planned and implemented infrastructure could be an important growth “trigger”.

“I’m a big fan of infrastructure investment, because there is no country in East Asia that has grown rapidly that did not invest highly in infrastructure.”

But infrastructure was but one element, with another key factor being the development of a country’s human capital, as well as putting in place structures and policies to support the development of a domestic manufacturing sector.

Leipziger said that once South Africa had selected, through its national development plan or industrial policy, the areas in which it would compete it should immediately begin benchmarking itself against the international ‘best in class’ in those sectors and not simply against competitors in the neighbourhood.

“For South Africa, there are some major challenges that need to be tackled and it would be a mistake to try and tackle them piecemeal – you have to do a lot of things at the same time to create competitiveness and growth.”

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Macro and Micro News
Gauteng Premier David Makhura recommitted the provincial government’s support to the revival of Gauteng’s manufacturing base, telling the second yearly Manufacturing Indaba on Tuesday that policymakers would drive legislation that created an environment in which the...
Home Affairs Minister Malusi Gigaba
The Department of Home Affairs on Tuesday kicked off a two-day colloquium in Pretoria to deliberate on South Africa’s international migration policy. The colloquium is a culmination of the work started by the department last year to undertake a total review of the...
Purchases of electricity by municipalities have decreased by 4.4% between the quarters ended December 2014 and March 2015, Statistics South Africa (Stats SA) said on Tuesday. Joe De Beer, the Director General responsible for Economic Statistics at Stats SA, said this...
More
 
 
Latest News
Finance Minister Nhlanhla Nene
Updated 14 minutes ago The South Africa government confirmed on Wednesday that it had sold its 13.91% stake in telecoms group Vodacom to help finance the R23-billion injection into embattled State-owned electricity utility Eskom. The shares were sold to the Public Investment Corporation...
Updated 19 minutes ago This eight-page brief covers key developments in South Africa’s water sector over the past 12 months. It provides details of the state of South Africa’s water sector, planning and regulation, infrastructure, nonrevenue water and water-quality issues, as well as...
Gauteng Premier David Makhura recommitted the provincial government’s support to the revival of Gauteng’s manufacturing base, telling the second yearly Manufacturing Indaba on Tuesday that policymakers would drive legislation that created an environment in which the...
More
 
 
Recent Research Reports
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
Real Economy Insight: Automotive 2015 (PDF Report)
Creamer Media’s Real Economy Year Book comprises separate reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, gold, iron-ore and platinum sectors.
Real Economy Insight: Water 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Construction 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Electricity 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Road and Rail 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
 
 
 
 
 
This Week's Magazine
JSE-listed Afrimat will make a cash offer to acquire the entire remaining issued share capital of subsidiary Infrasors that it does not already own.
TEAMWORK Aggreko Europe, Middle East & Africa MD David Taylor-Smith; Aggreko Zambia chairperson Dr. Sixtus Mulenga; Aggreko Africa MD James Shepherd
Temporary power generation services provider Aggreko announced earlier this month that it had appointed Dr Sixtus Mulenga as nonexecutive chairperson of Aggreko Zambia, a move it believed was integral to the ongoing expansion of its operations in Zambia and the rest...
Major global aircraft manufacturer Airbus Commercial Aircraft is maintaining a steady course. "I don't have any big news, good or bad," company President and CEO Fabrice Brégier told international aviation journalists in Toulouse, France, at the company’s recent...
MEASURING DEVICES Bosch has released a mobile app that enables the measurements made with measuring devices to be sent and used directly on the app for accuracy and on-site quoting
Industrial tool manufacturer Bosch has increased the compatibility of many batteries in its range of blue industrial power tools and has released mobile-device applications (apps) for users of the tools, says Bosch South Africa training manager Peter du Bruyn. Many...
The new Nissan Navara has been launched onto the global market, but Nissan South Africa (NSA) will only know in August whether the local Rosslyn plant will assemble the one-ton pickup. The NSA plant currently produces the old NP300 Hardbody one-ton bakkie, as well as...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96