http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.84Change: -0.01
R/$ = 11.02Change: -0.07
Au 1171.20 $/ozChange: -29.02
Pt 1235.20 $/ozChange: -10.80
 
 
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 Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Jul 05, 2012

SA ranks in top 20 of prospective FDI host economies

Back
Johannesburg|Africa|Ghana|Industrial|Industrial Development Corporation|Massmart|Wal-Mart|Africa|Brazil|China|Egypt|Ghana|India|Indonesia|Korea|Libya|Mozambique|Nigeria|Poland|Republic Of Congo|South Africa|The Netherlands|United States|USD|Mining|Services|Jorge Maia|Unctad|Sub-Saharan Africa
|Africa|Ghana|Industrial||Africa|Ghana|||Mining|Services||
johannesburg|africa-company|ghana-company|industrial|industrial-development-corporation|massmart|walmart|africa|brazil|china|egypt|ghana|india|indonesia|korea|libya|mozambique|nigeria|poland|republic-of-congo|south-africa|the-netherlands|united-states|usd|mining|services|jorge-maia|unctad|subsaharan-africa
© Reuse this



South Africa has entered a list of the top 20 prospective host economies for investment by transnational corporations (TNCs) for the period 2012 to 2014, the latest World Investment Report (WIR 2012) shows.

The country ranked fourteenth, along with the Netherlands and Poland, in a survey of TNCs prepared and validated for the report by the United Nations Conference on Trade and Development (Unctad).

The ranking, which was topped by China, was based on the percentage of respondents selecting an economy as a ‘top destination’.

Industrial Development Corporation head of research and information Jorge Maia, who presented the WIR 2012 findings in Johannesburg on Tuesday, described the ranking as “ reasonably good news”. “Below us, interestingly, is a country like Korea,” Maia noted.

The survey responses also pointed to the growing importance of developing regions as locations for international production over the medium term. Among the top five countries, four were developing economies, including China, India (3), Indonesia (4) and Brazil (5) – the US was ranked second.

However, South Africa performed less well in Unctad’s ‘Foreign Direct Investment (FDI) Attraction Index’, which measures success in attracting FDI over a rolling three-year period.

The list is led by Hong Kong and includes eight developing and transition economies in its top ten, including the Republic of Congo. In addition, Ghana (16), Mozambique (21) and Nigeria (23) improved their rankings.

By contrast, South Africa was among a list of countries that Unctad said received less FDI than could be expected based on economic determinants.

Nevertheless, South Africa recorded a sharp turnaround in FDI inflows during 2011, which rose to $5.8-billion, or 13.6% of Africa’s total, during the period.

The rebound from $1.2-billion in 2010 was underpinned, Maia said, by Wal-Mart’s acquisition of a stake in Massmart, as well as mining-related corporate activity.

FDI into South Africa represented 7.5% of overall fixed investment in the country in 2011, and enabled it to emerge as the second-largest recipient, after Nigeria’s $8.9-billion.

The performance of Africa’s largest economy also accentuated the recovery in the inflows to sub-Saharan Africa as a region, which recovered from $29-billion in 2010 to $37-billion in 2011 – a level comparable with the 2008 peak.

Inflows to Africa as a whole declined, meanwhile, for the third successive year, to $42.7-billion from $43.1-billion in 2010. However, the decline was caused largely by the fall-off in investment to Egypt and Libya.

Unctad noted that, in addition to traditional patterns of FDI in sub-Saharan Africa’s extractive industries, the emergence of a middle class was fostering the growth of FDI in services such as banking, retail and telecommunications, as witnessed by an increase in the share of services FDI in 2011.

The outlook for Africa was “promising”, owing to improved investor perceptions, which were driven by relatively strong growth, higher commodity prices and economic reforms.

Maia noted that, during the first five months of 2012, purchases of sub-Saharan African firms (outside of South Africa) were more than double what they had been in the comparative period during 2011.

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Economy News
Updated 4 hours ago While South Africa may have the strongest reputation in Africa, the nation needed to enhance harmony with the continent’s other inhabitants to further spread the benefits of the “Africa rising” trend through boosting regional trade. Brand South Africa (SA) had been...
Rosatom VP: sub-Saharan Africa Viktor Polikarpov
Updated 6 hours ago Russian nuclear energy group Rosatom confirmed on Friday that it had canvassed funding options with South African government officials during a recent “nuclear vendor parade workshop” held in the Drakensberg on October 23. The company said the options discussed were...
More
 
 
Latest News
Updated 3 hours ago The retail price of 95-grade petrol in South Africa will drop by 45 cents or 3.3 percent a liter from next Wednesday, while wholesale diesel will decrease by 4.9 percent, the government said on Friday. Petrol will cost 13.16 rand ($1.20) a liter while the wholesale...
Updated 3 hours ago Special purpose vehicle GreenCape will, by the end of 2014, make an application to the Department of Trade and Industry (DTI), the Western Cape provincial government and the City of Cape Town to declare Atlantis, on the Western seaboard, a special economic zone...
Updated 4 hours ago The German government has committed a further R70-million towards the second phase of the Non-Motorised Transport (NMT) programme. The NMT programme forms part of the Department of Environmental Affairs’ 2010 FIFA World Cup National Greening Legacy Programme.
More
 
 
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
 
 
 
 
 
This Week's Magazine
In the next 20 years, it was expected that, in Africa, more people would live in cities and towns than in rural areas, United Nations Habitat executive director Dr Aisa Kirabo Kacyira said at the Human Settlements Indaba that took place earlier this month in...
Tough-talking Human Settlements Minister Lindiwe Sisulu has committed government to building 1.5-million low-cost houses over the next five years, telling the Human Settlements Indaba in Johannesburg on Wednesday that the State would achieve this target through the...
Over the past 20 years there has been persistent concern about deindustrialisation in South Africa, as well as the fact that locally produced manufactured products have been increasingly displaced by imports.
Financial agreement for Ghanian independent power producer (IPP) Cenpower Generation Company’s $900-million, 350 MW combined-cycle gas-turbine power plant was finalised earlier this month, paving the way for the project’s construction to begin before 2015 in Tema,...
The revenue implications for South Africa of ‘base erosion and profit shifting’ by corporate taxpayers are firmly in the crosshairs of the Davis Tax Committee (DTC) and Judge Dennis Davis hinted last week that recommendations were being considered to “detect and...
 
 
 
 
 
 
 
 
 
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