Deputy President Paul Mashatile says South Africa is working on stabilising relations with the US, given the long-standing ties between the two nations.
Addressing the 7th BizNews Conference (BNC#7) at the Hermanus Municipal Auditorium in the Western Cape on Thursday, Mashatile said this partnership is also significant to South Africa’s economic development goals.
The BizNews Conference is an annual event focused on investment, business and political issues.
Strengthen own interventions
The deputy president emphasised the need for collaborative efforts. This is in light of recent cuts to key health funding programmes, including the President’s Emergency Plan for AIDS Relief (PEPFAR).
PEPFAR was established by former President George W Bush in 2003. It continued under various administrations.
“The withdrawal of PEPFAR funding highlights the urgent need for South Africa to further strengthen its own interventions to reach the most vulnerable and access health services and support,” Mashatile said.
He said the opportunity showed the importance of bolstering the country’s own healthcare interventions. Also ensuring the delivery of health services without heavy reliance on external assistance.
“In this regard, we have been investing heavily in healthcare reform and responding to the dual epidemics of HIV/Aids and TB. The Department of Health has put measures in place to ensure that patients receiving TB and HIV treatment are not affected and do not default,” he said.
Importance of keeping Agoa
Mashatile encouraged stakeholders to unite and support government in promoting South Africa’s interests in the US. These include through mechanisms such as the African Growth and Opportunity Act (Agoa).
“The loss of Agoa benefits would have the most devastating effect on South African farmers and agriculture workers. Agoa is presently providing support to South Africa’s agriculture and manufacturing sectors. These sectors are expected to generate around $21-billion in trade with the US.
“Therefore, our position is that South Africa should maintain strong bilateral relations with the US. Most importantly, as a country, we are committed to improving mutually beneficial trade. Also political and diplomatic relations with the US,” he said.
Diversifying export markets and growing the economy
The country’s second-in-command stated that South Africa should push for diversified export markets. He cited ongoing engagement with global powers such as China, Russia, India, and various European countries.
President Cyril Ramaphosa is currently co-chairing the EU-South Africa Summit. The summit aims to deepen relations with the EU across several domains. These include trade, security, and sustainable development.
In addition, Mashatile highlighted the importance of intra-African trade and financial cooperation. This through the African Continental Free Trade Area (AfCFTA).
African Continental Free Trade Area (AfCFTA)
The AfCFTA is a crucial step toward reducing dependency on volatile global markets, he said.
Mashatile believes that South Africa’s wealth of natural resources, including significant agricultural potential, is positioned as an attraction for investment.
He said government is committed to removing blockages to economic growth. This will lift economic expansion to above 3% in the medium-term. And it will also create a cycle of investment, growth and jobs.
He outlined government’s plans to focus on improving productivity and innovating skills development. This through the National Digital and Future Skills Strategy, as part of a broader vision for a knowledge-based economy.
He elaborated on the newly approved Reconceptualised Human Resource Development Strategy. It outlines priority goals aimed at enhancing early education outcomes and increasing youth employability. The strategy also ensures that higher education aligns with market demands, he said.
FATF grey list
Mashatile said South Africa is making steady progress in efforts to be removed from the Financial Action Task Force (FATF) grey list.
“Through new legislation, we have strengthened our ability to prevent money laundering and fraud. This will secure South Africa’s removal from the grey list of the Financial Action Task Force.”
He said the country has addressed 20 of the 22 action items. The items relate to combating money laundering and terrorist financing.
“These improvements are essential to remove ourselves from the grey list. Also to strengthen the battle against crime and corruption. And this is crucial for the betterment of all South Africans.
“We will continue to resolve both remaining action items by June. This towards our removal from the grey list by October 2025,” he said.
Moreover, the deputy president committed that South Africa will use its Group of 20 (G20) Presidency to place Africa’s development at the top of the agenda.
- SAnews.gov.za
