This year’s World Economic Forum (WEF) Annual Meeting to be held in Davos, Switzerland, will be significant for South Africa, particularly as the country takes its spot at the forum bearing the Presidency of the Group of 20 (G20).
This is according to Finance Minister Enoch Godongwana, who addressed the pre-WEF breakfast session held in Sandton on Thursday.
The WEF annual meeting will be held from 20 January, with several Ministers, civil society and business leaders from South Africa expected to attend.
“This year’s WEF is particularly significant for South Africa. For the first time in many years, the President of the Republic, His Excellency Cyril Ramaphosa, will lead the South African delegation. This presents a golden opportunity to not only strengthen South Africa’s visibility on the world stage, but to also profile our G20 Presidency.
“Under the theme of Solidarity, Equality and Sustainability, our G20 Presidency reflects the essence of South Africa’s vision for global leadership,” Godongwana said.
The Minister told the breakfast session – which was attended by Ministers, high ranking government officials and business leaders – that Team South Africa will be presenting a united front at the WEF meeting.
“The WEF Annual Meeting brings together a wide array of key global stakeholders. These audiences are keen to understand the opportunities and challenges facing South Africa.
“It is essential that we align our key messages to showcase our country’s strengths, address misconceptions and advance our collective priorities. By presenting a unified message, we can enhance South Africa’s standing and influence in the global community,” he said.
The local environment
Godongwana acknowledged that the South African economy still faces challenges. However, he emphasised that there are reasons for optimism.
“The third quarter contraction, combined with the slight downward revision of the second quarter GDP, resulted in modest growth of 0.4% over the first three quarters of 2024. This was below the projections included in the 2024 MTBPS [Medium Term Budget Policy Statement] macroeconomic forecast.
“However, we remain cautiously optimistic. There are significant upside risks to growth in the final quarter, including faster-than-anticipated easing of inflationary pressures, improved electricity reliability, and the stimulus effect of the withdrawals of the two-pot retirement system. While the road ahead is challenging, these positive indicators provide a foundation for stronger growth in 2025 and beyond,” he said.
The 2025 WEF annual meeting will be the first for the seventh administration and the Government of National Unity (GNU).
Godongwana said since its formation last year, the GNU has “demonstrated its potential to unite the nation and foster progress”.
“This era of governance has allowed for meaningful discussions on accelerating structural reforms.
“The positive reception from both the markets and the public has created a conducive environment for the GNU to deliver on its commitments and build an investment friendly environment,” he said.
Returning to his earlier point, the Minister reiterated the importance of “collaboration between business and government, as we prepare to present South Africa’s story on the global stage”.
“As we prepare to represent South Africa in Davos, let us remember the strength that lies in collaboration.
“Together, government and business can drive the messages that matter most, which are those of resilience, opportunity, and shared prosperity,” Godongwana concluded. – SAnews.gov.za
