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Motlanthe visits UK to promote investment
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The Deputy President and his delegation will meet with investors, bankers, mining companies and opinion makers over the course of his visit.
Finance Minister Pravin Gordhan, Minister of Mineral Resources Susan Shabangu, and Deputy Minister of International Relations and Cooperation Ebrahim Ebrahim are part of Motlanthe's delegation.
The mining sector continues to play a central role in the country's economic, political and social environment.
Policy uncertainties, labour disputes, violence fuel investor perceptions
Addressing the Alexkor post-AGM briefing on Friday, Public Enterprises Deputy Minister Bulelani Magwanishe said the industry contributes about 20% to the GDP, over 15% to non-agricultural jobs, accounts for 12% of the total investment and over 30% of exports.
"South Africa's mining industry has come under sharp scrutiny over the last financial year alone. The 2012 tragic events at Marikana and widespread labour disputes have significantly impacted the mining industry," said Magwanishe.
Speaking at the Mining Lekgotla last month, Gordhan said government was, through the National Development Plan (NDP), doing all it can to mitigate the challenges that hamper growth in the mining industry.
While the industry has been faced with numerous challenges in relation to labour and operational costs, several interventions were being implemented by government to assist the industry in recovering from its setbacks.
Gordhan said this was at the back of several perceptions that fuelled doubt from existing and potential investors, including policy uncertainty, political and currency risk and the risk of production stoppages brought about by labour unrest.
Source: SAnews.gov.za
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SAnews.gov.za is a South African government news service, published by the Government Communication and Information System (GCIS). SAnews.gov.za (formerly BuaNews) was established to provide quick and easy access to articles and feature stories aimed at keeping the public informed about the implementation of government mandates.
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