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Business unity a catalyst for SA stability and growth in an election year in the ‘most unequal society on Earth’

Ryan Ravens
By Ryan Ravens
2 May 2024
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Corporate business has a critical role to play in building investor confidence, attracting foreign investment and convincing our peers that South Africa is a worthwhile investment.

It’s an election year and as the big day draws closer, our media headlines and collective attention inevitably become saturated with opinions about what might, could, or should happen to take our country forward. 

This election will mark 30 years since South Africa became a democracy, following the 1994 elections, which marked the end of apartheid and the beginning of a new era of democracy.

With our newfound democracy came the promise of equality, justice, economic development, and prosperity for all. Sadly, after 30 years of democratic freedom, we still have a very long walk to realise much of that promise.

‘Most unequal society on Earth’


We are now the most unequal society on Earth with the highest Gini coefficient (statistical measure of economic inequality) in the world. Justice has become a far-fetched fantasy as rampant corruption among the political elite has resulted in our judiciary being battered by wave after wave of attack, orchestrated by senior political leaders intent on escaping accountability for their nefarious acts.

Within this context, as South Africa also continues to grapple with the highest unemployment rate in the world, economic development and prosperity for all remains a distant dream for most.

South Africa desperately needs a government with a sense of crisis and urgency — leaders committed to the greater good rather than their own selfish interests. Leaders who are able to inspire confidence, attract investors, and leverage the full potential of the private sector.

Business has notably rallied around the Cyril Ramaphosa administration, following the Jacob Zuma government that was particularly anti-business with its “white monopoly capital” narrative. The results, however, have been considerably underwhelming.

The current administration has done brilliantly well at selling the story of working hand-in-hand with big business to get South Africa back on track — commissions were appointed, committees and workgroups formed, all overlaid with considerable PR and feelgood puff pieces.

No meaningfully addressing of malfeasance


Looking back over the past six years of this presidency, it seems increasingly as if it was all done simply to appease investors and big business, without any real intention to meaningfully address the malfeasance that defines our public sector.

Now, at this critical inflection point ahead of the elections, business needs to reevaluate how we will discharge the responsibility to contribute towards accelerated social upliftment. There has arguably never been a more important time for greater business unity — as we not only brace for the inevitable political upheaval from our own elections, but also try to navigate an increasingly uncertain global geopolitical space.

It starts with us


Of course, it starts with us — business leaders should lead by example, demonstrating ethical leadership, transparency and accountability, to inspire confidence and trust. Corporate business, as the anchor tenants of our national economy, should aim to prioritise collaboration over competition in order to address our common challenges and drive collective growth.

There is immense power in the collective voice of business. The strength and influence of unified business leadership in advocating for economic stability and policy reforms cannot be underestimated. We need to be willing to wield that collective voice without fear or favour, irrespective of who comes to power following the elections.

Stop kowtowing


Organised business should stop kowtowing to any particular political faction and instead get back to speaking truth to power. Business leaders should be wary of repeatedly signing public pledges of support while neglecting to call out the obvious corruption and incompetence destroying our country.

As our political domain undergoes its cyclical change, we should pursue stronger business unity, aligning respective interests and priorities to support initiatives that promote socioeconomic development and political stability. Far greater impact can be achieved if corporate social responsibility and nation-building initiatives are better aligned and collaboratively supported.

Read more in Daily Maverick: Business Unity SA needs to rethink its critical embracing of the unconstitutional Idac Bill

Corporate business, perhaps more so than government, has a critical role to play in building investor confidence, attracting foreign investment, and showcasing a favourable business environment. We have the collective ability to convince our peers that South Africa is a worthwhile investment, supported by a unified and committed business community.

Greater uncertainty ahead


One thing that is certain over the coming months is far greater uncertainty — with respect to everything from our own political sphere, geopolitical tensions and the US election, to climate change, basic service delivery (water and power) and social stability in South Africa.

Through sharing insights and learnings freely among a unified business community, we are able to better navigate this uncertainty, collectively mitigate risks, and seize opportunities for growth.

Thirty years into our democracy, we can no longer wait for our national government to save us from themselves — we need to acknowledge the significance of business unity and its role in shaping the economic and political landscape.

Collectively as business we should accept our responsibility in shaping South Africa's economic trajectory and make our voices heard as we continue to speak truth to power. DM

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