Government is working on a number of initiatives that will reduce the cost of doing business in South Africa.
In his weekly open letter to the public, President Cyril Ramaphosa said these initiatives will attract foreign direct investment and help to cultivate a new crop of home-grown companies.
“The most effective way to reduce poverty and create economic opportunities for South Africans living in townships and rural areas is by enabling them to start up and grow their own businesses,” he said.
“While many entrepreneurs struggle to mobilise capital and access markets, they also find it difficult and costly to meet the regulatory requirements for starting and running a business.
“Key to this will be the introduction of a common application form across our development funding institutions. We are working to make business easier for both the person starting out in their garage and for the multinational looking to open a new factory.”
Ramaphosa said that his government plans to make it easier to start a business, register a property, deal with construction permits, pay taxes and trade across borders.
“To promote greater efficiency, we are reducing the time it takes to grant licences and permits.
“We are working with business to ensure that the conditions attached to licences are not too onerous or costly. We have prioritised immigration reform to attract more skilled workers and to grow tourism,” he said,
“Visitors to our country will soon be able to apply for an e-visa online. I recently signed a law to establish an Electronic Deeds Registration System that will improve turnaround times, enhance accuracy and make information more readily available.”
In addition to the above direct changes, Ramaphosa said that his government is also working on a number of reforms focusing on ‘institutional quality’.
He said that these reforms would restore the balance of powers across different state entities – enhancing administrative efficiency and governance.
“The path towards change is a difficult one and our challenges are significant, but we must forge ahead with our economic reforms because they are yielding results.
“South Africa is steadily becoming a better place to do business,” he said.