{"id":676011,"date":"2023-03-28T17:18:40","date_gmt":"2023-03-28T15:18:40","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=676011"},"modified":"2023-03-28T17:22:18","modified_gmt":"2023-03-28T15:22:18","slug":"another-warning-that-south-africa-is-at-risk-of-becoming-a-failed-state","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business-opinion\/676011\/another-warning-that-south-africa-is-at-risk-of-becoming-a-failed-state\/","title":{"rendered":"Another warning that South Africa is at risk of becoming a failed state"},"content":{"rendered":"<p>Lord Peter Hain &#8211; a member of the United Kindom House of Lords, an anti-apartheid activist, and <a href=\"https:\/\/www.thepresidency.gov.za\/national-orders\/recipient\/peter-gerald-hain\">long-standing friend and ally of democratic South Africa<\/a> &#8211; has added to the growing list of prominent persons warning that the country is heading in the direction of becoming a failed state.<\/p>\n<p><a href=\"https:\/\/www.youtube.com\/watch?v=fqfWf0t3npc\" target=\"_blank\" rel=\"noopener\">Speaking to PSG Konsult on the group&#8217;s Think Big series<\/a>, Hain said that South Africa is troubled, with power cuts, water cuts, and other service delivery failures continuing to plague to country.<\/p>\n<p>He added that the country struggles with incompetence, as many in high-level positions at state-owned companies &#8211; including Eskom, Transnet, the SAPS, SAA and the water system &#8211; are unqualified and are bankrupting the country.<\/p>\n<p>The situation will only worsen if corrupt politicians and incompetent officials are not rooted out, he said, adding that South Africans should &#8216;rise up&#8217; to tackle the issue.<\/p>\n<p>However, Hain is not recommending an insurrection, but rather a simple rejection of corruption &#8211; such as not paying bribes &#8211; as many small acts of rejection would add up to something more significant.<\/p>\n<p>Adding to this, he said that businesses must not be complicit in tender corruption and not pay bribes to get a contract &#8211; even if it leads to job losses.<\/p>\n<p>&#8220;I don&#8217;t say it&#8217;s easy to do. Obviously, these decisions are difficult, but unless you actually take the tough decisions and maybe make sacrifices in the short-term, you aren&#8217;t going to change anything,&#8221; he said.<\/p>\n<p>Despite the nation&#8217;s service delivery issues, he said that South Africa does have some things going for it which separate it from other failed states like Zimbabwe.<\/p>\n<p>South Africa has an independent opposition, a mostly-independent judiciary, and an independent media.<\/p>\n<p>&#8220;You do need a credible opposition&#8230; You have to fear the smell of defeat as a governing party to keep you true. And, unfortunately, the ANC &#8211; with which I have been associated historically for half a century in the anti-apartheid struggle &#8211; has betrayed the legacy of Mandela, Tambo, Sisulu, Kathrada and all of those giants.&#8221;<\/p>\n<p>Moreover, it is important for vigorous oppositions to assert themselves in order to challenge the ruling party.<\/p>\n<p>Despite the numerous issues facing coalition governments in South Africa&#8217;s municipalities, Hain said that coalitions should not be ruled out, as parties of goodwill can work together in the national interest &#8211; this may have to happen after the 2024 election with it highly unlikely that any party will have a majority.<\/p>\n<p>Moreover, Hain said that the existence of inquiries &#8211; such as the Zondo and Nugent commissions &#8211; are signs of a still functioning constitutional democracy, even if they take years to achieve anything meaningful.<\/p>\n<p>He added that there are senior officials in the country who are trying to address the nation&#8217;s issues, including some at the National Prosecuting Authority who are trying to bring people to justice.<\/p>\n<p>Other South Africans trying to tackle the nation&#8217;s problems should be offered protection.<\/p>\n<p>He said South Africa has talent, the best infrastructure in Africa, and a robust banking system, and contends that it is possible to see a corruption-free South Africa in our lifetime as long as everyone makes a determined push to eradicate it.<\/p>\n<p>The flow of investment into the country will ultimately depend on the speed at which corruption is eradicated, he said.<\/p>\n<p><strong>Not new commentary\u00a0<\/strong><\/p>\n<p>Many industry experts have noted and warned that South Africa is at risk of becoming a failed state.<\/p>\n<p><a href=\"https:\/\/businesstech.co.za\/news\/business-opinion\/672153\/south-africa-at-risk-of-becoming-a-failed-state\/\" target=\"_blank\" rel=\"noopener\">Earlier this mont<\/a>h, MTN Group CEO Ralph Mupita said that South Africa faces becoming a failed state unless the government effectively tackles the load shedding crisis.<\/p>\n<p>MTN said that it lost R695 million before interest, taxes, depreciation and amortization last year from load shedding.<\/p>\n<p>Mupita said that the state of disaster gives South Africa \u201ca unique opportunity to accelerate efforts to secure the resilience of critical national infrastructure such as telecommunications\u201d<\/p>\n<p><a href=\"https:\/\/businesstech.co.za\/news\/business-opinion\/563512\/south-africa-at-risk-of-becoming-a-failed-state-says-professional-body\/\" target=\"_blank\" rel=\"noopener\">The Institute of Risk Management South Africa<\/a> (IRMSA) also said that South Africa risks becoming a failed state if its &#8220;lack of decisive, ethical, and courageous leadership\u201d continues and no action is taken to improve and boost economic growth.<\/p>\n<p>\u201cIf South Africa continues to experience a continued breakdown of ethical and legal principles, unmanageable societal unrest and breakdown of the rule of law, complete economic collapse becomes almost inevitable,\u201d IRMSA said.<\/p>\n<p>It added that private and public sector leaders need to urgently develop and executive risk mitigation strategies in response to the nation&#8217;s challenges.<\/p>\n<p>Despite some steps to boost electricity generation in the country via independent power producers, intermittent blackouts continue to discourage investment.<\/p>\n<p>While there is no set definition of what makes a failed state, broader analysis of countries that have failed define it as a nation that has sovereignty but experiences a breakdown of political power, rule of law and civil society, pointing towards anarchy.<\/p>\n<p>The Fragile States Index by US think-tank Fund for Peace attempts to quantify the risk of a state failing by looking at indicators across social, political and economic segments.<\/p>\n<p>These include demographic pressures, loss of skill through the brain drain, and civil unrest among social indicators; inequality and rising poverty in the economic sectors; and a breakdown in public services, human rights, the rule of law and a growing class of factionalised elites when looking at state legitimacy.<\/p>\n<p>Many of these indicators have worsened for South Africa in recent years.<\/p>\n<p>The latest index for 2022 ranks South Africa 79th out of 179 countries &#8211; where the higher the rank, the higher the risk of state failure. This position is up from 89th in 2021, 115th in 2012, and 132nd in 2007 &#8211; its best position on the list.<\/p>\n<p>Zimbabwe ranks 15th on the index, with Yemen ranked in the top spot.<\/p>\n<hr \/>\n<p><strong>Read:\u00a0 <a href=\"https:\/\/businesstech.co.za\/news\/business-opinion\/675597\/no-urgency-from-government-to-end-load-shedding-economist\/\" rel=\"bookmark\">No urgency from government to end load shedding: economist<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>South Africa is in a terrible state due to several service delivery failures, with warnings that the country is at risk of collapsing. <\/p>\n","protected":false},"author":95,"featured_media":645565,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[26],"class_list":["post-676011","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-opinion","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/676011","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=676011"}],"version-history":[{"count":6,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/676011\/revisions"}],"predecessor-version":[{"id":676079,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/676011\/revisions\/676079"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/645565"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=676011"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=676011"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=676011"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}