Fascinating. I remember you touching on the fluidity of global power structures in your piece last month. It's wild to think G20 membership was almost an algorythm of who was on a list the year I was born. Makes you wonder about the long-term impact of such quirks, even if SA does represent a continent.
I think the 2 approaches (international diplomacy vs investment roadshow) may actually be closely linked.
A couple of months ago, through a very random series of events, I had a very interesting conversation with a European diplomat. He was touring the country securing some investment opportunities for the country he represented. The version of South Africa he spoke about was very very different from that we read in the news everyday. He also mentioned that since there is so much uncertainty around the USA, many European countries have been looking to South Africa to diversify.
The South African market may be too small for the returns many European companies may be looking for. But if it continues its mission as a "Gateway to Africa" from 20 or so years ago (or even much longer if one considers Rhodes' vision), this may be attractive. If there are enough South African companies that can facilitate transactions (e.g. Standard Bank, ABSA, etc), logistics, etc, making South Africa a critical launchpad to a much bigger market. But for that to happen, there needs to be a degree of "soft power", both within African countries and to the rest of the world, where South Africa can be perceived as some kind of "leader" within the continent, and its companies having the capability and access to markets wider than home. And I think that's where the diplomacy comes in. If the "South Africa" name is frequently mentioned in global circles, that positioning is strengthened. I'm a regular reader of the Financial Times, and for a couple of weeks earlier this year, South Africa was regularly mentioned (not always good things ofcourse). Therefore, I think it's working.
Also, tnere is so much more to Johannesburg that potholes :D. I even forgot we had them until reading this post and noticing one or two again.
Reframing the G20 as an investment roadshow is a much smarter aproach than another round of diplomatic theater. The Heritage Foundation data on property rights and busines freedom really hits home, thats where the actual blockage is. Enthoven's potholes framing works because it shifts the narrative from decline to unrealized potential. If Ramaphosa can anounce tangible reforms like the ones you mentioned, it could shift investor sentiment faster than any charm ofensive ever would.
Fascinating. I remember you touching on the fluidity of global power structures in your piece last month. It's wild to think G20 membership was almost an algorythm of who was on a list the year I was born. Makes you wonder about the long-term impact of such quirks, even if SA does represent a continent.
I think the 2 approaches (international diplomacy vs investment roadshow) may actually be closely linked.
A couple of months ago, through a very random series of events, I had a very interesting conversation with a European diplomat. He was touring the country securing some investment opportunities for the country he represented. The version of South Africa he spoke about was very very different from that we read in the news everyday. He also mentioned that since there is so much uncertainty around the USA, many European countries have been looking to South Africa to diversify.
The South African market may be too small for the returns many European companies may be looking for. But if it continues its mission as a "Gateway to Africa" from 20 or so years ago (or even much longer if one considers Rhodes' vision), this may be attractive. If there are enough South African companies that can facilitate transactions (e.g. Standard Bank, ABSA, etc), logistics, etc, making South Africa a critical launchpad to a much bigger market. But for that to happen, there needs to be a degree of "soft power", both within African countries and to the rest of the world, where South Africa can be perceived as some kind of "leader" within the continent, and its companies having the capability and access to markets wider than home. And I think that's where the diplomacy comes in. If the "South Africa" name is frequently mentioned in global circles, that positioning is strengthened. I'm a regular reader of the Financial Times, and for a couple of weeks earlier this year, South Africa was regularly mentioned (not always good things ofcourse). Therefore, I think it's working.
Also, tnere is so much more to Johannesburg that potholes :D. I even forgot we had them until reading this post and noticing one or two again.
Thank you for this perspective, Patrick!
You're welcome. Forgive my spelling.
Reframing the G20 as an investment roadshow is a much smarter aproach than another round of diplomatic theater. The Heritage Foundation data on property rights and busines freedom really hits home, thats where the actual blockage is. Enthoven's potholes framing works because it shifts the narrative from decline to unrealized potential. If Ramaphosa can anounce tangible reforms like the ones you mentioned, it could shift investor sentiment faster than any charm ofensive ever would.