South Africa is now a member of the BRICS countries and yet so many organisations, heads of sectors and industry are yet to grasp the economic relationships that this new partnership brings. South Africa has become a gateway to the African continent for the original BRICS economies. South Africa’s inclusion signifies an important evolution of BRICS into an alliance spanning across four continents being Asia, Africa, Europe and America, further enhancing its representation and voice. Africa needs $480 billion for infrastructure development over the next 10 years, which will attract the interests of the BRICS’ business communities. Already, Africa as a continent is projected as the third-fastest growing region in the world, while the BRICS now constitute the largest trading partners of Africa and the largest new investors. This economic relationship will be further strengthened as Africa forges ahead towards regional economic integration. This move will open up opportunities for more foreign direct investment and expand trade relations with BRICS countries. South Africa leads the continent in terms of mineral and industrial output, electricity generation, infrastructure, sophisticated financial markets and service industries. BRICS partners are the largest trade partners of both Africa and South Africa. This collaboration, it is predicted will further encourage inter-country trade. Intangible benefits could also be brought to South Africa by BRICS cooperation, such as economic growth strategies from Brazil, Russia, India and China.
HiltonLambert presented an expert paper to the Economic Outlook in Africa Conference that considered the theme ‘Identifying the Economic Value, Relationships and Investments in the BRICS’.
A full view of the synopsis is available here.