Select Page

“Policy actions are needed to reignite inclusive growth” – IMF’s Lagarde on South Africa

“Policy actions are needed to reignite inclusive growth” – IMF’s Lagarde on South Africa

Statement by Ms Christine Lagarde, Managing Director of the International Monetary Fund (IMF) at the conclusion of her visit to South Africa on 20 December 2018.

“I wish to thank President Ramaphosa, Governor Kganyago, who is also the IMFC Chairman, as well as Minister Patel, Minister Davies and other senior officials for their warm hospitality and our productive exchange of views during my visit to Pretoria. I would also like to express my gratitude to all stakeholders with whom I met, including women leaders, youth leaders, and civil society.

“South Africa has immense economic potential, including a young and dynamic population. The country has made substantial progress over the past quarter of a century, achieving much improved living standards for its citizens. There is a lot to be proud of.

“At the same time, South Africa is at crossroads. The country faces challenges to raise growth and create more jobs, particularly for the youth. It also needs to address the too-high levels of unemployment, poverty, and inequality.

“It is thus urgent to advance broad-based, albeit at times difficult, reforms to reignite growth and ensure that all South Africans share the benefits, irrespective of their race, age, or gender. And this needs to be done in the context of a very challenging external environment for emerging markets that calls for increased vigilance and rebuilding of policy buffers.

“Policy actions are needed to reignite inclusive growth. An important reform relates to fostering competition in the economy to attract private investment. There is also a need to strengthen public finances to stabilize debt at more comfortable levels by making expenditure more efficient, growth-friendly, and inclusive.

“Additionally, improving the operational efficiency and financial situation of state-owned enterprises to raise competitiveness and contain fiscal risk is essential. Finally, improving financial inclusion and continuing to identify and address corruption through increased transparency and accountability, and the rule of law, are also priorities.

“I agreed with the authorities to enhance the excellent policy dialogue that we have together.

“Once again, I would like to thank the government and people of South Africa for their warm welcome”.


(Photograph by Kopano Tlape, GCIS)


 

About The Author

Guest Contributor

A Guest Contributor is any of a number of experts who contribute articles and columns under their own respective names. They are regarded as authorities in their disciplines, and their work is usually published with limited editing only. They may also contribute to other publications. - Ed.

Following reverse listing, public can now acquire shareholding in Paratus Namibia

Promotion

20 February 2020, Windhoek, Namibia: Paratus Namibia Holdings (PNH) was founded as Nimbus Infrastructure Limited (“Nimbus”), Namibia’s first Capital Pool Company listed on the Namibian Stock Exchange (“NSX”).

Although targeting an initial capital raising of N$300 million, Nimbus nonetheless managed to secure funding to the value of N$98 million through its CPC listing. With a mandate to invest in ICT infrastructure in sub-Sahara Africa, it concluded management agreements with financial partner Cirrus and technology partner, Paratus Telecommunications (Pty) Ltd (“Paratus Namibia”).

Paratus Namibia Managing Director, Andrew Hall

Its first investment was placed in Paratus Namibia, a fully licensed communications operator in Namibia under regulation of the Communications Regulatory Authority of Namibia (CRAN). Nimbus has since been able to increase its capital asset base to close to N$500 million over the past two years.

In order to streamline further investment and to avoid duplicating potential ICT projects in the market between Nimbus and Paratus Namibia, it was decided to consolidate the operations.

Publishing various circulars to shareholders, Nimbus took up a 100% shareholding stake in Paratus Namibia in 2019 and proceeded to apply to have its name changed to Paratus Namibia Holdings with a consolidated board structure to ensure streamlined operations between the capital holdings and the operational arm of the business.

This transaction was approved by the Competitions Commission as well as CRAN, following all the relevant regulatory approvals as well as the necessary requirements in terms of corporate governance structures.

Paratus Namibia has evolved as a fully comprehensive communications operator in Namibia and operates as the head office of the Paratus Group in Africa. Paratus has established a pan-African footprint with operations in six African countries, being: Angola, Botswana, Mozambique, Namibia, South Africa and Zambia.

The group has achieved many successes over the years of which more recently includes the building of the Trans-Kalahari Fibre (TKF) project, which connects from the West Africa Cable System (WACS) eastward through Namibia to Botswana and onward to Johannesburg. The TKF also extends northward through Zambia to connect to Dar es Salaam in Tanzania, which made Paratus the first operator to connect the west and east coast of Africa under one Autonomous System Number (ASN).

This means that Paratus is now “exporting” internet capacity to landlocked countries such as Zambia, Botswana, the DRC with more countries to be targeted, and through its extensive African network, Paratus is well-positioned to expand the network even further into emerging ICT territories.

PNH as a fully-listed entity on the NSX, is therefore now the 100% shareholder of Paratus Namibia thereby becoming a public company. PNH is ready to invest in the future of the ICT environment in Namibia. The public is therefore invited and welcome to acquire shares in Paratus Namibia Holdings by speaking to a local stockbroker registered with the NSX. The future is bright, and the opportunities are endless.