Corruption, political turmoil hit SA's competitiveness
27 September 2017
Johannesburg - Corruption was cited as one of the biggest obstacles in creating a competitive business environment in South Africa, as the country dropped 14 places in the World Economic Forum’s (WEF’s) Competitiveness Index.
The index, released on Wednesday, said South Africa’s economy was at a standstill.
South Africa’s overall ranking now sits at 61 out of 137 countries, its worst ranking since 2007. It is now only the third highest ranked sub-Saharan African country, with Mauritius taking top spot at 45 and Rwanda coming in second at 58.The latest WEF ranking comes as thousands of workers take to the streets in protest of state capture and corruption in a nationwide march organised by COSATU and the South African Communist Party (SACP).The erosion of South Africa’s institutions and financial was one of the most damning findings in the index, with the country's rankings sliding significantly. Last year South Africa moved up two places in the global competitiveness ranking – from 49th in 2015 to 47th position out of 138 countries. But the slow growth and political instability plaguing the economy were strongly reflected in this year's rankings.
The report listed corruption, crime and theft and government instability as dampening South Africa’s business environment.