Global Scans · South Africa · Weekly Summary

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WHAT'S NEXT?: Local elections in South Africa this year could see the ruling African National Congress lose control of key cities like Johannesburg and Pretoria for the first time. South Africa's economy is at risk of falling into recession and public confidence in the ANC is falling.

• [New] The proposed bill, now in the House of Representatives, makes the claim that the South African government has a history of siding with malign actors and will consider whether South Africa has engaged in activities that undermine US national security or foreign policy interests. BizNews.com
• [New] Nigeria and South Africa receive preferential trade benefits through the U.S. African Growth and Opportunity Act. Carnegie Endowment for International Peace
• [New] The State Department accused South Africa of falling for Russian propaganda and influence, as well as warning all African countries to remain wary of China's interests and overtures. DNyuz
• [New] The South African Weather Services warned of cold temperatures, widespread rainfall, and potential flooding expected over parts of South Africa this weekend into early next week. SAPeople
• [New] Unlike South Africans, Namibians generally do not have a heightened perception of threat, including in the digital realm. Carnegie Endowment for International Peace
• [New] As the founding members of BRICS (Brazil, Russia, India, China, and South Africa) are significantly larger and more economically powerful than the other members, there is a risk that they could dominate decision-making and sideline the interests of smaller countries. Modern Diplomacy
• For international businesses, the burgeoning AI talent pool in South Africa and the Global South represents a frontier of opportunity. I by IMD
• For South Africa and its peers in the Global South, the unique opportunity to leapfrog into the forefront of the digital economy would transform economies, create jobs, and, most importantly, offer a pathway out of poverty for millions. I by IMD
• While South Africa has had limited GDP growth over the past few years, it remains the most industrialized economy on the African continent and still presents many opportunities for investors despite the economic challenges. Global Finance Magazine
• The combined maize exports from South Africa and Tanzania are unlikely to meet the regional demand, and some countries will likely have to source grain from East Africa (Uganda) and South America to fill supply gaps due to below-average regional grain supply. Fews Net
• South Africa has plenty of environmental laws but none that specifically oblige government officials to consider the risks and impacts of climate change when they approve new developments. The Conversation
• The antibiotic consumption will approximately double in the BRICS countries consisting of Brazil, Russia, India, China, and South Africa. PubMed Central (PMC)
• In South Africa alone, the hydrogen economy could add 3.6% to South Africa's GDP by 2050 and create over 370,000 jobs, as highlighted by the Ministry of Science and Innovation of South Africa at the Hydrogen Council's recent meeting in Johannesburg. Hydrogen Council
• In a significant move that could reshape global financial transactions, the BRICS countries (Brazil, Russia, India, China, and South Africa) are set to develop a unified payment system utilizing digital currencies and blockchain technology. Crypto Reporter
• Houthi attacks on commercial ships have led shipping companies to divert their routes away from the Red Sea, choosing instead the longer path around South Africa's Cape of Good Hope. Sucden Financial
• Four African countries alone-Nigeria, Ghana, Kenya, and South Africa - could rake in $136 billion worth of economic benefits by 2030 if businesses there begin using more AI tools. MIT Technology Review
• The Iran-backed Houthi's attacks on commercial shipping in the Bab-el-Mandeb Strait have significant implications for global trade, prompting the rerouting of commodities shipping around the Cape of Good Hope in South Africa, a key BRICS partner. Eurasia Review
• BRICS support could add a huge emphasis to the calls from South Africa - and Africa more broadly - for UN reforms that ensure more representative and democratic international institutions. University of Cape Town
• South Africa's weather service said the tropical storm is expected to mostly affect southern Mozambique, but its effect will also be felt over the extreme north-eastern parts of South Africa. ABC News
• The Houthi attacks, threatening freedom of navigation and global commerce, have led many shipping lines to take the longer Europe-Far East route round South Africa, avoiding the Red Sea and the Suez Canal. Eurasia Review
• Several shipping companies diverted their ships around the Cape of Good Hope in South Africa, increasing delivery times by 10 days or more on average, which IMF says has hurt companies with limited inventories. The Star
• On the local economy front, South Africa has the potential to become a leading producer of - and exporter of green hydrogen to the world. Engineering News
• Connecting the Mediterranean Sea to the Red Sea, the Suez Canal enables a more direct route for shipping between Europe and Asia, compared to going around the Cape of Good Hope, South Africa. United Nations

Last updated: 16 April 2024