Businesses pledge over R76 billion to boost KZN economy

KwaZulu-Natal Premier Thami Ntuli stated that it is his firm belief that KZN has tremendous potential for trade and investment growth toward 2030.

KwaZulu-Natal Premier Thami Ntuli stated that it is his firm belief that KZN has tremendous potential for trade and investment growth toward 2030.

Published Nov 12, 2024

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Sixteen major KwaZulu-Natal businesses made pledges of over R76 billion over the next two years at the 2024 Trade and Investment Conference in Durban on Monday.

The conference is facilitated by the KZN Department of Economic Development and Environmental Affairs’s (Edtea) entity Trade & Investment KwaZulu-Natal. The event includes keynote addresses by KZN Premier Thami Ntuli, Minister of Trade, Industry and Competition (DTIC) Parks Tau, and Edtea MEC Rev Musa Zondi, who welcomed the pledges but also called for further investment during the conference to unlock KZN's economic growth on a global stage.

The business pledges are expected to boost the provincial economy and create jobs.

Some of the pledges by businesses that have already seen work started include the Westown Shongweni, Tinley Leisure and the Edison Property Group.

Other investment pledges were made by Sappi Southern Africa, Sortor Investments, Devmco Group, P&G Construction, Toyota South Africa, Collins Residential, Natal Portland Cement, Moolman Group, Insimbi Ridge, Richards Bay Minerals, Defy, Edstan Group and Growthpoint.

Zondi said the pledges and commitments represent more than just financial investments.

“They are declarations of faith in our future, in our people, and in the promise of a shared vision. Let us remember that the true measure of our success will not be in numbers alone but in the lives we uplift, the communities we strengthen, and the resilience we build for KwaZulu-Natal.

“When we discuss investment, we must remember that it’s not simply about numbers, it’s about people, purpose, and potential."

Zondi said that the world faces an urgent call for investment that goes beyond profit, investments that address social and environmental challenges.

“In a time of complex global uncertainties, it is our responsibility to direct our resources towards transformative initiatives, those that generate sustainable returns while building a more equitable and environmentally conscious society.”

Zondi noted that the country’s economic indicators are promising.

“The South African economy grew by 0.44%, with KwaZulu-Natal's GDP increasing by 0.5% in the second quarter of 2024. While South Africa registered a trade surplus of R54 billion, KwaZulu-Natal experienced a trade deficit of R3.2 billion in Q2 2024. This highlights the need for targeted strategies to attract foreign direct investment and to bolster our export capacities.”

Tau said that DTIC has supported KZN through financial and infrastructure support during Covid-19 and the 2022 floods.

“This financial and infrastructure support has been instrumental in helping businesses in the province rebuild swiftly. Stats SA confirms that KZN is now leading with a growth rate of 1.1% and remains second in GDP contribution, representing 16% of the national economy.”

Tau added that expanding trade and investment is critical for re-industrialising the economy.

“DTIC remains committed to enhancing our industrial base through sectoral master plans and we encourage businesses in KZN to scale up their investments while inviting new investors to take advantage of the province’s potential. Our focus is on positioning South Africa as a preferred investment destination and regional hub.”

Ntuli stated that it is his firm belief that KZN has tremendous potential for trade and investment growth toward 2030.

“Over the past decade, KZN has made notable strides in attracting investment across key sectors. Significant milestones include developments at the Port of Durban and the Port of Richards Bay, two of Africa’s largest and busiest ports. These upgrades, such as increased container capacity, automation and infrastructure improvements have bolstered KZN’s role as a regional logistics hub.”

Ntuli said the Dube TradePort, adjacent to King Shaka International Airport, has attracted over R2 billion in investments and has become a vital hub for warehousing, logistics and air freight.

“We are building on a strong foundation, but we must reinvigorate our strategies. KZN is an established tourism destination, with recent investments in hospitality infrastructure, for example, the reopening of the international Hilton Hotel and the renewal of the (Southern Sun) hotel chain along the Durban beach promenade."

He said with strategic investments, KwaZulu-Natal is well-positioned to attract diverse trade and investment by 2030.

THE MERCURY