Cape Town - A ministerial committee is set to review new visa rules that have not only taken their toll on the local tourism industry, but stoked tensions within the ruling party.
On Tuesday, President Jacob Zuma announced that a committee comprising the ministers of tourism, trade and industry, home affairs, social development and small business development would look into the controversial regulations. The team will be led by Deputy President Cyril Ramaphosa.
“We have noted with concern the complaints about the new visa regulations,” Zuma told reporters in Pretoria, where he was providing a midyear review on the economy. “The ministerial committee will address the unintended consequences of the new immigration regulations on various sectors, including tourism and investment.”
The committee will consider the economic impact of the new regulations and advise the president on their findings.
Western Cape MEC for economic opportunities Alan Winde said he hoped the regulations would be entirely reversed, as they were stunting economic growth.
The new rules, which were implemented last year, require visitors to appear in person at a South African consulate in their own country before they can enter the country.
Some countries, such as China, have as few as two consulates, and visitors have to travel long distances to apply for visas.
Further rules implemented in June mean that children travelling to and from South Africa are required to carry a copy of their unabridged birth certificate.
According to stats released by Statistics SA, the number of tourists visiting the country dropped by 7.2 percent in the past financial year, with the number arriving from China seeing the largest dip - more than 32 percent.
Grant Thornton Advisory Services calculated that the direct spend lost to the economy as a result of the 150 000-strong tourist decline sat at around R1.6 billion, and predicted that if the decrease in visitors continued throughout the year, the country would have missed out on R2.8billion overall.
The tourism industry contributes nine percent to the country’s GDP and employs around 1.5 million people.
Winde said: “In order to save jobs and economic growth, they must withdraw the regulations completely.
“They have to look into how we can use innovation and technology to leapfrog other countries’ immigration processes to make tourism easier.
“With the rand-dollar exchange rate, South Africa should be the world’s top tourism destination.”
Speaking in Cape Town, Global Migration SA managing director Leon Isaacson said he hoped the review process would begin soon, pointing out that the regulations were hampering not only visitors, but those looking to obtain work permits and conduct missions abroad.
Global Migration SA wrote in a statement that the review process was an indication of the “seriousness of the negative impact impact on the economy” which had been brought on by the amendments to the Immigration Act in 2010 and the regulations published last year.
It’s not just those outside the ANC lashing out at the government. Tourism Minister Derek Hanekom said last month the rules had to be changed after visitor numbers dropped.
This prompted a backlash from Home Affairs Minister Malusi Gigaba, who argued they were needed to stem child trafficking.
The visa row is the latest headache for Zuma, who is under pressure over sluggish economic growth and high unemployment.
South Africa’s economy grew 1.5 percent last year, but Zuma said he hoped this would rise to at least 3 percent over the next three years if power constraints eased.
Cape Argus