Johannesburg – The Federation of Unions of South Africa (Fedusa) will be part of Finance Minister Pravin Gordhan's delegation to meet credit rating agencies and investors in the United Kingdom and the United States next week, Fedusa said on Sunday.
"Fedusa is the only trade union federation that will be participating in this international roadshow aimed at promoting South Africa as an investor-friendly destination and preempting the threat of a sovereign downgrading by the credit rating agencies," Fedusa general secretary Dennis George said in a statement.
This latest round of international roadshows was a follow-up to similar ones held last year where Team South Africa, made up of the social partners of government, labour, and business, were able to convince credit rating agencies and investors that they were working together to tackle structural problems facing South Africa.
“Engaging credit rating agencies and investors is important for the country to ensure rapid inclusive economic growth and the creation of decent jobs for our people. Investments are critical for any developing country,” George said.
“It is always important for social partners to work together to give hope to our people, especially the young who find themselves without jobs, and to deliver a single, positive narrative about the country when dealing with investors and credit rating agencies.”
If social partners did not work together to confront the myriad of structural problems facing the country it would imply that they were working against each other. This would be self-destructive and would not take South Africa forward.
Inclusive economic growth and job creation was not only about international investment. Domestic investment was also critical.
Similarly, economic growth was assured when citizens invested in the education of their children and in their own education, when a newly married couple invested in buying a new home, when an entrepreneur started a new small business, and likewise when the developmental agenda called for new resources and innovations, George said.
On Saturday, the National Treasury announced that Gordhan, his deputy Mcebisi Jonas, director general Lungisa Fuzile, key National Treasury officials, and business and labour representatives would embark on a non-deal international investor roadshow next week.
The delegation would spend two days in London (March 27 and 28), one day in Boston in the United States (March 29), and two days in New York (March 30 and 31), the Treasury said in a statement.
“This follows extensive engagements by senior National Treasury officials with domestic investors following the tabling of the 2017 budget by the minister of finance.
“Treasury has a consistent and longstanding strategy of engaging investors on a regular basis. The purpose of this is to provide an update on the most recent developments, engage constructively with investors, and share government’s thinking behind its latest policy proposals,” the statement said.