DURBAN - At the official launch of the Global Business Services (GBS) Incentive in London, UK, in December, Minister of Trade and Industry, Dr Rob Davies said “the Business Process Services (BPS) industry offers South Africa the largest job creation potential across all service sectors”. The previous BPS incentive programme resulted in the creation of an additional 20 000 direct jobs in the sector, with an average growth rate of 22% a year during the period 2014 to 2018.
Durban has proven to be increasingly popular over recent years to both foreign and domestic companies. Durban as well as the greater eThekwini Metropolitan Area are witnessing considerable growth of the BPS sector. While already home to some major international and domestic business process operators who service a wide array of international blue-chip clients, Durban has even greater potential to become a BPS investment destination of choice.
Along with our local BPS partners Trade and Investment KZN plus Invest Durban, the eThekwini Municipality has wholeheartedly embraced the BPS sector and boosted its participation in the sector by pioneering the implementation of the “eThekwini Municipality BPESA KZN BPS Skills Development Programme”. This programme has thus far resulted in the sourcing of 420 previously disadvantaged youth who have now been trained and placed in gainful employment within the sector.
BPESA KZN, together with significant investment and participation from its government and industry partners now looks to repeat the successes of this pilot programme over the coming years in a provincial-wide drive.
An important outcome of the continued joint efforts of the eThekwini Municipality, BPESA KZN and Tongaat Hulett Developments has been the identification and subsequent development of two sites within the Bridge City Precinct in KwaMashu specifically for a BPS Park. The participating stakeholders identified BPS as a priority sector as listed in the Industrial Policy Action Plan for South Africa , because of its potential to create jobs for excluded youth, and to generate export revenue for all.
BPESA as a representative of Global Business Services Sector in the country, welcomes the revised incentive package, which will ensure that South Africa remains highly competitive as an offshore delivery location for GBS in an increasingly competitive global market.
The government’s continued support for this sector is applauded and sends a clear message to global investors that our country is serious about BPS business.
Andy Searle, is chief executive of Business Process Enabling South Africa (BPESA). BPESA is the sector association and trade body for GBS (incl. BPO, BPS, shared services and contact centres) For more information go to www.bpesa.org.za or email [email protected]