Foreign Direct Investment

A targeted investment promotion strategy can play a powerful economic development role as it influences not only the attractiveness of location for inward investment, but also the benefits accruing to the local economy such as jobs creation, linkages (also provided by domestic capital) and knowledge spill-over.

 

In summary, to develop a resilient and formidable KwaZulu-Natal economy it is clear from the foregoing section that the department’s current programmes and interventions need to be strengthened through the effective implementation of strategies and programmes. Some of the key programmes that the department will pursue to engender future sustainable economic development and develop a robust and resilient local economy include, inter-alia, the following:

 

• Effective implementation of SEZs and Industrial Economic Hubs;
• Lobbying national government for speedy implementation of Infrastructure development programmes as per PGDS, SONA and SOPA;
• Beneficiation programmes;
• Capitalising on regional economic integration initiatives;
• Insulating strategic job creation sectors from foreign competition;
• Broaden KwaZulu-Natal export basket;
• Developing the KwaZulu-Natal export sector and inculcating an export culture among companies;
• Investment Attraction programmes; and
• Corridor development initiatives as per PSEDS.

 

Performance Delivery & Organizational Environment

 

A key challenge for the Department is building a resilient organisation. That can be defined as the ability of an organisation to automatically adjust to changes in the macro-economic environment in a manner that minimises the impact of such changes to its stakeholders. Factors that were identified as requiring urgent attention to strengthen organisational resilience of the Department include among others, efficient risk systems, highly skilled labour force, sound financial management, well-developed internal structures, robust business processes and systems. In addition, ability to anticipate and adjust to change requires regular and active stakeholder management.

 

Another key strategic challenge facing the Department is ensuring a synergistic and harmonious working relationship with its entities. Specifically, Public Entities’ strategies and programmes are sometimes not fully aligned to the Department’s priorities. In addition the oversight function that the Department must ensure over the entities is not optimal. One of the strategic objectives in the emerging strategy will ensure optimisation in alignment of entity interventions with the strategic priorities of the Department.