Gauteng Business 2017/18 is the ninth edition of this highly successful annual journal, that has established itself as the premier business and investment guide for the Gauteng province. Special features for 2017/18 include a focus on major new developments in the region’s metros, complemented by detailed overviews of the main economic sectors in South Africa’s most important provincial economy.
PROFILE says David Pike,
PROFILE says David Pike, Standard Bank Head: Commercial Banking for Gauteng. The data shows that the growth rate achieved over the five years to 2016 of 2% can be maintained over the next five years despite all the challenges. While manufacturing grew just 0.6% in Gauteng from 2011-16, it is expected to rise by 1.4% in the upcoming period to 2021. Another surprise is that while the electricity, gas and water sector fell 1.5% five years ago, it is expected to lift by 1.3% now. And while agriculture declined 1% from 2011-16, it is expected to advance by 2.1% over the corresponding fiveyear period. “There will certainly be significant challenges ahead, especially from the consumer perspective and we forecast wholesale, retail trade, catering and accommodation to rise 1.8% in Gauteng from 2.4% in the prior five years and for construction to drop from 2.8% to 1.9% in the upcoming period,” says Mr Pike. Businesses in the region should not rush in with their eyes wide shut and would need to ensure they are well placed to take advantage of the growth shoots that do exist. Green shoots in the economic heartland of Gauteng show that a growth rate of close to 2% can be achieved over the next five years. GAUTENG BUSINESS 2017/18 66
PROFILE Gauteng is a driver for the national economy – it is estimated in a Brand South Africa report to contribute an estimated 34% to the national economy despite only occupying 1.4% of the country’s land area. “Notably, if Gauteng can achieve 1.9% growth over the next five years, our current forecast is for the national economy to also achieve 1.9%,” says Mr Pike. Entrepreneurs, investors and businesses all have a fabulous opportunity – but having the knowledge at their fingertips will be key. “Our deep dive into these statistics has picked up some significant trends that all businesses need to be aware of. Each sector and geography has its unique dynamics but if you break it down you can truly understand what is likely to happen. Just look at agriculture in Pretoria, for example: our research shows that activity fell 3.5% in the previous five years but is now forecast to increase by 1.8% in the following five years,” says Mr Pike. “It is no use getting despondent and thinking profits cannot be made or expansion cannot be achieved. With the right partners by your side with the right strategic intent, amazing success can still be achieved over the next five years,” Mr Pike concludes. Website: standardbank.co.za With the right partners by your side with the right strategic intent, amazing success can still be achieved over the next five years.
