Ras Al Khaimah, South Africa to strengthen investment ties

Mohamed Hassan Al Sabab, Director General, Ras Al Khaimah Chamber of Commerce and Industry and Mogobo David Magabe,  Consul General of the Republic South Africa  in Dubai and the Northern Emirates, and the accompanied delegation discussed the ways to enhance the commercial cooperation and investment for the two business communities in Ras Al Khaimah and the Republic of South Africa and reinforcement of the economic and commercial relations, the meeting which was held at RAK Chamber of Commerce head office discussed the economic developments of mutual interests, and the the Consul invited the Chamber of Commerce to visit South Africa Pavilion at  Expo 2020 Dubai. The meeting was attended by Senior officials at RAK Chamber of Commerce and Industry as well as diplomats from the consulate.  

Mohamed Hassan Al Sabab said, “the Emirate of Ras Al Khaimah pays a great attention to increasing and diversifying its imports and exports to and from the African markets, in light of the availability and promising investment opportunities, and particularly in the Republic of South Africa, with the high rates of the economic development and being one of the largest countries of the African continent, and representing a strategic hub connected to African and international countries.”

 He underscored the importance of such kind of visits in enhancing the bilateral commercial trade and sharing experiences, he briefed the meeting with Ras Al Khaimah Chamber of Commerce and Industry and the different services provided to the members, and its key role in connecting the foreign investors and businessmen with the business sector in Ras Al Khaimah.

Al Sabab expressed the keenness of Ras A Khaimah Chamber of Commerce and Industry to provide all the services and facilities that contribute to reinforcing the commercial collaboration with the Republic of South Africa and to resolve any challenges that affect the investors and to activate joint communication channels between the concerned authorities in both Ras Al Khaimah and the Republic of South Africa, and concluding partnerships in many sectors such as investment, mining, science and innovation and developing new plans for joint work aimed at increasing the trade exchanges and investment flows between the Emirate of Ras Al Khaimah and the Republic of South Africa.

Mogobo David Magabe,  Consul General of the Republic South Africa,  in Dubai and the Northern Emirates expressed his pleasure with the Chamber’s keenness to offer all the available facilities to advance the economic cooperation with his country, and the possibility to sign cooperation agreements between Ras Al Khaimah Chamber of Commerce and the authorities concerned with the commerce and investment in South Africa, he underscored the importance of reinforcing the cooperation with the Chamber under the advanced relations between the United Arab Emirates and the Republic of South Africa and with the keenness of the leaderships in the two countries to support and develop the bilateral relationships. He underscored the importance of coordination and exploring the new investment opportunities in both Ras Al Khaimah and South Africa, and promoting the attractive investment environment in Ras Al Khaimah.

Earlier South Africa’s National Treasury pledged to cut the deficit and curb debt in its mid-term budget, saying it would not commit to new long-term spending despite a windfall from high commodities prices.

Africa’s most industrialised nation was hit hard by the COVID-19 pandemic last year, but its economy bounced back unexpectedly strongly in 2021 as global demand for its exports, such as metals, surged.

The Treasury now sees the deficit at 7.8 per cent of gross domestic product (GDP) this fiscal year, versus the 9.3 per cent forecast in the main February budget, and gross debt peaking at 78.1 per cent of GDP in 2025/26 versus the 88.9 per cent seen in February.

The improved projections were influenced by a GDP rebasing by the statistics agency in August. The Treasury said it would stick to a disciplined fiscal strategy and set a new target of narrowing the deficit to 4.9 per cent of GDP in 2024/25, the last year of its medium-term expenditure framework.

The plan is to achieve a primary budget surplus, meaning revenue will exceed non-interest spending, from 2024/25.

The Treasury now sees GDP expanding 5.1 per cent this year, compared to the 3.3 per cent predicted in February.

“The economy has recovered more quickly than anticipated. Nevertheless, the recent spike in commodity prices, which has supported GDP growth and tax revenues, is considered temporary,” it said in its budget review.

“Government will not commit to new long-term spending in response to temporary revenue windfalls.”