South Africa has the opportunity to leverage its G20 hosting role by implementing B20 recommendations domestically, turning global policy insights into immediate economic interventions, business organisation Business Leadership South Africa (BLSA) CEO Busi Mavuso writes in her weekly newsletter.

The recommendations of the B20 were handed over to the G20 last week.

Mavuso emphasises the importance of a turnaround for the country’s economy, with the Department of Employment and Labour last week indicating that recent retrenchment announcements could wipe out 250 000 jobs across supply chains, with this being compounded by US trade pressures.

She highlights the B20’s regulatory streamlining principles of focused reforms encouraging decisive action, rather than “grand plans”.

Key reforms include using special economic zones (SEZs) to stimulate manufacturing, streamlining regulations, expanding digital infrastructure and creating industry-led skills partnerships with private sector participation.  

Mavuso says immediate interventions should focus on job creation and skills matching.

“Government should use the SEZs with fast-track permitting for manufacturing investments in automotive, renewable energy, agriprocessing and other sectors that can quickly absorb and retain displaced workers.

“Simultaneously, reform labour regulations to allow flexible employment arrangements while strengthening worker protections, and create industry-led skills development partnerships with mandatory private sector participation. This directly addresses the skills mismatches driving our unemployment crisis,” she postulates.

Moreover, Mavuso stresses that infrastructure enablers require targeted institutional reforms.

“Establish blended finance institutions that leverage public capital for infrastructure and small-, medium-sized and microenterprise development, while reforming banking regulations to expand financial inclusion.

“Deploy national broadband infrastructure, create digital literacy programmes and implement comprehensive trade facilitation measures including digital customs systems and streamlined export procedures that position South Africa as a regional manufacturing hub,” she suggests. 

Mavuso's call to prioritise national broadband infrastructure deployment includes the suggestion to establish mandatory digital literacy programmes in schools and communities as well as robust cybersecurity frameworks.

“Implement comprehensive trade facilitation measures including digital customs systems, streamlined export procedures and aggressive pursuit of bilateral investment treaties that position South Africa as a regional manufacturing and services hub,” she avers.