South Africa on OneWorld
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| © New Internationalist |
South Africa's image as the political and economic driving force of Africa masks the extent of poverty that continues to defy intervention. Anger at the extremes of wealth between rich and poor may have been a contributory factor in the abrupt departure of former president Thabo Mbeki. As the ANC lurches to the left under its new populist leader, Mr Jacob Zuma, the promise of better times for the poor is tempered by the prospect of uncertain economic competence at a time of global recession.
updated November 2008
Poverty in South Africa
A symptom of the inhumanity of the apartheid era was the exclusion of the black majority from surveys of social and economic status. Measuring progress of the Millennium Development Goals (MDGs) in the new South Africa is therefore a challenge because no data exists for the baseline year of 1990. The starting point for poverty indicators has been shifted forward to 2000 at which point the measure of extreme poverty (less than $1 per day) was 11.3%, with a target of 5.7% by 2015.
By UN classification South Africa is a middle-income country with ample resources and by far the most developed country in Africa. In its "Vision 2014", the government sets out a strategy for fighting poverty through high rates of economic growth in parallel with direct welfare payments to the poor and high investment in education. The Mid-Term MDG Progress Review published in 2007 offers no update of the extreme poverty indicator but claims that the Goal is likely to be achieved. However, the most recent UNDP Human Development Report presents a figure of 10.7% for extreme poverty in 2005, almost unchanged from the baseline position. Over 43% of the population remains under the poverty line based on the cost of essential food and non-food items.
Despite the poor quality of facilities in many schools, the MDG targets for education are already close to being achieved. The country has also made impressive strides in the area of gender equality with over 30% women's representation in both parliament and in the cabinet. There has been good progress in the provision of safe water and sanitation and the government promises universal access to these services by 2008 and 2010 respectively, far beyond the MDG targets.
The extensive social grants system is unique in Africa in the extent of its reach - over 12 million poor and vulnerable people, nearly 25% of the population, receive child support, benefits and pensions. Depending on the method of assessment, unemployment stands between 23% and 40%, upwards of 5 million people, the majority from black communities. Given that UN-Habitat has assessed South Africa’s cities to be the most unequal in the world, there is understandable frustration at the slow rate of progress in overcoming the legacy of apartheid.
Health and HIV/AIDS in South Africa
There were 5.7 million people living with HIV/AIDS in South Africa at the end of 2007, the highest of any country in the world, almost 1 in every 5 adults. 29% of pregnant women in 2006 were HIV-positive and there are approximately 1.2 million AIDS orphans. A contributory factor may have been the South African national HIV/AIDS programme which has been marred by controversy, the government being accused of causing unnecessary deaths through not taking the epidemic seriously. Supplies of anti-retroviral treatment (ART) only started after pressure by various civic groups and in 2008 fewer than 50% of the 900,000 in need received state-sponsored ART. It took a court order in 2002 to make nevirapine readily available to pregnant women, whose access to treatment and care continues to fall short of expectations.
Heavy criticism at the Toronto AIDS conference in 2006 prompted South Africa to turn over a new leaf. Guided by former deputy president Phumzile Mlambo-Ngcuka, the country launched a new HIV/AIDS and STI Strategic Plan for 2007-2011 backed by a substantial budget and promises to strengthen the National AIDS Council. The plan, which received input from civil society, aims to reduce new infections by 50% and to deliver 80% of the eventual goal of universal prevention, treatment and care.
Pressure on overstretched health workers will be a constraint on the programme. Most South African doctors work in the private sector or leave the country – there are 4,000 vacancies in state hospitals. South Africa is one of very few countries where infant and child mortality rates are rising, largely as a result of HIV transmission at birth.
Food Security in South Africa
South Africa has enjoyed a bumper harvest of its staple maize crop in the 2007/08 season and is traditionally an exporter of the grain. Nevertheless, high food prices are causing hardship especially amongst the poorest families who spend a high proportion of their income on food. Although the government has responded with increased social grants, the incidence of poverty is likely to rise.
There is political tension between an opportunist biofuel industry and the government, wary of its responsibilities for the availability and price of domestic and regional food supplies. The industry is unhappy with a decision to reduce the target for biofuels to 2% of total fuel consumption, with maize ruled out as inefficient and unsuitable.
Climate Change in South Africa
A further complication for food security strategy is the uncertain impact of climate change in South Africa. One prediction is that the west will become more prone to drought whilst the east will suffer storms and floods. Agriculture yields and freshwater supplies are very sensitive to rainfall patterns and debate as to how to adapt to climate change is slowly gaining momentum.
South Africa is also a major contributor to climate change, being 11th on the list of carbon dioxide emitters, ahead of France and Spain. Although it has no commitments to targeted reductions under the current Kyoto protocol, the government has put forward initial plans for energy efficiency and a carbon tax. However, a public survey has shown that South Africans have the lowest awareness of climate change issues in the world, ranked alongside China and US.
The Economy in South Africa
South Africa has two economies, the formal economy, dominated by big corporates attracting the largest volume of foreign direct investment in Africa, and the informal cash economy which is dominated by small business traders. The government is trying to merge the two in part by affirmative action laid down in the Employment Equity Act and Black Economic Empowerment Act. These Acts compel employers to favour job applicants from previously disadvantaged groups, with black women and men as the top priority. These laws have been met with much resistance from companies and the white minority who argue that they are "reverse apartheid" and that they enrich only a tiny black elite. However, strict enforcement is giving a chance for affirmative action to work.
Long term economic strategy in South Africa is dominated by two issues. The chronic $100 billion shortfall in investment in power generation capacity was exposed after a major shutdown in January 2008. And land reform is an important tool for redressing historic economic inequality. The government has a target of 30% redistribution to black ownership by 2014 but has achieved less than 5%, so far acquiring land only on a “willing seller” basis.
A symptom of the inhumanity of the apartheid era was the exclusion of the black majority from surveys of social and economic status. Measuring progress of the Millennium Development Goals (MDGs) in the new South Africa is therefore a challenge because no data exists for the baseline year of 1990. The starting point for poverty indicators has been shifted forward to 2000 at which point the measure of extreme poverty (less than $1 per day) was 11.3%, with a target of 5.7% by 2015.
By UN classification South Africa is a middle-income country with ample resources and by far the most developed country in Africa. In its "Vision 2014", the government sets out a strategy for fighting poverty through high rates of economic growth in parallel with direct welfare payments to the poor and high investment in education. The Mid-Term MDG Progress Review published in 2007 offers no update of the extreme poverty indicator but claims that the Goal is likely to be achieved. However, the most recent UNDP Human Development Report presents a figure of 10.7% for extreme poverty in 2005, almost unchanged from the baseline position. Over 43% of the population remains under the poverty line based on the cost of essential food and non-food items.
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| Table Mountain primary school © IRIN News |
The extensive social grants system is unique in Africa in the extent of its reach - over 12 million poor and vulnerable people, nearly 25% of the population, receive child support, benefits and pensions. Depending on the method of assessment, unemployment stands between 23% and 40%, upwards of 5 million people, the majority from black communities. Given that UN-Habitat has assessed South Africa’s cities to be the most unequal in the world, there is understandable frustration at the slow rate of progress in overcoming the legacy of apartheid.
Health and HIV/AIDS in South Africa
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| AIDS billboard, South Africa © Daily Mail & Guardian |
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| Women's rights activists in Johannesburg © Jaspreet Kindra / IRIN News |
Pressure on overstretched health workers will be a constraint on the programme. Most South African doctors work in the private sector or leave the country – there are 4,000 vacancies in state hospitals. South Africa is one of very few countries where infant and child mortality rates are rising, largely as a result of HIV transmission at birth.
Food Security in South Africa
|
| Are biofuels a panacea or curse for the poor? © IRIN News |
There is political tension between an opportunist biofuel industry and the government, wary of its responsibilities for the availability and price of domestic and regional food supplies. The industry is unhappy with a decision to reduce the target for biofuels to 2% of total fuel consumption, with maize ruled out as inefficient and unsuitable.
Climate Change in South Africa
A further complication for food security strategy is the uncertain impact of climate change in South Africa. One prediction is that the west will become more prone to drought whilst the east will suffer storms and floods. Agriculture yields and freshwater supplies are very sensitive to rainfall patterns and debate as to how to adapt to climate change is slowly gaining momentum.
South Africa is also a major contributor to climate change, being 11th on the list of carbon dioxide emitters, ahead of France and Spain. Although it has no commitments to targeted reductions under the current Kyoto protocol, the government has put forward initial plans for energy efficiency and a carbon tax. However, a public survey has shown that South Africans have the lowest awareness of climate change issues in the world, ranked alongside China and US.
The Economy in South Africa
South Africa has two economies, the formal economy, dominated by big corporates attracting the largest volume of foreign direct investment in Africa, and the informal cash economy which is dominated by small business traders. The government is trying to merge the two in part by affirmative action laid down in the Employment Equity Act and Black Economic Empowerment Act. These Acts compel employers to favour job applicants from previously disadvantaged groups, with black women and men as the top priority. These laws have been met with much resistance from companies and the white minority who argue that they are "reverse apartheid" and that they enrich only a tiny black elite. However, strict enforcement is giving a chance for affirmative action to work.
Long term economic strategy in South Africa is dominated by two issues. The chronic $100 billion shortfall in investment in power generation capacity was exposed after a major shutdown in January 2008. And land reform is an important tool for redressing historic economic inequality. The government has a target of 30% redistribution to black ownership by 2014 but has achieved less than 5%, so far acquiring land only on a “willing seller” basis.
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