Young Africans are pursuing entrepreneurship as a career because the African economy is not providing enough employment to meet demand.
77% of Africa’s population is under 35, as per the World Econimic Forum. The African Development Bank (AfDB) expects there will be 850 million young people on the continent by 2063. 10 to 12 million young Africans enter the labour market each year, but the economy only creates just 3 million jobs. More than 7 million young people entering the job market each year must choose between unemployment, the informal sector, underemployment, or starting a business and creating jobs. (Mail & Guardian)
Expect a restrained budget followed by outrage from the Left
Claire Bisseker pens for Business Day that in a medium-term budget policy statement that he delivered two years ago, former finance minister Tito Mboweni startled South Africa by proposing spending reductions of R300 billion, with public employees to face more than half of the pain through a three-year wage freeze. Even then, it would be a terrible scenario if debt barely stabilised at 95% of GDP by 2025. (Business Day)
Business needs a greater sense of urgency from government to help restore the economy
The government’s delay on policy-making, lack of decision-making, and incapacity to cope with the country’s difficulties threaten to destroy the hard work business is putting into building the economy as politics takes control in the run-up to the general elections in 2024. (Daily Maverick)
Here’s what else we’re reading today:
Dear white South Africans (and Herman Mashaba) – TimesLIVE
Ramaphosa’s Limpopo problem: Why he is choosing political survival – News24 (for subscribers)
State’s developmental role puts procurement at the centre of the economy – Mail & Guardian
M&R shares plunge on warning of loss in half-year results – Business Day (for subscribers)
The plot against SA councils: bring down coalitions at all cost – Business Day (for subscribers)
Image credit: Pixabay
