As South Africa crawls to its most crucial elections of the democratic era, former president Jacob Zuma is staging a political comeback that could threaten the nation’s economic pulse (“Zuma takes ‘wrecking ball’ to S Africa campaign”, Report, April 15).
His uMkhonto weSizwe (MK) party’s manifesto is arguably the most extreme of any party expected to win a substantial share of the vote. It reads like the fevered scribbles of a Monopoly addict — nationalise everything from mines and banks to water and renewable energy. The stuff of neoliberal economists’ nightmares.
Wrapped in the noble rhetoric of redistributing wealth and slashing inequality, MK’s radical prescriptions risk further destabilising South Africa’s already fragile financial landscape. Historically, state over-reach has bred inefficiency by stifling competition and fostered corruption through the mismanagement of strategic assets, prioritising personal gains over national interests. Think Eskom, Transnet and South African Airways to name a few.
This not only undermines the industries, infrastructure and investment crucial for sustainable prosperity but ultimately further concentrates wealth and deepens inequality.
With a Gini coefficient of around 0.67 and unemployment at a staggering 32 per cent, the nation can ill-afford economic policies that could exacerbate the exodus of foreign direct investment and erosion of international confidence.
While the MK party might revolve around the singular charisma of Zuma, he and his comrades would be wise to heed this six-word truth: stability fuels growth; uncertainty stifles it.
James Kirkpatrick
Professor Jochen Runde MBA Scholar for South African Nationals
University of Cambridge, UK
