Thursday, July 17, 2008
"The Organization for Economic Co-operation and Development (OECD) has cautioned South Africa to improve competition in its economy. The concentration of industries is giving the state a big task in dealing with issues concerning constraints to growth. The group has criticized some of the government’s strategy for development. Most of the policies are aimed at limiting competition and sidelining the private sector. To be fair, some policies have made positive impacts on economic growth, but there are still high rates of unemployment, poverty and the spread of HIV/AIDS and crime. South Africa is advised to embark on structural polices aimed at enhancing competition and lift barriers to investment in energy, transport and communication. That advice goes to all sub-Saharan African economies where sadly, due to artificial barriers, only 10 per cent of trade occurs among members. "