South Africa
GANG INFORMATION
Gangs spill blood in Westville prison fights
Independent Online - Cape Town,South Africa
By Chris Makhaye A gang at Westville B Prison intensified so in the past two weeks that a special stability unit with dogs had to brought in to stop the ...
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Police hunting for Leeufontein gang
Independent Online - Cape Town,South Africa
Police were searching for three men - one of whom raped a 35-year-old woman in front of her 6-year-old child in their house in Leeufontein in the Roodeplaat ...
PROFILE
OFFICIAL NAME:
Republic of South Africa
Geography
Area: 1.2 million sq. km. (470,462 sq. mi.).
Cities: Capitals--Administrative, Pretoria; Legislative, Cape
Town; Judicial, Bloemfontein. Other cities--Johannesburg, Durban,
Port Elizabeth.
Terrain: Plateau, savanna, desert, mountains, coastal plains.
Climate: moderate; similar to southern California.
People
Nationality: Noun and adjective--South African(s).
Annual growth rate (2004 World Bank Group): 0.8%.
Population (2004, 46.6 million): Composition--black 79%; white
9.6%; colored 8.9%; Asian (Indian) 2.5%. Official figures from
2000 South African Census at http://www.statssa.gov.za/.
Languages: Afrikaans, English, isiNdebele, isiXhosa, isiZulu,
Sepedi, Sesotho, Setswana, siSwati, Tshivenda, and Xitsonga (all
official languages).
Religions: Predominantly Christian; traditional African, Hindu,
Muslim, Jewish.
Education: Years compulsory--7-15 years of age for all children.
The South African Schools Act, Act 84 of 1996, passed by Parliament
in 1996, aims to achieve greater educational opportunities for
black children, mandating a single syllabus and more equitable
funding for schools.
Health: Infant mortality rate (2000)--59 per live births. Life
expectancy--52 yrs. women; 50 yrs. men. Health data from 2000
U.S. Census Report: HIV/AIDS Country Profiles at http://www.census.gov/ipc/hiv/safrica.pdf.
Government
Type: Parliamentary democracy.
Independence: The Union of South Africa was created on May 31,
1910; became sovereign state within British Empire in 1934; became
a republic on May 31, 1961; left the Commonwealth in October 1968;
rejoined the Commonwealth in June 1994.
Constitution: Entered into force February 3, 1997.
Branches: Executive--president (chief of state) elected to a 5-year
term by the National Assembly. Legislative--bicameral Parliament
consisting of 490 members in two chambers. National Assembly (400
members) elected by a system of proportional representation. National
Council of Provinces consisting of 90 delegates (10 from each
province) and 10 nonvoting delegates representing local government.
Judicial--Constitutional Court interprets and decides constitutional
issues; Supreme Court of Appeal is the highest court for interpreting
and deciding nonconstitutional matters.
Administrative subdivisions: Nine provinces: Eastern Cape, Free
State, Gauteng, KwaZulu-Natal, Mpumalanga, North-West, Northern
Cape, Limpopo, Western Cape.
Political parties: African National Congress (ANC), Democratic
Alliance (DA), Inkatha Freedom Party (IFP), Vryheidsfront Plus/Freedom
Front Plus (FF+), Pan-African Congress (PAC), African Christian
Democratic Party (ACDP), United Democratic Movement (UDM), and
Azanian Peoples Organization (Azapo).
Suffrage: Citizens and permanent residents 18 and older.
Economy
GDP (2004): $213 billion. 2004 GDP at market prices (baseline
year 2000)--1.374 billion rand (R).
Real GDP growth rate (2004): 3.7%.
GDP per capita (2004): $3,480.
Unemployment (September 2004): 27.8%.
Natural resources: Almost all essential commodities, except petroleum
products and bauxite. Only country in the world that manufactures
fuel from coal.
Industry: Types--minerals, mining, motor vehicles and parts, machinery,
textiles, chemicals, fertilizer, information technology, electronics,
other manufacturing, and agroprocessing.
Trade (2004): Exports--$36.3 billion (2003 merchandise exports
R256 billion; 2003 gold exports R35 billion): gold, other minerals
and metals, agricultural products, motor vehicles and parts. Major
markets--U.K., U.S., Germany, Italy, Japan, East Asia, Sub-Saharan
Africa. Imports--$34 billion (2003 merchandise imports R263 billion):
machinery, transport equipment, chemicals, petroleum products,
textiles, and scientific instruments. Major suppliers--Germany,
U.S., Japan, U.K., Italy.
GDP composition (2003): Agriculture and mining (primary sector)--11%;
industry (secondary sector)--24%; services (tertiary sector)--65%.
World's largest producer of platinum, gold, and chromium; also
significant coal production.
PEOPLE
Until 1991, South African law divided the population into four
major racial categories: Africans (black), whites, coloreds, and
Asians. Although this law has been abolished, many South Africans
still view themselves and each other according to these categories.
Black Africans comprise about 79% of the population and are divided
into a number of different ethnic groups. Whites comprise about
10% of the population. They are primarily descendants of Dutch,
French, English, and German settlers who began arriving at the
Cape of Good Hope in the late 17th century. Coloreds are mixed-race
people primarily descending from the earliest settlers and the
indigenous peoples. They comprise about 9% of the total population.
Asians descend from Indian workers brought to South Africa in
the mid-19th century to work on the sugar estates in Natal. They
constitute about 2.5% of the population and are concentrated in
the KwaZulu-Natal Province.
Education is in transition. Under the apartheid system schools
were segregated, and the quantity and quality of education varied
significantly across racial groups. The laws governing this segregation
have been abolished. The long and arduous process of restructuring
the country's educational system has begun and is ongoing. The
challenge is to create a single, nondiscriminatory, nonracial
system that offers the same standards of education to all people.
HISTORY
People have inhabited southern Africa for thousands of years.
Members of the Khoisan language groups are the oldest surviving
inhabitants of the land, but only a few are left in South Africa
today--and they are located in the western sections. Most of today's
black South Africans belong to the Bantu language group, which
migrated south from central Africa, settling in the Transvaal
region sometime before AD 100. The Nguni, ancestors of the Zulu
and Xhosa, occupied most of the eastern coast by 1500.
The Portuguese were the first Europeans to reach the Cape of
Good Hope, arriving in 1488. However, permanent white settlement
did not begin until 1652 when the Dutch East India Company established
a provisioning station on the Cape. In subsequent decades, French
Huguenot refugees, the Dutch, and Germans began to settle in the
Cape. Collectively, they form the Afrikaner segment of today's
population. The establishment of these settlements had far-reaching
social and political effects on the groups already settled in
the area, leading to upheaval in these societies and the subjugation
of their people.
By 1779, European settlements extended throughout the southern
part of the Cape and east toward the Great Fish River. It was
here that Dutch authorities and the Xhosa fought the first frontier
war. The British gained control of the Cape of Good Hope at the
end of the 18th century. Subsequent British settlement and rule
marked the beginning of a long conflict between the Afrikaners
and the English.
Beginning in 1836, partly to escape British rule and cultural
hegemony and partly out of resentment at the recent abolition
of slavery, many Afrikaner farmers (Boers) undertook a northern
migration that became known as the "Great Trek." This
movement brought them into contact and conflict with African groups
in the area, the most formidable of which were the Zulus. Under
their powerful leader, Shaka (1787-1828), the Zulus conquered
most of the territory between the Drakensberg Mountains and the
sea (now KwaZulu-Natal).
In 1828, Shaka was assassinated and replaced by his half-brother
Dingane. In 1838, Dingane was defeated and deported by the Voortrekkers
(people of the Great Trek) at the battle of Blood River. The Zulus,
nonetheless, remained a potent force, defeating the British in
the historic battle of Isandhlwana before themselves being finally
conquered in 1879.
In 1852 and 1854, the independent Boer Republics of the Transvaal
and Orange Free State were created. Relations between the republics
and the British Government were strained. The discovery of diamonds
at Kimberley in 1870 and the discovery of large gold deposits
in the Witwatersrand region of the Transvaal in 1886 caused an
influx of European (mainly British) immigration and investment.
In addition to resident black Africans, many blacks from neighboring
countries also moved into the area to work in the mines. The construction
by mine owners of hostels to house and control their workers set
patterns that later extended throughout the region.
Boer reactions to this influx and British political intrigues
led to the Anglo-Boer Wars of 1880-81 and 1899-1902. British forces
prevailed in the conflict, and the republics were incorporated
into the British Empire. In May 1910, the two republics and the
British colonies of the Cape and Natal formed the Union of South
Africa, a self-governing dominion of the British Empire. The Union's
constitution kept all political power in the hands of whites.
In 1912, the South Africa Native National Congress was founded
in Bloemfontein and eventually became known as the African National
Congress (ANC). Its goals were the elimination of restrictions
based on color and the enfranchisement of and parliamentary representation
for blacks. Despite these efforts the government continued to
pass laws limiting the rights and freedoms of blacks.
In 1948, the National Party (NP) won the all-white elections
and began passing legislation codifying and enforcing an even
stricter policy of white domination and racial separation known
as "apartheid" (separateness). In the early 1960s, following
a protest in Sharpeville in which 69 protesters were killed by
police and 180 injured, the ANC and Pan-African Congress (PAC)
were banned. Nelson Mandela and many other anti-apartheid leaders
were convicted and imprisoned on charges of treason.
The ANC and PAC were forced underground and fought apartheid
through guerrilla warfare and sabotage. In May 1961, South Africa
relinquished its dominion status and declared itself a republic.
It withdrew from the Commonwealth in part because of international
protests against apartheid. In 1984, a new constitution came into
effect in which whites allowed coloreds and Asians a limited role
in the national government and control over their own affairs
in certain areas. Ultimately, however, all power remained in white
hands. Blacks remained effectively disenfranchised.
Popular uprisings in black and colored townships in 1976 and
1985 helped to convince some NP members of the need for change.
Secret discussions between those members and Nelson Mandela began
in 1986. In February 1990, State President F.W. de Klerk, who
had come to power in September 1989, announced the unbanning of
the ANC, the PAC, and all other anti-apartheid groups. Two weeks
later, Nelson Mandela was released from prison.
In 1991, the Group Areas Act, Land Acts, and the Population Registration
Act--the last of the so-called "pillars of apartheid"--were
abolished. A long series of negotiations ensued, resulting in
a new constitution promulgated into law in December 1993. The
country's first nonracial elections were held on April 26-28,
1994, resulting in the installation of Nelson Mandela as President
on May 10, 1994.
Following the 1994 elections, South Africa was governed under
an interim constitution establishing a Government of National
Unity (GNU). This constitution required the Constitutional Assembly
(CA) to draft and approve a permanent constitution by May 9, 1996.
After review by the Constitutional Court and intensive negotiations
within the CA, the Constitutional Court certified a revised draft
on December 2, 1996. President Mandela signed the new constitution
into law on December 10, and it entered into force on February
3, 1997. The GNU ostensibly remained in effect until the 1999
national elections. The parties originally comprising the GNU--the
ANC, the NP, and the Inkatha Freedom Party (IFP)--shared executive
power. On June 30, 1996, the NP withdrew from the GNU to become
part of the opposition.
During Nelson Mandela's 5-year term as President of South Africa,
the government committed itself to reforming the country. The
ANC-led government focused on social issues that were neglected
during the apartheid era such as unemployment, housing shortages,
and crime. Mandela's administration began to reintroduce South
Africa into the global economy by implementing a market-driven
economic plan known as Growth, Employment and Redistribution (GEAR).
In order to heal the wounds created by apartheid, the government
created the Truth and Reconciliation Commission (TRC) under the
leadership of Archbishop Desmond Tutu. During the first term of
the ANC's post-apartheid rule, President Mandela concentrated
on national reconciliation, seeking to forge a single South African
identity and sense of purpose among a diverse and splintered populace,
riven by years of conflict. The diminution of political violence
after 1994 and its virtual disappearance by 1996 were testament
to the abilities of Mandela to achieve this difficult goal.
Nelson Mandela stepped down as President of the ANC at the party's
national congress in December 1997, when Thabo Mbeki assumed the
mantle of leadership. Mbeki won the presidency of South Africa
after national elections in 1999, when the ANC won just shy of
a two-thirds majority in Parliament. President Mbeki shifted the
focus of government from reconciliation to transformation, particularly
on the economic front. With political transformation and the foundation
of a strong democratic system in place after two free and fair
national elections, the ANC recognized the need to focus on bringing
economic power to the black majority in South Africa. In April
2004, the ANC won nearly 70% of the national vote, and Mbeki was
reelected for his second 5-year term. In his 2004 State of the
Nation address, Mbeki promised his government would reduce poverty,
stimulate economic growth, and fight crime. Mbeki said that the
government would play a more prominent role in economic development.
GOVERNMENT AND POLITICAL CONDITIONS
South Africa is a multiparty parliamentary democracy in which
constitutional power is shared between the president and the Parliament.
The Parliament consists of two houses, the National Assembly
and the National Council of Provinces, which are responsible for
drafting the laws of the republic. The National Assembly also
has specific control over bills relating to monetary matters.
The current 400-member National Assembly was retained under the
1997 constitution, although the constitution allows for a range
of between 350 and 400 members. The Assembly is elected by a system
of "list proportional representation." Each of the parties
appearing on the ballot submits a rank-ordered list of candidates.
The voters then cast their ballots for a party.
Seats in the Assembly are allocated based on the percentage of
votes each party receives. In the 2004 elections, the ANC won
279 seats in the Assembly, more than a two-thirds majority and
an increase of 13 seats from 1999; the Democratic Alliance (DA)
won 50, the IFP 28, the New National Party (NNP) 7, the United
Democratic Movement (UDM) 9, and other groups won the remaining
27. In the 2004 electoral campaign, the ANC aligned with the NNP,
and the DA aligned with the IFP. On August 6, the NNP announced
that it would merge with the ANC. Elected representatives of the
party would, however, continue to hold their seats in the national
and provincial legislatures as NNP members until the next floor-crossing
period in September 2005.
The National Council of Provinces (NCOP) consists of 90 members,
10 from each of the nine provinces. The NCOP replaced the former
Senate as the second chamber of Parliament and was created to
give a greater voice to provincial interests. It must approve
legislation that involves shared national and provincial competencies
as defined by an annex to the constitution. Each provincial delegation
consists of six permanent and four rotating delegates.
The president is the head of state. Following the April 14, 2004
elections, the National Assembly reelected Thabo Mbeki as President.
The president's constitutional responsibilities include assigning
cabinet portfolios, signing bills into law, and serving as commander
in chief of the military. The president works closely with the
deputy president and the cabinet. There are currently 28 posts
in the cabinet. Of the 28 ministers, Mbeki appointed two from
outside the ANC--one from the former NNP and one from the Azanian
Peoples Organization (Azapo). On June 14, 2005, President Mbeki
informed the South African Parliament that then-Deputy President
Jacob Zuma was being "released" from his duties following
the conviction of a close associate on corruption charges relating
to monetary payments to Zuma. On June 22, Mbeki named former Minister
for Minerals and Energy Phumzile Mlambo-Ngcuka to the position
of Deputy President, the first woman to hold this office.
The third arm of the central government is an independent judiciary.
The Constitutional Court is the highest court for interpreting
and deciding constitutional issues, while the Supreme Court of
Appeal is the highest court for nonconstitutional matters. Most
cases are heard in the extensive system of High Courts and Magistrates
Courts. The constitution's bill of rights provides for due process
including the right to a fair, public trial within a reasonable
time of being charged and the right to appeal to a higher court.
The bill of rights also guarantees fundamental political and social
rights of South Africa's citizens.
Challenges Ahead
South Africa’s post-apartheid governments have made remarkable
progress in consolidating the nation's peaceful transition to
democracy. Programs to improve the delivery of essential social
services to the majority of the population are underway. Access
to better opportunities in education and business is becoming
more widespread. Nevertheless, transforming South Africa's society
to remove the legacy of apartheid will be a long-term process
requiring the sustained commitment of the leaders and people of
the nation's disparate groups.
The Truth and Reconciliation Commission (TRC), chaired by 1984
Nobel Peace Prize winner Archbishop Desmond Tutu, helped to advance
the reconciliation process. Constituted in 1996 and having completed
its work by 2001, the TRC was empowered to investigate apartheid-era
human rights abuses committed between 1960 and May 10, 1994; to
grant amnesty to those who committed politically motivated crimes;
and to recommend compensation to victims of abuses. In November
2003, the Government began allocation of $4,600 (R30,000) reparations
to individual apartheid victims. The TRC's mandate was part of
the larger process of reconciling the often conflicting political,
economic, and cultural interests held by the many peoples that
make up South Africa's diverse population. The ability of the
government and people to agree on many basic questions of how
to order the country's new society will remain a critical challenge.
One important issue continues to be the relationship of provincial
and local administrative structures to the national government.
Prior to April 27, 1994, South Africa was divided into four provinces
and 10 black "homelands," four of which were considered
independent by the South African Government. Both the interim
constitution and the 1997 constitution abolished this system and
substituted nine provinces. Each province has an elected legislature
and chief executive--the provincial premier. Although in form
a federal system, in practice the nature of the relationship between
the central and provincial governments continues to be the subject
of considerable debate, particularly among groups desiring a greater
measure of autonomy from the central government. A key step in
defining the relationship came in 1997 when provincial governments
were given more than half of central government funding and permitted
to develop and manage their own budgets. However, the national
government exerts a measure of control over provinces by appointing
provincial premiers.
Although South Africa's economy is in many areas highly developed,
the exclusionary nature of apartheid and distortions caused in
part by the country's international isolation until the 1990s
have left major weaknesses. The economy is now in a process of
transition as the government seeks to address the inequities of
apartheid, stimulate growth, and create jobs. Business, meanwhile,
is becoming more integrated into the international system, and
foreign investment has increased dramatically over the past several
years. Still, the economic disparities between population groups
are expected to persist for many years, remaining an area of priority
attention for the government.
Human Rights
The 1997 constitution's bill of rights provides extensive guarantees,
including equality before the law and prohibitions against discrimination;
the right to life, privacy, property, and freedom and security
of the person; prohibition against slavery and forced labor; and
freedom of speech, religion, assembly, and association. The legal
rights of criminal suspects also are enumerated, as are citizens'
entitlements to a safe environment, housing, education, and health
care. The constitution provides for an independent and impartial
judiciary, and, in practice, these provisions are respected.
Since the abolition of apartheid, levels of political violence
in South Africa have dropped dramatically. Violent crime and organized
criminal activity are at high levels and are a grave concern.
Partly as a result, vigilante action and mob justice sometimes
occur.
Some members of the police commit abuses, and deaths in police
custody as a result of excessive force remain a problem. The government
has taken action to investigate and punish some of those who commit
such abuses. In April 1997, the government established an Independent
Complaints Directorate to investigate deaths in police custody
and deaths resulting from police action.
Although South Africa's society is undergoing a rapid transformation,
some discrimination against women continues, and discrimination
against those living with HIV/AIDS remains. Violence against women
and children also is a serious problem.
Principal Government Officials
State President--Thabo Mbeki
Executive Deputy President--Ms. Phumzile Mlambo-Ngcuka
Ministers
Agriculture & Land Affairs--Ms. Thoko Didiza
Arts & Culture--Mr. Pallo Jordan
Communications--Dr. Ivy Matsepe-Casaburri
Correctional Services--Mr. Ngconde Balfour
Defense--Mr. Mosiuoa Lekota
Education--Ms. Naledi Pandor
Environmental Affairs & Tourism--Mr. Marthinus van Schalkwyk
Finance--Mr. Trevor Manuel
Foreign Affairs--Dr. Nkosazana Dlamini-Zuma
Health--Dr. Manto Tshabalala-Msimang
Home Affairs--Ms. Nosiviwe Mapisa-Nqakula
Housing--Ms. Lindiwe Sisulu
Intelligence--Mr. Ronnie Kasrils
Justice & Constitutional Development--Ms. Bridgette Mabandla
Labor--Mr. Membathisi Mdladlana
Minerals & Energy--Ms. Lindiwe Hendricks
Provincial & Local Government--Mr. Sydney Mufamadi
Public Enterprises--Mr. Alec Erwin
Public Service & Administration--Ms. Geraldine Fraser-Moleketi
Public Works--Ms. Stella Sigcau
Safety & Security--Mr. Charles Nqakula
Science & Technology--Mr. Mosibudi Mangena
Social Development--Dr. Zola Skweyiya
Sport & Recreation--Mr. Makhenkesi Stofile
The Presidency--Dr. Essop Pahad
Trade & Industry--Mr. Mandisi Mpahlwa
Transport--Mr. Jeff Radebe
Water Affairs & Forestry--Ms. Buyelwa Sonjica
The Republic of South Africa maintains an embassy in the United
States at 3051 Massachusetts Avenue NW, Washington, DC 20008;
tel. (202) 232-4400.
ECONOMY
South Africa has a two-tiered economy; one rivaling other developed
countries and the other with only the most basic infrastructure.
It therefore is a productive and industrialized economy that exhibits
many characteristics associated with developing countries, including
a division of labor between formal and informal sectors, and uneven
distribution of wealth and income. The formal sector, based on
mining, manufacturing, services, and agriculture, is well developed.
The transition to a democratic, nonracial government, begun in
early 1990, stimulated a debate on the direction of economic policies
to achieve sustained economic growth while at the same time redressing
the socioeconomic disparities created by apartheid. The Government
of National Unity's initial blueprint to address this problem
was the Reconstruction and Development Program (RDP). The RDP
was designed to create programs to improve the standard of living
for the majority of the population by providing housing--a planned
1 million new homes in 5 years--basic services, education, and
health care. While a specific "ministry" for the RDP
no longer exists, a number of government ministries and offices
are charged with supporting RDP programs and goals.
The Government of South Africa demonstrated its commitment to
open markets, privatization, and a favorable investment climate
with its release of the crucial Growth, Employment and Redistribution
(GEAR) strategy--the neoliberal economic strategy to cover 1996-2000.
The strategy had mixed success. It brought greater financial discipline
and macroeconomic stability but has failed to deliver in key areas.
Formal employment continued to decline, and despite the ongoing
efforts of black empowerment and signs of a fledgling black middle
class and social mobility, the country's wealth remains very unequally
distributed along racial lines. However, South Africa's budgetary
reforms such as the Medium-Term Expenditure Framework and the
Public Finance Management Act--which aims at better reporting,
auditing, and increased accountability--and the structural changes
to its monetary policy framework--including inflation targeting--have
created transparency and predictability and are widely acclaimed.
Trade liberalization also has progressed substantially since the
early 1990s. South Africa has reduced its import-weighted average
tariff rate from more than 20% in 1994 to 7% in 2002. These efforts,
together with South Africa's implementation of its World Trade
Organization (WTO) obligations and its constructive role in launching
the Doha Development Round, show South Africa's acceptance of
free market principles.
Financial Policy
South Africa has a sophisticated financial structure with a large
and active stock exchange that ranks 17th in the world in terms
of total market capitalization. The South African Reserve Bank
(SARB) performs all central banking functions. The SARB is independent
and operates in much the same way as Western central banks, influencing
interest rates and controlling liquidity through its interest
rates on funds provided to private sector banks. Quantitative
credit controls and administrative control of deposit and lending
rates have largely disappeared. South African banks adhere to
the Bank of International Standards core standards.
The South African Government has taken steps to gradually reduce
remaining foreign exchange controls, which apply only to South
African residents. Private citizens are now allowed a one-time
investment of up to 750,000 rand (R) in offshore accounts. Since
2001, South African companies may invest up to R750 million in
Africa and R500 million elsewhere.
Trade and Investment
South Africa has rich mineral resources. It is the world's largest
producer and exporter of gold and platinum and also exports a
significant amount of coal. During 2000, platinum overtook gold
as South Africa's largest foreign exchange earner. The value-added
processing of minerals to produce ferroalloys, stainless steels,
and similar products is a major industry and an important growth
area. The country's diverse manufacturing industry is a world
leader in several specialized sectors, including railway rolling
stock, synthetic fuels, and mining equipment and machinery.
Primary agriculture accounts for about 4% of the gross domestic
product. Major crops include citrus and deciduous fruits, corn,
wheat, dairy products, sugarcane, tobacco, wine, and wool. South
Africa has many developed irrigation schemes and is a net exporter
of food.
South Africa's transportation infrastructure is well-developed,
supporting both domestic and regional needs. The Johannesburg
International Airport serves as a hub for flights to other southern
African countries. The domestic telecommunications infrastructure
provides modern and efficient service to urban areas, including
cellular and Internet services. In 1997, Telkom, the South African
telecommunications parastatal, was partly privatized and entered
into a strategic equity partnership with a consortium of two companies,
including SBC, a U.S. telecommunications company. In exchange
for exclusivity to provide certain services for 5 years, Telkom
assumed an obligation to facilitate network modernization and
expansion into unserved areas. The government is evaluating a
proposal to establish a second network operator to compete with
Telkom across its spectrum of services. Three cellular companies
provide service to over 9 million subscribers.
South Africa's GDP is expected to increase gradually during the
next few years, and the government recently revised upward its
2005 estimated growth to 4.3%. Annual GDP growth between 1994
and 2004 averaged 3.0%. In 2003, real GDP growth slowed to a rate
of 2.8%, but increased to 3.7% in 2004. The government estimates
that the economy must achieve growth at a minimum of 6% to offset
unemployment, which is estimated at 28%, although unofficial sources
put it as high as 41%. In an effort to boost economic growth and
spur job creation, the government has launched special investment
corridors to promote development in specific regions and also
is working to encourage small, medium, and microenterprise development.
One of the great successes of the ANC government has been to get
consumer inflation, which had been running in the double digits
for over 20 years, under control. By 1998, inflation had fallen
to 6.9%, and in 1999 and 2000 inflation was running at less than
6.0%. The rand's rapid depreciation in late 2001, however, led
to greater inflationary pressure, causing 2002 inflation of 9.2%.
The South African government cut the inflation rate to 4% in 2004,
and the rand appreciated 39% from 2002 to 2004. The South African
Reserve Bank increased interest rates and along with the 28% rand
appreciation in 2003 led a reduced consumer inflation of 5.8%.
The government also has made inroads into reducing the fiscal
deficit and increasing foreign currency reserves. The government
deficit was 1.1% of GDP in 2002 and 2.6% in 2003. The government's
2005 budget calls for a moderate increase in spending to promote
faster growth and poverty alleviation, while curbing budget deficits.
Exports reached 28.2% of GDP in 2003, up from 11.5% a decade
ago. South Africa's major trading partners include the United
Kingdom, the United States, Germany, Italy, Belgium, and Japan.
South Africa's trade with other Sub-Saharan African countries,
particularly those in the southern Africa region, has increased
substantially. South Africa is a member of the Southern African
Customs Union (SACU) and the Southern African Development Community
(SADC). In August 1996, South Africa signed a regional trade protocol
agreement with its SADC partners. The agreement was ratified in
December 1999, and implementation began in September 2000. It
intends to provide duty-free treatment for 85% of trade by 2008
and 100% by 2012.
South Africa has made great progress in dismantling its old economic
system, which was based on import substitution, high tariffs and
subsidies, anticompetitive behavior, and extensive government
intervention in the economy. The new leadership has moved to reduce
the government's role in the economy and to promote private sector
investment and competition. It has significantly reduced tariffs
and export subsidies, loosened exchange controls, cut the secondary
tax on corporate dividends, and improved enforcement of intellectual
property laws. A new competition law was passed and became effective
on September 1, 1999. A U.S.-South Africa bilateral tax treaty
went into effect on January 1, 1998, and a bilateral trade and
investment framework agreement was signed in February 1999.
South Africa is a member of the World Trade Organization (WTO).
U.S. products qualify for South Africa's most-favored-nation tariff
rates. South Africa also is an eligible country for the benefits
under the African Growth and Opportunity Act (AGOA), and most
of its products can enter the United States market duty free.
South Africa has done away with most import permits except on
used products and products regulated by international treaties.
It also remains committed to the simplification and continued
reduction of tariffs within the WTO framework and maintains active
discussions with that body and its major trading partners.
As a result of a November 1993 bilateral agreement, the Overseas
Private Investment Corporation (OPIC) can assist U.S. investors
in the South African market with services such as political risk
insurance and loans and loan guarantees. In July 1996, the United
States and South Africa signed an investment fund protocol for
a $120 million OPIC fund to make equity investments in South Africa
and southern Africa. OPIC is establishing an additional fund--the
Sub-Saharan Africa Infrastructure Fund, capitalized at $350 million--for
investment in infrastructure projects. The Trade and Development
Agency also has been actively involved in funding feasibility
studies and identifying investment opportunities in South Africa
for U.S. businesses.
HIV/AIDS
South Africa is one of the countries most affected by HIV, with
5 million HIV infected individuals. Twenty percent of the 15-49
year old population is infected, and in parts of the country more
than 35% of women of childbearing age are infected. Overall, 11-12%
of the population is infected. About 1,700 new infections occur
each day, and approximately 40% of deaths are believed to be AIDS-related.
There are approximately 660,000 children who have lost one or
both parents, and by 2008 1.6 million children will have been
orphaned by AIDS. Without effective prevention and treatment 5-7
million cumulative AIDS deaths are anticipated by 2010 (with 1.5
million deaths in 2010 alone), and there will be over 1 million
sick with AIDS. The epidemic could cost South Africa as much as
17% in GDP growth by 2010. The extraction industries, education,
and health are among the sectors that will be severely affected.
A 2003 national operational plan provides the structure for a
comprehensive response to HIV and AIDS, including a national rollout
of antiretroviral therapy.
Environment
South Africa's Government is committed to managing the country's
rich and varied natural resources in a responsible and sustainable
manner. In addition, numerous South African non-governmental organizations
have emerged as a potent force in the public policy debate on
the environment. In international environmental organizations,
South Africa is seen as a key leader among developing countries
on issues such as climate change, conservation, and biodiversity.
This leading role was underscored by South Africa's selection
to host the World Summit on Sustainable Development in 2002.
FOREIGN RELATIONS
South African forces fought on the Allied side in World Wars I
and II and participated in the postwar UN force in Korea. South
Africa was a founding member of the League of Nations and in 1927
established a Department of External Affairs with diplomatic missions
in the main west European countries and in the United States.
At the founding of the League of Nations, South Africa was given
the mandate to govern Southwest Africa, now Namibia, which had
been a German colony before World War I. In 1990, Namibia attained
independence, with the exception of the enclave of Walvis Bay,
which was reintegrated into Namibia in March 1994. After South
Africa held its first nonracial election in April 1994, most sanctions
imposed by the international community in opposition to the system
of apartheid were lifted. On June 1, 1994, South Africa rejoined
the Commonwealth, and on June 23, 1994, the UN General Assembly
accepted its credentials. South Africa served as the African Union's
(AU) first president from July 2003 to July 2004.
Having emerged from the international isolation of the apartheid
era, South Africa has become a leading international actor. Its
principal foreign policy objective is to promote the economic,
political, and cultural regeneration of Africa, through the New
Partnership for African Development (NEPAD); to promote the peaceful
resolution of conflict in Africa; and to use multilateral bodies
to insure that developing countries’ voices are heard on
international issues. South Africa has played a key role in seeking
an end to various conflicts and political crises on the African
continent, including in Burundi, the Democratic Republic of Congo,
and the Comoros. South Africa has pursued "quiet diplomacy"
in its approach to the crisis in Zimbabwe.
U.S.-SOUTH AFRICAN RELATIONS
The United States has maintained an official presence in South
Africa since 1799, when an American consulate was opened in Cape
Town. The U.S. Embassy is located in Pretoria, and Consulates
General are in Johannesburg, Durban, and Cape Town. Americans
and South Africans also have many nongovernmental ties; for example,
black and white American missionaries have a long history of activity
in South Africa. South Africans (particularly the ANC leadership)
also acknowledge support from and ties to the anti-apartheid movement
in the U.S.
From the 1970s through the early 1990s, U.S.-South Africa relations
were severely affected by South Africa's racial policies. However,
since the abolition of apartheid and democratic elections of April
1994, the United States has enjoyed an excellent bilateral relationship
with South Africa. Although there are differences of position
between the two governments--for example, regarding Iraq--they
do not impede cooperation on a broad range of key issues. Bilateral
cooperation in counter-terrorism, fighting HIV/AIDS, and military
relations has been particularly positive. Through the U.S. Agency
for International Development (USAID), the United States also
provides assistance to South Africa to help it meet its development
goals. Peace Corps volunteers began working in South Africa in
1997.
Principal U.S. Officials
Ambassador--vacant
Charge d'Affaires a.i.--Donald Teitelbaum
Commercial Minister-Counselor--Johnny Brown
Economic Counselor--John Hartley
Political Counselor--Gayleatha Brown
Management Counselor--Elizabeth Hinson
Public Affairs Counselor--James Callahan
Defense and Air Attache--Colonel Michael Muolo
USAID Director--Carleene Dei
Agricultural Attache--Scott Reynolds
Health Attache--Gray Handley
Consul General Cape Town--Moosa Valli
Consul General Durban--Eugene S. Young
Consul General Johannesburg--Steven P. Coffman
The U.S. Embassy in South Africa is located at 877 Pretorius
St, Pretoria; PO Box 9536, Pretoria 0001; tel: (27-12) 431-4000;
fax: (27-12) 342-2299.
TRAVEL AND BUSINESS INFORMATION
The U.S. Department of State's Consular Information Program provides
Consular Information Sheets, Travel Warnings, and Public Announcements.
Consular Information Sheets exist for all countries and include
information on entry requirements, currency regulations, health
conditions, areas of instability, crime and security, political
disturbances, and the addresses of the U.S. posts in the country.
Travel Warnings are issued when the State Department recommends
that Americans avoid travel to a certain country. Public Announcements
are issued as a means to disseminate information quickly about
terrorist threats and other relatively short-term conditions overseas
that pose significant risks to the security of American travelers.
Free copies of this information are available by calling the Bureau
of Consular Affairs at 202-647-5225 or via the fax-on-demand system:
202-647-3000. Consular Information Sheets and Travel Warnings
also are available on the Consular Affairs Internet home page:
http://travel.state.gov. Consular Affairs Tips for Travelers publication
series, which contain information on obtaining passports and planning
a safe trip abroad, are on the Internet and hard copies can be
purchased from the Superintendent of Documents, U.S. Government
Printing Office, telephone: 202-512-1800; fax 202-512-2250.
Emergency information concerning Americans traveling abroad may
be obtained from the Office of Overseas Citizens Services at (202)
647-5225. For after-hours emergencies, Sundays and holidays, call
202-647-4000.
The National Passport Information Center (NPIC) is the U.S. Department
of State's single, centralized public contact center for U.S.
passport information. Telephone: 1-877-4USA-PPT (1-877-487-2778).
Customer service representatives and operators for TDD/TTY are
available Monday-Friday, 8:00 a.m. to 8:00 p.m., Eastern Time,
excluding federal holidays.
Travelers can check the latest health information with the U.S.
Centers for Disease Control and Prevention in Atlanta, Georgia.
A hotline at 877-FYI-TRIP (877-394-8747) and a web site at http://www.cdc.gov/travel/index.htm
give the most recent health advisories, immunization recommendations
or requirements, and advice on food and drinking water safety
for regions and countries. A booklet entitled Health Information
for International Travel (HHS publication number CDC-95-8280)
is available from the U.S. Government Printing Office, Washington,
DC 20402, tel. (202) 512-1800.
Information on travel conditions, visa requirements, currency
and customs regulations, legal holidays, and other items of interest
to travelers also may be obtained before your departure from a
country's embassy and/or consulates in the U.S. (for this country,
see "Principal Government Officials" listing in this
publication).
U.S. citizens who are long-term visitors or traveling in dangerous
areas are encouraged to register their travel via the State Department’s
travel registration web site at https://travelregistration.state.gov
or at the Consular section of the U.S. embassy upon arrival in
a country by filling out a short form and sending in a copy of
their passports. This may help family members contact you in case
of an emergency.
Further Electronic Information
Department of State Web Site. Available on the Internet at http://www.state.gov,
the Department of State web site provides timely, global access
to official U.S. foreign policy information, including Background
Notes and daily press briefings along with the directory of key
officers of Foreign Service posts and more.
Export.gov provides a portal to all export-related assistance
and market information offered by the federal government and provides
trade leads, free export counseling, help with the export process,
and more.
STAT-USA/Internet, a service of the U.S. Department of Commerce,
provides authoritative economic, business, and international trade
information from the Federal government. The site includes current
and historical trade-related releases, international market research,
trade opportunities, and country analysis and provides access
to the National Trade Data Bank.
