South African Economy Faces Challenges of Base Expansion and Talent Retention

Former President Kgalema Motlanthe addressed the Black Business Council on the economic challenges facing South Africa, stating that the core issue is whether the country has enlarged the economic base to sustain empowerment across generations. Motlanthe noted that black economic empowerment has sometimes enriched a narrow cohort, leading to questions about the project's long-term viability. Separately, a survey found that South African procurement professionals achieved average salary increases of 10.2% over the past year, outpacing the country’s 3.2% inflation rate.

The reports highlight the tension between economic growth and the need for structural change within South Africa. While salary growth in certain professional fields is strong, challenges remain in attracting and retaining skilled talent amid increasingly complex global supply chains.