MAS Innovation Newsletter June 2014 | Page 12

sider The Economic Rationale Real GDP is expected to grow by 2.9% in 2014, up from 1.9% in 2013 Growth to be driven by Improvements in global demand, robust investment and exports (aided by a cheaper rand) HAVE A THINK ABOUT ? Economic growth has been hampered by power shortages and labour unrest, weakening the economy which is also suffering from high inflation and chronic unemployment Unemployment rate was 24.7% in 2013 and it will fall to 24.4% in 2014 The current account deficit was 6.4% of GDP in 2013 and it is expected to widen to 6.6% in 2014 South Africa to be the 28th largest country in the world by 2030 COULD SOUTH AFRICA BE THE ENTRY POINT INTO THE AFRICAN MARKET ? The Business Case Ranked 41st in the World Bank’s Ease of Doing Business 2014 Report COUNTRY PULSE IN 2030 SOUTH AFRICA WILL BE THE Relatively low total tax rate of 30.1% of profits 28 th Ranked 53rd in the Global Competitiveness Index One of the most popular places for FDI in Sub-Saharan Africa FTA’s with the Southern African Development Community & agreements with the EU & European Free Trade Association largest country in the world IS THERE A B2C OPPORTUNITY TO BE EXPLORED ? The Power of the Consumer FABA For Africa by Africa South Africa in 2030 The Future Demographic CONSUMER BUZZ CIVIL INFO-NATION Need for reliable, un-biased information ‘Mobile’ Roaming Need to plan, execute journeys affordably • Population to surpass 58 Mn in 2030 • 70 % of the population to live in Urban cities Ushahidi: BACK Backup internet generator is designed for African conditions Property of MAS Innovation South African Broadcasting Corporation South Africa sees race to launch 24-hour news channels Mellowcabs Free electric pedicabs feature geolocated promotions • 67.0% of the population will be aged 15-64 • South Africa will age at a faster rate than Africa and Middle East average