ASSALAMU ALAIKUM
My African heritage obliges me to first extend my respect to His Highness Sheikh Mohammed Bin Rashid Al-Maktoum, UAE Vice President, Prime Minister, Ruler of Dubai and his fellow Members of The Supreme Council, Rulers of The Northern Emirates.
I am honoured to be the Consul-General of the Republic of South Africa to Dubai and The Northern Emirates. This is my first diplomatic posting and I suppose seasoned colleagues in the government and diplomatic communities would consider me a ‘newbie’. Thank you all for your warm welcome and kindness.
It has been a whirlwind four months since my arrival and I am enjoying finding my feet and experiencing the vibrancy of Dubai and this interesting and extraordinary part of the world. My first impressions are a kaleidkresoscope of sound and light, diverse nationalities and cultures, amazing architecture, and an abundance of commercial opportunities. It is my great pleasure to kick-off 2023 as Kreston Menon’s first guest article contributor. My aim is to outline South Africa’s economic relations with the UAE, what we can learn from Dubai and my vision for the next four years.
Trade and Investment Partnerships
Economic Diplomacy is a cornerstone of South Africa’s foreign policy as it aims to address the triple challenges of Poverty, Unemployment and Inequality, all a legacy of our apartheid and colonial past. South Africa’s national interests and foreign policy objectives are cushioned in promoting peace, security and economic development on the African continent. South Africa and the UAE have maintained a strong bilateral relationship with a strong economic focus since formal diplomatic ties were first established in 1994.
Trade and Investment are integral parts of our Economic Diplomacy. South Africa occupies a strategic position as Africa’s most industrialised country with its advanced financial systems, modern infrastructure, world class educational institutions and a vibrant Stock Exchange. It provides a valuable springboard for UAE enterprises to invest in the country, the region and the continent within the ambit of the newly-established African Continental Free Trade Area (AfCFTA) flagship project. AfCTA can enhance UAE companies to invest and trade with Africa’s vast sectors in mining, telecommunication, agriculture and financial services with Dubai at the helm.
The UAE is South Africa’s main trading partner within the Gulf Cooperation Council (GCC) countries since both countries agreed in 2016 to work towards considering South Africa as a strategic partner on the African continent and a preferred investment destination.
Further cementing of this relationship was made during President Cyril Ramaphosa’s visits to the UAE, first during his State Visit in 2018 during which numerous Memoranda of Understanding (MOUs) were signed; second was his Working Visit last year during Expo 2020. Great emphasis was placed on bolstering bi-lateral relations particularly in the areas of Tourism, Trade and Investment, High Tech, Renewable Energy, Agriculture and Infrastructure Development.
May I congratulate the Government and people of the Emirate of Dubai for hosting an exceptionally successful Expo 2020. The Official Motto “Connecting Minds, Creating the Future via Sustainability, Mobility and Opportunity” cemented Dubai’s vision of being the global centre of Innovation, Digitalisation, Robotics and Artificial Intelligence. South Africa’s participation provided a significant opportunity to further solidify our economic relationship with the UAE and further develop South Africa’s trade and investment partnerships.
From our Mission in Dubai, one of my responsibilities is to provide leadership to bring substance to our economic relationship on the ground in the areas of Trade Investments and Tourism. This includes renewed engagement with the Northern Emirates, namely Sharjah, Ajman, Umm Al Quwain, Fujairah and Ras Al Khaimah and expanding our ties with them. Although the limelight generally shines on Dubai and Abu Dhabi Emirates, they also present extensive business opportunities for South African enterprises.
According to the South African Business Council (SABCO), there are over 2,400 SA affiliated or registered companies with the Dubai Chambers of Commerce. South Africa has invested ZAR 10 billion in the UAE creating more than 2000 jobs in the petroleum, healthcare and financial services. In turn, the UAE has invested ZAR 1 billion in South Africa creating in excess of 1,500 jobs in the petroleum and new energy sectors.
South Africa will assume the 15th BRICS presidency this year and host the BRICS Summit in the second half of the year. BRICS countries (Brazil, Russia, India, China and South Africa) account for 17% of global trade and 33% of global GDP. South Africa joined this important bloc in December 2010, in line with the country’s foreign policy to strengthen South-South relations. South Africa is also keen to expand membership to include other progressive countries. UAE would be a prime candidate.
Post-Covid19 Economic Reconstruction and Recovery
Our Mission will continue to play a key role in South Africa-UAE relations as part of the South African Government’s implementation of the Economic Reconstruction and Recovery Plan to provide capable and effective public infrastructure development, secure and affordable energy supply and a significant employment stimulus to recover job losses in the aftermath of Covid-19 by creating jobs and supporting livelihoods.
Tourism: Dubai Airport tops the global list for international passenger figures, 25 million in 2022 and the highest aircraft movements exceeding 400,000. As a result of bilateral agreements with Emirates and Etihad to give them access to South Africa’s domestic routes while they promote South Africa abroad, South Africa is well-placed to tap into this hub with Emirates offering direct daily flights to Johannesburg (flagship Airbus A380) and Cape Town and Durban (Boeing 777). Dubai and the Gulf region is an untapped market with huge potential for the high-end income category, corporates and the general population. This partnership is expected to boost visitor arrivals and promote tourism and inbound traffic to South Africa from key markets across the Emirates network.
Agriculture: Dubai, the UAE and the Gulf states are lucrative export markets for South Africa’s agricultural and agro-processing produce. Food security in the UAE is a strategic national priority and that is a great opportunity for South African produce as the country imports 95% of demand.
The Blue Economy: South Africa is the only country on the continent to have two coastal water masses – the Atlantic Ocean on the West and the Indian Ocean on the East. With the importance of Biodiversity and Climate Change and the UAE’s remarkable knowledge base and Future Science pedigree, South Africa can enhance its Maritime Science.
Public service: The embodiment of South Africa’s public service motto “Batho Pele” (The People First), can forge ties with the UAE’s Department of Happiness and Tolerance in promoting a just and functioning society.
Healthcare: With its ailing healthcare system and tremendous challenges especially post-Covid19 pandemic, South Africa can benefit immensely from the example of Dubai’s many state-of-the-art institutions.
Global participation: Dubai will host two strategic global conferences this year – the World Police Summit in March and COP 28 in November. Through our Mission, South Africa’s participation will enhance the country’s activities in combating crime and corruption, and continuing to address the challenges of climate change.
Cultural Diplomacy
Cultural Diplomacy or ‘Soft Power’ brings warmth to bilateral relations. “La Cultura e come l’aria, non ha confine” (Culture is like air, it has no borders). There are 114,000 South African expatriates in the UAE, the majority of them resident in Dubai and operating in the healthcare, hospitality, petroleum and financial sectors. Properly supported, this group can be Goodwill Ambassadors spreading positive stories of our Rainbow nation.
Hosting our very own sensational swimmer Tatjana Schoenmaker, Olympic Gold and World Record Holder would allow her to inspire young Emiratis to excel in swimming.
South African authors have frequently participated in the Emirates Literary Awards with much success. Improving contacts with UAE institutions especially those in Future Science such as Artificial Intelligence, Robotics, Digitalisation, Innovation and Space exploration is top on my list.
In conclusion, it is my fervent desire to see South Africa-UAE relations elevated to a High Level Strategic Partnership focusing on New Energy, Innovation and Future Technology as Dubai remains an unrivalled leader in this domain. Dubai has an immense global stature and a track record that includes its vibrant people and lifestyle. Iconic landmarks that ensure Dubai remains a premium destination are Burj Khalifa, Dubai Fountain, Burj Al Arab, Dubai Mall, The Palm Jumeirah, Museum of the Future, Emirates Airline, Expo City, DWTC, DMCC to name a few. His Highness Sheikh Mohammed Bin Rashid Al-Maktoum has set ambitious goals to make it the most important global business centre. Our Mission in Dubai will continue to play its part in fostering and enhancing South Africa-UAE relations in myriad spheres.
As we move forward in strengthening bi-lateral relations, we are guided by Doctrines of The Founding Fathers of our two nations – elder statesmen His Highness Sheikh Zayed Bin Sultan Al Nahyan and His Excellency President Nelson Mandela.
“Nkosi sikelel’ iAfrika” (God Bless Africa)