Page 42 - IRMSA Risk Report 2023

TOP 5 CHALLENGES TOP 5 RISK TREATMENT OPTIONS AND OPPORTUNITIES

TARGETS ▶

TO ACHIEVING ▶
Collapsed infrastructure is one Investing for growth and not consumption would be the top response, followed
of the biggest contributors to a by investing in infrastructure as that would best stimulate the economic growth of
energy infrastructure and water 01. the country.
Failed State. This includes the
infrastructure that have aged Also, investing in network industries, ports, rail, digital migration and 5G. All of
due to poor governance. these will, in turn, be an investment in a capable state, which is much easier to deal
with than one that is less capable.

Poor governance from public Supporting all recommendations set out by the Zondo Commission regarding state
the idea that the governance of 02. capture, focusing on law and order, as well as safety and the security of our country.
sector leadership. This supports
the country lacks the inability to
implement structural economic
reforms in South Africa.

The investment into public and Replacing current leadership with ethical leaders. South Africa needs transparent
private infrastructure comes 03. and accountable leadership. Those that have transgressed need to be replaced.
to nothing because of crime There needs to be consequence management.
becoming an epidemic.

Youth unemployment, at 75%, For the South African economy to move forward, we need to ensure an increased
too many young people of 04. GDP growth. In the last 10 years, it has not reached 2%. This can be achieved once
remains a huge concern, as
the inflation CPI decreases and/or our interest rate can be increased
employable age are sitting at
home with nothing to do. This Investment is needed to increase large scale small and medium enterprise
actively invites trouble amongst production and sales (particularly exports); which stimulates employment.
the youth.

Law, order, safety, and security 05. Invest in a capable state starting with Law-and-Order structures which need to be
has become an epidemic. It is resurrected.
largely unchecked.
Appoint competent people and hold leaders accountable for performance.

42 IRMSA RISK REPORT 2023/24