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Chamber appoints Anelisiwe Fihlani to drive its Trade and Investment Desk

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The Nelson Mandela Bay Business Chamber is moving forward with its plans to launch a Trade and Investment Desk, with the appointment of Anelisiwe Fihlani as the Desk’s Trade and Investment Coordinator, effective immediately.

This strategic appointment is part of the Chamber's efforts to capacitate and enhance its Trade and Investment Desk which will be launched this week and is aiming to unlock the potential of Nelson Mandela Bay as the Bay of Opportunity.

Fihlani brings valuable experience from her previous role as an Investment Officer at the Eastern Cape Development Corporation (ECDC). During her tenure at ECDC, she was involved in investment attraction and facilitation, conducted sector economic research, and facilitated policy dialogues. She also engaged with multiple stakeholders around strategy development and investment promotion projects.

In her new role at the Chamber, Fihlani will be a key resource for the Trade and Investment Desk. Her responsibilities will include investment destination marketing, facilitating investor partnership linkages, and providing essential information and support to both potential and existing investors. Her experience is expected to contribute to promoting the Bay of Opportunity, fostering economic growth and attracting new investments to the Metro.

Commenting on her appointment, Chamber chief executive Denise van Huyssteen expressed enthusiasm about Fihlani joining the Chamber as she joins the organisation during a crucial period where it is proactively positioning the metro as the Bay of Opportunity.

“We have kick-started our proactive efforts to promote the metro as an untapped and high potential investment destination that boasts two ports and a strong manufacturing base and highly skilled people.

As such, the new Coordinator will play a pivotal role in collaborating with the province, the municipality and other entities that support investors to ensure that an action approach is adopted to investor marketing, especially with a business-to-business focus,” says Van Huyssteen. 

Fihlani will report directly to the Chamber’s Business Information Manager Lunga Mjodo, who is responsible for the Chamber’s trade and investment initiatives as well as Entrepreneurship services.

Anelisiwe Fihlani
Anelisiwe Fihlani, the newly appointed Coordinator for the Chamber’s Trade and Investment Desk, will play a strategic role in promoting the Bay of Opportunity, fostering economic growth and attracting new investments to Nelson Mandela Bay.

Think Tank to prioritise skills transference to equip local youth to become globally competitive

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Embedding the required skills in academic institutions in the Metro from primary to tertiary level is a key priority for the Nelson Mandela Bay Business Chamber’s Local Economy Reinvention Think Tank, as it works towards repositioning the local economy to be globally competitive amidst a rapidly changing economic landscape.

Nick Marriott, the Think Tank’s strategic programmes officer, says the Think Tank recognises the importance of fostering educational programmes that align with industry demands and future economic trends, including equipping local students with the skills needed to thrive in a dynamic global market. “By integrating these critical skills into higher education, the Think Tank seeks to ensure that graduates are well-prepared to contribute effectively to the local economy and support its transformation on an international scale. More importantly, we want these skills to be retained in the Metro to ensure that we have a strong pool of candidates who can sustain the local industry in next years to come. In the short term, we will be conducting a comprehensive skills and resource audit to identify current and future skills gaps in the local industry,” says Marriott.

The Think Tank has seven work streams focusing on diversifying the local manufacturing industries, capitalising on global gaps, shift the focus from automobile to “altermotive” mobility, strengthen the industry’s flexibility and resilience, utilise Climate Change as an opportunity, retain and grow engineering talent, leverage natural resources, get the city working and to work towards embedding the Nelson Mandela Bay ports and Rail Corridor in the government’s national strategy.

Marriott further elaborates that some of the key actions underway include the establishment of strategic partnerships with various potential partners, securing funding, conducting briefings and brainstorming sessions to find synergies between the groups.

As such, a comprehensive skills audit is planned to identify current and future skills gaps in the local industry. This aligns with the Think Tank’s overall strategy of building an agile, innovative and sustainable economy that is supported by a robust and adaptive workforce capable of meeting the demands of a globalised economy.

“There is unanimity amongst the work stream leads and various stakeholders we have engaged that the projects we will be pursuing must make business sense and be sustainable in the long term. The plan is to set up six kick start projects under the work streams and implement three of these within a year. However, these projects are not intended to be in direct competition with existing manufacturing sectors.

The intent is to create new opportunities to positively impact our local economy,” says Nick. Key criteria for on-boarding projects within the Think Tank will be evaluated based on feasibility to ensure it is self-sustainable, contributes to carbon footprint reduction within the metro or areas close to the region, and addresses skills development to aid in future proofing.

Each project will involve local students in a skills transference process, preparing them for entrepreneurial ventures or roles in local companies where their skills can be effectively utilised. This approach ensures that the projects not only support the local economy, but also foster long-term sustainability and growth. “The idea is that once the student has completed his tenure, he or she can either pursue an entrepreneurial journey or join a local company where his skills can be maximised cohesively and collaboratively,” concludes Marriott.

University of Limpopo Students Experience Sustainability in Practice with Coega

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To wrap up an eventful and successful Youth Month 2024, the Coega Development Corporation (Coega), in collaboration with the University of Limpopo (UL), facilitated an immersive learning programme for students at the 9003-hectare Coega Special Economic Zone (SEZ), in Gqeberha, this week, says Dr. Ayanda Vilakazi, Coega’s Head of Marketing, Brand and Communication.

The main objective of the educational progamme and visit, which included a comprehensive presentation and tour focused on sustainability and environmental management within the Coega SEZ, was to bridge the gap between the students’ theoretical understanding and their real-world experience of environmental management and sustainable development. The visit also offered the students an opportunity to network with seasoned professionals in their fields of interest.

The 39 students, ranging from undergraduate and postgraduate levels, were exposed to health and safety management, water quality management, waste management, open space management, Geographic Information Systems (GIS) technology, and the execution of Environmental Impact Assessments (EIAs). In addition, the visit comprised an overview of the Coega SEZ’s operations, along with a detailed explanation of the services offered by the Sustainability Business Unit (SBU), which incorporates those related to quality management and the organisation’s climate change response.

Mr. Simphiwe Silwana, Coega’s Sustainability Manager, expressed that Coega is always open to sharing invaluable insights and best practice Case Studies with students who are interested in effective sustainable development.

“These students travelled to the Coega SEZ to deepen their understanding of environmental management. They are future professionals who will play vital roles in addressing the environmental issues they confront when they return to Limpopo,” said Silwana.

Coega empowers students to thrive in a dynamic world, by providing unparalleled opportunities to expand students’ knowledge and enabling them to make informed career choices.

UL Environmental Sciences student, Hlahla Clement (20), shared his perspective on the visit: “This experience has taken me to places I will need to visit once I graduate. I learnt a lot about Geographic Information Systems technology and now I know that I would like to pursue my Masters in Geographic Information Systems technology.”

UL Lecturers in Geography and Environmental Studies, Mr. Marks Sebaiwa and Frederick Mashao agreed that the visit exceeded expectations and fulfilled the intended purpose.

“This experience proved highly beneficial for our institution and our students, offering them valuable exposure. I am particularly pleased with the participation of our students and the practical teachings by young professionals at Coega,” said Sebaiwa.

Coega’s unwavering dedication to learning and sustainable development ensures that the next generation of changemakers are well-prepared and inspired to shape a better future for generations to come, concludes Dr. Vilakazi.

Melony Els-Thom named Best Apprentice for 2024

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KARIEGA – The Volkswagen Group announced their 2024 Best Apprentices at a ceremony held in Wolfsburg, Germany at the end of June. This accolade is given every year in recognition of outstanding performance from apprentices who are training to become qualified artisans.

This year 49 Volkswagen Group trainees from 41 locations and 19 countries worldwide were ceremoniously honoured.

Kariega-based Melony Els-Thom is the proud recipient of this year’s Best Apprentice award at Volkswagen Group Africa. The 42-year-old embodies tenacity and unwavering determination. Her career began at Volkswagen Group Africa as a temporary employee in 2005, where she worked as a Quality Inspector. Although she pursued teaching at Midlands College for Early Childhood Development at the end of her contract, her heart remained in motor manufacturing.

In 2017, she returned to Volkswagen Group Africa, seeking opportunities to grow in the manufacturing sector, and within a year, she secured permanent employment. This pivotal move allowed Melony to pursue her long-awaited dream—an apprenticeship in mechatronics at the Volkswagen Technical Learning Academy. Her successful application in 2020 marked the start of her apprenticeship journey. Now in her final year, she thrives on mechanical, electrical, and robotics challenges. Simultaneously, she gains practical experience and on-the-job training at the plant.

Part time, Melony continues her Diploma in Management Operations at PMI Institute and N4 Electrical Engineering studies at the PE College Struandale campus in Gqeberha, expressing a desire to delve deeper into Programmable Logic Control (PLC) Programming.

Melony said the Best Apprentice Award is about teamwork. She was one of five team members in her group and the only female. “The award boosted my confidence in achieving my career goals. I am extremely grateful to my instructors, mentors, and fellow team members for their unwavering support. Even though I was named Best Apprentice, I feel my team helped me to achieve this recognition,” said Melony.

Despite her initial ambition to become a radiographer, Melony discovered her true passion later in life—a reminder that it’s never too late to pursue a fulfilling career.

The Volkswagen Technical Learning Academy was established to create a pool of qualified artisans from within the company and from the community. Russell Coleman, Volkswagen Group Africa Human Resources Director, said people development remains the company’s key priority. “We create an environment for continued learning. Our apprentices and artisans are able to compete globally against the best. We are proud of Melony’s achievement. Her determination and hard work have delivered superior results,” said Coleman.

Coega Clinches Top Award

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The Coega Development Corporation (Coega), last weekend on 29 June 2024, emerged as the Special Winner of the Infrastructure and Development Award for exceptional performance in its role as a trusted Implementing Agent of Choice in South Africa at the Africa Career Summit and Gala Awards 2024, which took place in Sandton, north of Johannesburg.

“In line with its dream, build, prosper campaign, Coega’s win underscores its role as a beacon of hope in the region, a transformation champion, and a leading catalyst for socioeconomic development in South Africa and beyond through its exemplary 25-year track record in infrastructure development and project management, with a focus on job creation, skills development, and inclusive economic growth. This supports the achievement of the National Development Plan Vision 2030, and the National Infrastructure Plan 2050. As such, in 2020, Coega was identified in the South African Economic Reconstruction and Recovery Plan as a leading Infrastructure Agent designated for certain key national projects and to further strengthen state capacity for infrastructure expansion,” says Dr. Ayanda Vilakazi, Coega Head of Marketing, Brand and Communications.

Coega has ISO certified standards in various processes and systems and a capable team of engineers and project managers using best practice in infrastructure development.

Coega’s unique value proposition ensures the timeous completion of projects, within scope, budget and quality including project methodology, reporting, and monitoring services, integrated planning and budgeting, the development of business plans, stakeholder analysis and engagement programmes, the procurement of service providers and required equipment, on-the-job training and contractor development, human capital solutions, post-implementation monitoring, and facilities maintenance.

The Africa Career Summit and Gala Awards 2024 served as a nexus to form partnerships, network, and celebrate excellence in the African business community. The awards also aimed to showcase businesses and individuals that are driving transformational leadership, social progress, and sustainable development in their respective industries.

Representing Coega, Ms. Sibongile Phiri, Talent and Performance Management Specialist, said that winning the Infrastructure and Development Award underscores Coega’s dedication to enhancing public sector capacity for service delivery, and its unwavering commitment to development. “Being recognised as a leader in infrastructure development on such an esteemed platform is a significant achievement for Coega. The award, once again, reinforces Coega’s competence, innovation, and expertise as a trusted Infrastructure Implementing Agent of Choice in South Africa,” said Phiri.

During the 2023/24 financial year alone, from April 2023 to March 2024, Coega supported the Eastern Cape Department of Education and Department of Health with the successful completion of infrastructure projects to the value of R4bn in pursuit of its vision as a leading catalyst for the championing of socio-economic development.

Currently, Coega is implementing 26 projects on behalf of the National Department of Public Works and Infrastructure through its debut programme, the Turnkey Projects Programme, to the value of approximately R1.3bn. These projects range from muchneeded repairs and upgrades to public facilities to the construction of new facilities located the cities of Cape Town, Johannesburg, Tshwane, Bloemfontein, Gqeberha, and Mahikeng, amongst others.

In conclusion, Coega will continue to play a pivotal role in advancing infrastructure development as a key priority in line with national objectives. Based on proven expertise in infrastructure delivery and maintenance, and an established track record of excellence, Coega is committed to maintaining its role as a transformative force through the growth of its infrastructure development portfolio.

Coega Breaks New Ground in Project Financing in South Africa

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The Coega Development Corporation is developer and operator of Africa’s leading 9003-hectare Coega Special Economic Zone, with modern world-class infrastructure, safe and secure for local and global investors.

Gqeberha, South Africa, 1 July 2024 – The Coega Development Corporation (Coega) is pleased to announce Treasury’s approval of the first limited recourse capital transaction in the public sector. The transaction is in support of Coega’s ambitious renewable energy programme and will finance the Coega Solar Rooftop Programme (CSRP) – one of several in a very large renewable energy project pipeline.

“Given Coega’s commitment to sustainability and the need to provide our investors with reliable access to utility scale green energy, attractively priced, and offering forward price predictability, these are critical investments for any SEZ to make. As the Border Carbon Pricing Mechanism starts taking effect, exporters’ terms of access to both markets and capital are increasingly being determined by the extent to which they can mitigate their carbon footprints,” says Coega’s Unit Head of Capital Raising, Ms. Meike Wetsch.

As a Schedule 3(d) registered public entity in terms of the Public Finance Management Act (PFMA) of 1999, Coega was the first state-owned company to propose and secure Treasury concurrence for the use of a limited recourse finance instrument in the public sector and the first SEZ to establish a Capital Office.

By granting approval for limited recourse finance, Treasury has enabled Coega and other state-owned entities to pursue large catalytic capital investment projects in support of their developmental mandates without imposing risk to the fiscus and by extension, the taxpayer. “Coega’s Capital Unit is responsible for the development and financing of large capital investment projects that are designed to support economic development, increase export earnings and employment at scale, and that are commercially attractive enough to warrant private sector co-investment. To make a meaningful impact requires considerable, prudent, and targeted capital investments that are executed in a way that does not crowd out private sector capital formation.

Coega has demonstrated its ability to finance economically enabling infrastructure and other game-changing investment at scale. These projects unlock economic performance of existing sectors, and act as catalysts for the development of new economic sectors necessary to diversify the Eastern Cape’s economic base. When commercially financed, such investments do not place additional burdens on the public purse which is critical when considering our national fiscal constraint” continues Ms. Wetsch.

As a public entity, Coega is subject to the PFMA of 1999 and Treasury Regulations, and therefore, the transaction was considered from every possible angle to ensure regulatory compliance. While limited recourse finance is used extensively in the private sector, this was the first time Treasury considered it in the public sector. Usually, public sector borrowings are structured in a way that requires Treasury to be the final guarantor.

“The problem with this approach is that when financiers consider public capital transactions, their assessment is based more on Treasury’s ability to guarantee repayment, than the commercial and investment merits of the project they are financing. The risk here is that projects that could have been better structured and de-risked end up being financed, and we have seen too many cases where well-intentioned projects end up presenting a liability for the taxpayer,” says Ms. Wetsch.

The approval of Coega’s transaction sets a precedent for other public entities to raise capital finance for large projects without a Treasury guarantee. Several state-owned entities have already requested Coega’s assistance in this regard, while the project financier has asked Coega to draft a practice note on the application of limited recourse modalities to renewable energy projects in the public sector that will be widely circulated amongst its public sector clients.

According to Ms. Wetsch, “financing projects on limited recourse modalities means projects must be commercially sound and offer exceptional returns to investors and lenders to attract finance, as no Treasury underwrite is offered. This market discipline has a fundamental impact on how we originate projects and has resulted in Coega being able to present a robust and bankable capital investment pipeline to capital markets offering attractive returns.

For this reason, we have been received enthusiastically in capital markets both here and abroad with current financiers comprising South Africa’s leading investment banks and developmental finance institutions complimented by their multilateral counterparts, and leading international and domestic investment funds. Financiers are particularly attracted to Coega’s ability to scale green energy, digital infrastructure, high value industrial innovation and our African portfolios. “

“Through our Africa portfolio, Coega is playing a meaningful role in operationalising the Africa Free Trade Agreement, and in connecting value chains across the Continent in the interests of shared prosperity and economic diplomacy. Africa remains the last global growth frontier and by becoming part of its growth story, Coega is unlocking valuable export markets for South African manufacturing, intellectual property, financial services, and capital to the Continent while offering investors exceptional returns and a de-risked investment environment,” shares Ms. Wetsch.

Key projects in which Coega participates include the multi-billion-rand Boegoebaai Port and Rail Project (with the Port development at R16bn and the related railway infrastructure a further R38bn), the USD 10bn development of LNG import and storage facilities and a deepwater port off Manica Island at the Port of Douala in Cameroon, and the R1.86bn Bhisho Office Precinct.

Other projects in the pipeline include the development of the Fatick Industrial Zone in Senegal, the development of the Kabalega Industrial Zone in partnership with the Ugandan National Oil Company in Uganda at USD 300m for the initial development, and a digital infrastructure project including several hyperscale datacentres and connectivity to Continental land and sub-sea cables, a satellite ground station and related infrastructure that is designed to position the Coega Special Economic Zone (SEZ) as a digital port and highway into Sub-Saharan Africa and enable the 4IR and digital economy at a further R5.8bn.

“The sheer size of our capital investment portfolio reflects Coega’s exceptional ability to develop and implement quality capital investments at scale and the ability to manage its finances to give effect to our vision to be a leading catalyst for the championing of socioeconomic development while honouring our commitment to fiscal prudence,” concludes Ms. Wetsch.

Volkswagen Group Africa to assemble vehicles in Egypt?

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Cairo/Kariega – Building upon the progress and mutual understanding achieved under the agreement signed in November 2023 – to work together to develop a feasibility study on a shared automotive painting facility within the East Port Said Industrial Zone in the East Port Said Automotive Zone (EPAZ) in Cairo – Volkswagen Group Africa and the Government of Egypt have signed a new agreement.

In the new strategic co-operation agreement, Volkswagen Group Africa and the Government of Egypt are broadening their collaboration, to develop a feasibility study for the construction and utilisation of the Body Shop and Assembly buildings, which will be located within the EPAZ.

The new agreement was signed by the Chairman of the General Authority for the Suez Canal Economic Zone, Waleid Gamal Eldien, Chief Executive Officer of the Sovereign Fund of Egypt; Ayman Soliman, Vice President of the East Port-Said Development Company; Dr Ahmed Fikry and Chairperson and Managing Director of Volkswagen Group Africa (VWGA), Martina Biene in the presence of the Prime Minister of Egypt, Dr Mostafa Madbouly.

The signing ceremony which took place during the first day of the Egypt-EU Investment Conference hosted in Cairo on 29-30 June 2024, was also witnessed by Dr Mohamed Shaker El-Markabi, Minister of Electricity and Renewable Energy; Eng. Tarek El-Molla, Minister of Petroleum and Mineral Resources; Dr Hala El-Saeed, Minister of Planning and Economic Development; Dr Rania Al-Mashat, Minister of International Cooperation; and Valdis Dombrovskis, European Commissioner for Trade.

The prior agreement laid the groundwork for the collaborative endeavours aimed at deepening the localisation of the automotive industry in Egypt through a shared facility. This underscored the commitment of the Government of Egypt to bolster its automotive industry. In June 2022, the Government of Egypt announced the introduction of the Automotive Industry Development Programme (AIDP), which aims to foster the local value addition, increase vehicle production volume, boost and attract investment, and improve emission standards in the automotive sector.

The Government of Egypt aims to establish a Special Purpose Vehicle (SPV) to construct the buildings for the Body Shop and Assembly Line. Volkswagen Group Africa has expressed interest to utilise these facilities to assemble vehicles for the Egyptian market, after the successful completion of the feasibility study and its findings confirming viability.

Biene commented: “The new strategic co-operation agreement with the Government of Egypt offers Volkswagen Group Africa an asset-light investment model, which shifts the investment focus from capital expenditure to operational expenditure. The agreement also presents Volkswagen Group Africa with the opportunity to progress its long-term plans to establish its presence in Egypt. Furthermore, Volkswagen is emboldened by the willingness of the Government of Egypt to explore an ingenious approach to realise the viability of the feasibility study. We are fully committed to working with the Government of Egypt to make this project viable.”

Multi-stakeholder crime fighting initiative launched in the Bay

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The Eyes and Ears initiative has been launched in Nelson Mandela Bay as a collaborative effort to enhance safety and security in the region.

This initiative involves key stakeholders such as the South African Police Service (SAPS), Agri Eastern Cape, Business Against Crime South Africa (BACSA), and the Private Security Industry (PSI), who are leveraging their expertise and resources to create a coordinated response to crime through shared resources and information.

“The strategic involvement of the right stakeholders to develop a common understanding of the highest impact on safety and security issues affecting business and the city, is what has led to the establishment of this initiative in Nelson Mandela Bay. The formulation of a collective approach to finding practical and sustainable solutions through sharing resources to take collective action, is the key to unlocking an enabling environment which promotes sustainable economic development,” says Alfie Jay, the Lead for the Chamber’s Safety and Security Task Team

The initiative is an official joint crime fighting initiative between these key stakeholders. The Private Security Industry formally cooperates with the SAPS by relaying information directly to the District Operational Command Centre (DOCC) and in some instances, receiving such relevant information directly from it. This information sharing will also feed into the Provincial Operations Command Centre (POCC) located in Zwelitsha and assist in the fight against crime at a provincial level.

Its objectives are to enhance the situational awareness of the SAPS by using the Private Security Industry’s (PSI) geographical deployment footprint for the sharing of information, to enhance operational response to crime hotspot areas, violent crimes, TRIO crimes (hijackings, house robberies and business robberies) and with specific emphasis on crimes which are heavily dependent on situational information and a shared concern for both the SAPS and the PSI, including allowing for the PSI to assist each other (and SAPS) where needed in a non-commercial and non-competitive capacity.

Jay further elaborates that through various discussions and research, the team discovered that although the initiative has been active, it has only been operational at a provincial level in the Eastern Cape.

“However, the high volume of information trafficked into the system is too overwhelming for both the SAPS as well as the PSI in the Metro to effectively track, collaborate and action on information which is only pertinent to the city,” says Jay.

He says that the collaboration between the Chamber’s Safety and Security Task Team, BACSA, the SAPS, the PSI and Agri Eastern Cape, has led to the establishment of the Eyes and Ears District Steering Committee, which will serve as a joint crime fighting entity that has the responsibility to oversee effective coordination and sharing of information between the District Operational Command Centre, and the Private Security Industry with a strong focus on Nelson Mandela Bay.  

“The PSI’s proximity to incidents, crime scenes, or crime hotspots, provide for responsive situational information that will inform and enable the SAPS to appropriately and rapidly respond to such incidents and track suspicious persons, vehicles – and the monitoring of routes and diversion tactics by suspects and perpetrators of crime,” he says.

“Being able to exclusively network participating camera feeds from various PSI’s and other institutions in Nelson Mandela Bay into one set of control room monitors, will enable improved solutions to monitoring, tracking, and collaboration, the purpose of which is to apprehend suspects, make arrests, and reduce crime in Nelson Mandela Bay.”   

Agri Eastern Cape Operations Manager Jason Kümm says while Agri EC serves its members mostly in the rural sections of the Eastern Cape, the organisation “has come on board to assist the Nelson Mandela Bay District in establishing the operational centre and as an impartial party to guide the steering committee and role players in establishing the best practices for a proactive and effective outcome.”

Agri EC will assist in coordinating information and resources available in the Eyes and Ears project through its 24/7 coordination centre located in the Bay.

Nelson Mandela Bay District Commissioner Major General Vuyisile Ncata says the Metro being the province’s hotspot for hijackings, vehicle theft, business and house robberies, will benefit from the implementation of the Eyes and Ears project.

According to Ncata, the recovery rate of hijacked or stolen motor vehicles is currently between 90-98%.

“The initiative will strengthen our efforts to prevent and react whenever the crimes are committed as our reaction will be quicker than before. The more successes the SAPS achieves, will serve as a deterrent to other criminal elements. This collaboration will further strengthen existing partnerships between all law enforcement agencies, both from the state and private industry,” says Ncata.

By pooling resources and enhancing information sharing, the initiative aims to improve the effectiveness of crime prevention and response, ultimately contributing to sustainable economic development in the region.

Chamber Secures RMB’s support for its Trade and Investment Desk

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The Nelson Mandela Bay Business Chamber’s is pleased to announce that its Trade and Investment Desk, the action arm to help unlock the potential of the metro as The Bay of Opportunity, has secured the support of Rand Merchant Bank (RMB).

The Desk, which will officially be launched next month, will undertake vital work in the areas of investor marketing, the facilitation of investor partnership linkages and the provision of key information and support to potential and existing investors.

Commenting on the partnership with RMB, Chamber chief executive officer Denise van Huyssteen says the partnership heralds a new chapter in Nelson Mandela Bay’s economic trajectory, marked by concerted efforts by a united business sector to get the metro on the national and international map as an investment destination.

“It is set to enhance the Trade and Investment Desk’s ability to drive significant catalytic economic activities that will contribute to growth in Nelson Mandela Bay. We kick-started our proactive efforts to promote the Metro as the Bay of Opportunity at our Nelson Mandela Bay Manufacturing Showcase event which took place recently (07 June),” says Van Huyssteen.

The Bay of Opportunity is focused on unlocking the potential of the Metro as a two-port city with a strong manufacturing base and highly skilled people. The Trade and Investment Desk will work in tandem with the province, the Municipality and other entities that support investors to ensure that a proactive approach is adopted to investor marketing, especially with a business-to-business focus. Ultimately, our aim is to help build investor confidence so that much needed jobs can be retained and created in the Bay. The Desk will also link directly to our Local Economy Reinvention Think Tank, which will be proactively identifying and driving business opportunities, particularly in the manufacturing sector.

The official launch of the Trade and Investment Desk is scheduled for the 10 th of July, with the Chamber currently in the process of recruiting a dedicated resource to operationalise it. This Trade and Invest Desk will collaborate closely with key partners, including the Eastern Cape Development Corporation, Nelson Mandela Bay Municipality, and the Coega Development Corporation.

“Importantly, the emphasis on collaboration rather than duplication ensures alignment with existing efforts while streamlining investor engagement processes,” says Van Huyssteen.

RMB’s Corporate and Investment Banking Sector Head Banking Division Pieter Nienaber says “We are incredibly supportive of the work done by the Chamber in the Nelson Mandela Bay Metro and RMB is thrilled to partner with the Chamber on the launch of its Trade and Investment Desk. We look forward to working with the Chamber to encourage new investment into the Bay of Opportunity.”

“We are excited that RMB will be partnering with us to bring our Trade and Investment Desk to life Furthermore, we value their interest and confidence in the Bay as an untapped and high potential investment destination,” emphasises Van Huyssteen.

MBDA programmes inject growth in production, GDP, jobs, and a positive sentiment in the Bay

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Since its establishment in 2003, the Mandela Bay Development Agency (MBDA) an entity of the Nelson Mandela Bay Municipality (NMBM), has sought, through its development programmes, to act as the primary institution behind the revitalisation of key precincts within the greater Nelson Mandela Bay (NMB). This precinct approach has entailed the MBDA undertaking several capital investment projects in dedicated and strategic geographic precincts of the Nelson Mandela Bay.

To quantify the impact of these projects, the MBDA engaged the services of Urban-Econ, an independent specialist’s agency to co-develop an economic barometer that measures the socio-economic impact of the MBDA. The purpose of this economic barometer was twofold. Firstly, it sought to quantify the economic impact that the Agency’s various capital projects had, directly or indirectly on local business activity, GDP, and employment. Secondly, it sought to, via means of a survey administered to businesses and residents, determine what impact the MBDA’s activities had on citizens and business perceptions of the areas where these projects are underway or have occurred.

Outlining the process, Senior Economist Thomas Parsons says “a process was undertaken for three of the MBDA’s focus areas namely: Gqeberha CBD, Schauderville-Korsten, and South End-St Peters. Based on this approach, a total of 75 responses were targeted across the three areas. This comprised 30 respondents in Gqeberha CBD split equally between businesses and residents, 20 residential respondents in South End-St Peters, and a further 25 residential respondents in Schauderville-Korsten.

The 2023 dipstick survey was designed to provide a snapshot of the view of the MBDA’s activities in the respective areas through targeted inputs with businesses and residents”.

“Based on the survey results, between 23% (Schauderville-Korsten) and 33% (South End-St Peters) of surveyed residents had made some form of improvements to their properties over the last five years, with the average value of these improvements varying between R25 000 and R87 000.”

“Extrapolating the survey results to the broader areas suggests that total investment by residents in the Schauderville-Korsten and South End-St Peters areas over the last five years could be in the region of R104.2 million”.

In comparison, 29% of surveyed businesses in Gqeberha CBD indicated that they had made improvements to their properties, with an average value of R56 000. None of the businesses or residents surveyed, however, indicated that the MBDA’s activities in the area had influenced their decisions to invest.

Survey respondents across all three areas were also asked about their perceptions of the MBDA’s activities in the various areas. In Gqeberha CBD, both businesses and residents were somewhat positive about the MBDA’s permanent cleaners, with between 14% and 21% of respondents viewing their impact as positive. These same respondents, however, were less positive about the permanent security in the area, with 21% of surveyed businesses, 78% of surveyed residents perceiving their activities in a negative light.

Schauderville-Korsten residents expressed equally negative sentiment around the area’s multi-purpose recreational park developed by the MBDA. Over three-quarters of respondents viewed the development negatively, owing mainly to the fact that the park was inadequately maintained and unsafe.

South End-St Peters respondents meanwhile, where very positive about both the MBDA’s upgrading of St Peters and the Baakens River Valley functional improvements. Approximately 33% of surveyed respondents were extremely positive about the St Peters upgrades, while 19% were extremely positive about the Baakens River Valley upgrades. The remining respondents expressed positive sentiment, with no respondents expressing negative feelings about either of the upgrades.

Using a mix of results from the three surveyed areas and Census data published by Stat SA, it was possible to estimate the potential contribution that the residential properties in these respective areas contributed to the NMB’s total annual rates revenue. Based on this exercise, it was estimated that that these three areas as defined, collectively contributed R299.0 million to municipal income in 2022. This includes both property rates income as well as revenue derived by the NMB from the sale of services (i.e. water and electricity).

Parsons adds, the data “to date, the MBDA has invested approximately R24.8 million across the three areas, comprising a mix of capital investment (e.g. upgrading of St Peters) and operational expenditure (e.g. Gqeberha CBD cleaning programme)”.

Based on this investment by the MBDA, total production has increased by R66.2 million, increasing GDP by R19.2 million. The investment has also helped to create 80 jobs across the economy through the direct, indirect and induced effects of this investment. These jobs have helped to boost overall household income by R8.2 million”.

Welcoming the Economic Impact Report, MBDA Chief Executive Officer, Anele Qaba says the report provides the entity with a clear line of sight in terms of its economic activity impact. It is critical for us to be able to measure the impact of our activities, not only on economic terms, but to see visible impact across the spectrum”.

“The MBDA will in the month of July and August go back to stakeholders to engage on this report and to discuss ways to maximise the impact of the MBDA in these precincts. In addition, and after Council approving the City’s budget, the MBDA will now finalise its Annual Business Plan for the period 1 July 2024 to 30 June 2025”.