Tag Archives: governance

South Africa personal wealth and quality of life is declining

Legatum Global Prosperity Index 2013-1

 

South Africa slips 5 places to 77th most prosperous country in the world, hampered by poor health and education levels and a low sense of safety and security. Over the past 5 years, South Africa’s ranking has continued to decline. The majority of the lowest ranking countries in the Prosperity Index all come from the sub-Saharan Africa region.

The Legatum Institutes annual prosperity index ranks 142 countries across the globe in terms of income (GDP, economy, wealth) along with well-being (quality of life, governance, sentiment). The index utilizes thousands of datapoints from global data sources, tracking close to 90 variables as well as an average of over 1,500 interviews with people in each of the 142 countries covered.

Over the last five years, South Africa has dropped 33 places to 82nd in the Personal Freedom sub-index because of a decrease in civil choice. Fewer individuals in the country feel satisfied wiht their freedom of choice.  Due to an increasing perception of social support and volunteerism rates, South Africa has risen in the Social Capital sub-index to 65th position.

 

Legatum Global Prosperity Index 2013-2

The top performing countries in the index are Norway, with the strongest economy and highest level of social capital; followed by Switzerland in 2nd and Canada in 3rd.

The highest ranking country in the sub-Saharan Africa region is Botswana with a ranking of 72 followed by South Africa in 77th position. The highest ranked countries in the sub-Saharan Africa region fill out most of the middle and bottom reaches of the index, with plenty of countries slipping in the rankings.

When it comes to entrepreneurship and opportunity, South Africa performed well. This is the country’s highest rank when it comes to sub-indices. South Africa ranked 41st in entrepreneurship and opportunity and governance (53rd); however, education (91st), health (105th) and safety and security (106th) drag on the country’s rank.

The overwhelming majority of individuals that were interviewed (82%) believe that government corruption in the country are widespread and 73% do not feel safe in the country. South Africa has fallen.

Overall, Personal Freedom across the sub-Sahara regions has decreased significantly over the past 2 years. Countries such as South Africa , Ghana and Mali dropped out of the top 50 in the Safety & Security sub-index to 82nd, 79th, and 61st, respectively.  The main reason for the decline is due to the perceived freedom to choose the course of their lives in all 3 countries.

To view the 2013 Legatum Institutes annual prosperity index – CLICK HERE

Source: Legatum Institute

South Africa global reputation remains steady

For the second consecutive year, South Africa’s all round global reputation has remained steady, maintaining its position at 36 in the latest review by Anholt-GfK Roper Nation Brands Index (NBI). NBI is an yearly survey measuring global thoughts and opinions of several developing and developed countries throughout the world.

This is actually a major accomplishment for South Africa given that the results come at a time when two thirds of the countries in the survey, a handful of which happen to be regarded as the world’s most respectable nations, experienced declines in their reputation over the last 12 months.

 

 

South Africa’s stable position as a nation brand is essential for the reason that the way a country is thought of can produce a significant impact on the prosperity of its business, trade and tourism initiatives, along with its diplomatic and cultural relations with other nations around the world.

Dr Petrus de Kock, research manager at Brand South Africa, suggests the fact that the country’s inclusion in the report is worldwide recognition of South Africa’s position in international economic and political systems. De Kock proceeded to express that promoting the nation is not only the responsibility of the government. “The way South Africans speak about their country and relate to others also plays a role when shaping perceptions,”.

To compile the annual report roughly 20 000 individuals are interviewed in 20 core panel countries, one of which is South Africa. They include major developed and developing nations that perform an integral function in international relations, trade, the flow of business, cultural and tourism activities.

The respondents rate 50 countries on questions divided into six categories, namely exports, governance, culture, people, tourism and immigration/investment. The index measures the power and appeal of each country’s ‘brand image’ by evaluating and analysing its competence in these categories.

 

 

 

Top achievers

 

Once again, the US held on to the top position for the 4th year in a row, as the nation with the best all round reputation, followed by Germany (2nd), UK (3rd), France (4th), Canada (5th), Japan (6th), Italy (7th), Switzerland (8th), Australia (9th) and Sweden in 10th position.

In a statement, NBI founder Simon Anholt, in his analysis of the results, mentioned that with a couple of exceptions, developed countries, ranking among the top 20, have recorded some of the most significant score losses. “Put simply, the world likes the world a bit less than it did last year,” Anholt said.

The majority of countries that attained higher scores in 2012 have come from emerging regions, with the greatest advances for the United Arab Emirates, Turkey, Kenya, and Poland.

 

No small accomplishment for South Africa

 

South Africans furnished high rankings in the people, tourism and culture categories, however they are a lot more critical regarding areas such as governance and immigration/Investment.

The latter describes a country’s capability to entice talent and capital, its economic prosperity, equal opportunity, and the perception that it is a location having a high quality of life. The country’s economic and business environment are at the same time assessed.

 

 

 

Governance

 

The survey details the fact that South Africa is faced with the most significant challenges in the area of governance, with South Africans becoming a lot more critical of their government this year.

Despite the fact that South Africans’ all round score for their own country in this area decreased, the country registered some improvement in this area, outdoing its Brics partners, India and Russia, within this category.

 

 

Tourism, culture, people

 

South Africa shifted in front of Russia, South Korea and China in the people category, which is the measurement of people’s friendliness by whether respondents would feel welcome when visiting the country.

Based on the report South Africans are respected across most panel countries regarding their welcoming nature, specifically when you are considering someone from South Africa as a close friend.

The cultural reputation of a nation is recognized as one of the most volatile of all indices, however South Africa’s standing in the culture category continues to be its strongest asset, ranking at 28th. In this particular category the country scored highly on sporting excellence (16th), but is somewhat less renowned for its culture – both contemporary (34th) and historic (33th).

South Africa’s rank of 34 for tourism matches last year. The country, which happens to be particularly famous for its natural beauty (15th), attained its best ranking from 11 out of the 20 panel countries on this particular measure.

The research discovered that international travelers, thought of as individuals who have visited no less than one foreign country, are definitely the most positive toward South Africa. Travelers consider South Africa as a tourist destination, which just happens to be an attractive place to live and work.

However, they also identify that it is a creative place that contributes to technology, produces quality products and provides both investment and educational opportunities.

Source: mediaclubsouthafrica.com, gfkamerica.com