By Lehlohonolo Lehana.
Deputy President Paul Mashatile says South Africa remains a competitive business and investment hub despite global economic challenges.
Mashatile was speaking at a bilateral economic conference in France under the theme “Advancing SA-France Economic Relations.”
South Africa is intensifying cooperation in the fields of infrastructure development; science, technology and innovation; education and skills development; as well as improve the already strong people-to-people links between the two countries and increase the flow of tourism to South Africa from France.
France is the 14th largest investor in South Africa, with about 400 French companies investing in sectors such as financial services, renewable energy, rail, chemicals, oil and gas, to mention but a few.
French companies have played a pivotal role in the Presidential Investment Conference. Since the first Presidential Investment Conference hosted in 2018, French companies have committed more than R70 billion with the majority of projects either completed or being implemented.
Mashatile highlighted the significance of enhancing trade, promoting investment, and encouraging collaboration between the two nations.
He noted that the conference is “a platform to build on this foundation, exploring new opportunities and expanding investments, trade and cooperation that will benefit our people and economies.”
Mashatile reaffirmed South Africa’s commitment to multilateralism, sustainable development, and global economic integration.
“We understand that by enhancing integration and collaboration with countries like France, we can promote inclusive economic growth,” he said.
He pointed out that the existing trade and investment relationship between the two countries has already generated jobs and stimulated economic activity.
Energy transition is a central pillar of South Africa’s strategy for growth, with Mashatile highlighting the country’s renewable energy potential and international backing.
South Africa is undertaking one of the most ambitious energy transitions on the continent,” he said, referencing the country’s abundant solar and wind resources and the Just Energy Transition Partnership.
He welcomed the involvement of French companies such as Engie and TotalEnergies in South Africa’s renewable energy procurement programs and energy storage initiatives.
Mashatile also identified strategic collaboration opportunities in the extraction and beneficiation of critical minerals such as lithium, cobalt, and rare earth elements. “We are looking into our international partners, including France, to bring advanced technologies, innovation and sustainable practices in this space,” he said.
He stressed the importance of strengthening healthcare systems and reducing dependency on external sources for essential medicines. Highlighting South Africa’s mRNA technology hub, he welcomed partnerships with French firms to bolster vaccine manufacturing and regional health resilience.
We welcome partnerships with French companies like Sanofi to scale local manufacturing capacity, support technology transfer and invest in regional health resilience,” he said, adding that the partnership between Sanofi and Biovac for the production of the Hexaxim vaccine and new collaborative initiatives were already underway.
Mashatile also underlined the economic potential of South Africa’s hemp and cannabis industries. “SA is developing a regulatory framework that will encourage investments, research and commercialisation in this sector which has the potential to spur industrial innovation, vitalise rural economies and create thousands of jobs,” he said.
He expressed appreciation for French investment in the South African economy, noting that since the first South Africa Investment Conference in 2018, French companies have committed over R70 billion to various sectors, including renewable energy, manufacturing, agribusiness, and retail.
He encouraged expansion in trade by introducing more South African high-value products to the French market through missions, exhibitions, and sourcing platforms.
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Video Courtesy of Presidency.