Naspers abandons its home, another episode to compound SA’s economic woes
In what could be perceived as continued injustice towards victims of apartheid, international capital along with developed countries and the local comprador class continue to sell the sweat and scars of black workers for a penny. Apartheid South Africa was an incubator that exploited black labour and resources that are now exported other parts of the world, without shame. The soon-to-be-former South African media and internet company Naspers is set to permanently abandon the country, and will have its primary listing in its new home in Holland as from 17 July 2019.
These days buzzwords used to describe the South African economy are ‘recession’, ‘economic decline’, ‘high unemployment’, ‘layoffs’ and so forth. In their own nature, these superlatives give a glimpse about the state of the economy that is deep in trouble. Mainstream economists and other commentators give an impression that these economic challenges emanate from ordinary events rather than from systematic peculiarities that continue to trouble our country to this day.
However, the problem lies in the structure of an economy that is the permanent home of disloyal monopolies that cover every inch. And these economies continuously hoard large cash reserves and reluctantly re-invest money in the economy. They also engage in illegal economic activities that drain the economy. But most important, they decide to leave South Africa to take opportunities in other countries and leave behind what looks like asbestos dust that overwhelms the local economy, and the people who cannot get jobs.
To give a perspective on this, it may be necessary to re-visit the topic of how massive capital outflows resulting from the unprecedented relocations overseas by major South African companies around 2001 are a source of the present economic struggles. Since Donald Trump took over as the president, he has mourned that US companies with operations abroad don’t repatriate enough profits, thus hurting the economy. He would be screaming and crying if he were to experience what South African companies do.
For full argument on this topic concerning on the SA companies that leave their base, follow this link to read the full article ~ https://shadebe.wordpress.com/2019/07/07/naspers-abandons-its-home-another-episode-to-compound-sas-economic-woes/
By Siyabonga P Hadebe