DIRCO Aims to Boost Economic Growth Through Enhanced African Partnerships

Minister Ronald Lamola highlighted these initiatives while presenting the Budget Vote for the 2024/25 financial year in Parliament, where DIRCO's allocation was disclosed at R6.57 billion, reflecting a 5% reduction from the previous year.

The Department of International Relations and Cooperation (DIRCO) has outlined plans to bolster South Africa's economic growth by intensifying efforts to support local companies and State-owned enterprises in pursuing substantial opportunities across Africa. Minister Ronald Lamola highlighted these initiatives while presenting the Budget Vote for the 2024/25 financial year in Parliament, where DIRCO's allocation was disclosed at R6.57 billion, reflecting a 5% reduction from the previous year.

Minister Lamola emphasized South Africa's steadfast position as a major investor in Africa, citing over 450 projects in various countries achieved through coordinated approaches and investment initiatives. He commended the role of development finance institutions such as the Development Bank of Southern Africa and the Industrial Development Corporation in facilitating these investments.

"We are focused on strengthening partnerships across Africa to address business challenges and foster a conducive environment for conducting business," Lamola stated, underscoring the importance of regional cooperation in sectors like oil and gas, green hydrogen, water resources, and trade facilitation.

Key infrastructure projects were also highlighted, including efforts to expedite the Lesotho Highlands Water Project Phase II for enhanced energy cooperation with Mozambique and Namibia, as well as the implementation of the Grand Inga Treaty with the Democratic Republic of Congo. The Grand Inga project, capable of generating over 40,000 megawatts of electricity, is poised to significantly bolster power supply across the Southern African Development Community (SADC) region.

Minister Lamola announced the establishment of the Coordination Mechanism for Economic Diplomacy, aimed at facilitating collaboration among government departments and private sector stakeholders to advance South Africa's economic interests in Africa. This mechanism aligns with the Government of National Unity's commitment to foreign policy guided by human rights, constitutional principles, solidarity, and peaceful conflict resolution.

"Our foreign policy agenda supports the African Agenda 2063, fosters cooperation between the Global South and North, and advocates for multilateralism to create a just, peaceful, and equitable world," Lamola affirmed.

He also highlighted the establishment of 46 structured bilateral mechanisms, including 12 at the Presidential level, enabling South Africa to engage with partners on national, regional, and global issues.

In conclusion, Lamola reiterated South Africa's commitment to deepening its relations with African partners, affirming that these efforts are pivotal to driving economic growth, improving livelihoods, and achieving regional integration goals.