Home Banks Over R2 billion investments secured in Eastern Cape

Over R2 billion investments secured in Eastern Cape

Chinese solar panels manufacturing
Chinese solar panels manufacturing

from NJABULO MKHIZE in Port Elizabeth
PORT ELIZABETH – SOUTH Africa’s foremost investment hotspot for exporting companies has signed funding worth R2,6 billion (US$187,27 million) during the 2018/19 financial year (FY).

This exceeds a target of R693 million.

The Coega Development Corporation (CDC) signed the deals with 18 new investors at its Special Economic Zone (SEZ) in Nelson Mandela Bay.

Investments for the CDC’s aquaculture development zone came in at R848 million and represented almost a third of the investments secured.

In the metals sector, investments with a combined value of R760 million were signed

The third top-performing investment sector was energy where an investment of R362 million was secured from a Chinese firm manufacturing solar photovoltaic cells.

The remaining investments were secured in automotive, chemical engineering, food and beverages, manufacturing and recycling industries with a total combined investment value of R580 million.

In the 2018/19 FY, 18 percent of new investments originated from China while the remainder emanated from South African firms.

“On an international level, the Coega SEZ remains a preferred investment destination for Chinese FDI flows and new greenfield investments in Africa,” said Dr. Ayanda Vilakazi, Head of CDC Marketing, Brand and Corporate Communications.

Based on the new investments signed in the past financial year, Vilakazi said conservative estimations of the creation of 2 073 jobs were on course.

He disclosed Coega would have three operational Chinese investors, including global Fortune 500 company BAIC, towards 2022.

Coega is undertaking a feasibility study for the cultivation of Atlantic salmon, a popular species for commercial fishing, and cultivation and processing of high-value products from Cannabis for pharmaceutical industries.

– CAJ News


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