Growth demands a little less conversation, a lot more action

  • 5 DEC, 2024
  • 5 min read

In the face of SA's complex challenges, the path to sustainable economic growth feels elusive. While structural hurdles like inadequate infrastructure, energy instability, and policy uncertainty are often cited, a deeper, more fundamental set of constraints are at play.

These are not external or technical problems; they lie in the very mindset, competencies, and behaviours of the people and systems that can either drive the country forward, or hold it back.

South Africa's growth is stuttering at a predicted 1.0% for 2024 by Investec, Bloomberg and IMF and is being constrained by what I call the 3SA's: [serious] attitude, aptitude, and action. If we don’t address them head-on, the country will continue to falter despite having the resources and potential to thrive.

Attitude - the mental block to change

Attitude is arguably the most critical of the constraints. It is the collective mindset and belief systems that shape how individuals and institutions approach challenges and opportunities. South Africa has a long history of being mired in a survivalist, “just-get-by” mentality, largely due to the sociopolitical trauma of apartheid and the persistent inequality and poverty that has followed.

While this mindset served as a coping mechanism in a hostile, divided society, in our government of national unity (GNU) era, it’s proving to be a serious impediment to growth. We are afflicted by an attitude of pessimism and resistance to change, particularly in the face of necessary but uncomfortable reforms.

People are sceptical, not because they lack intelligence or capability, but because they have been burnt too many times by promises of change that never materialised. We know trust, once broken, is hard to rebuild, and questioning the intentions of any new plan or initiative, no matter how well-meaning, is almost default.

This attitude affects every aspect of life in South Africa — from businesses that hesitate to invest in innovation or new technologies, to government employees who feel disconnected from their roles and lack the motivation to go above and beyond. In the private sector, too, there’s a reluctance to take risks, hiding a fear of failure that stifles entrepreneurial spirit.

However, without a shift in mindset towards a collective acceptance that failure is not fatal, that change is necessary, and that progress requires risk-taking, SA will struggle to move forward.

Aptitude - the skills gap

The second constraint is aptitude: the skills, knowledge, and competencies that are required to innovate, solve problems, and execute effectively. SA has one of the highest unemployment rates in the world, yet at the same time, many businesses complain of a skills shortage. This paradox is at the heart of the country’s growth dilemma.

SA’s education system, while improving in some areas, still produces too many graduates who are not equipped with the skills needed to thrive in the modern and competitive global economy, especially regarding innovation. Universities churn out degrees that are disconnected from the needs of the job market, and the vocational training sector remains underdeveloped, leaving many young South Africans ill-prepared for the demands of the workplace. And amongst those who do enter the workforce, many lack the practical experience or soft skills necessary to establish themselves.

If we are to unlock the potential of our economy, we need a radical shift in the way we approach education and skills development. More focus must be placed on critical thinking, problem-solving, and technical competencies. We must move beyond traditional, outdated measures of success, and instead nurture skills that are aligned with the digital, green, and global economy.

The private sector must also take responsibility here. Businesses have a critical role to play in upskilling their workforces and ensuring that the right competencies are being developed. Public-private partnerships, particularly in skills development and training, could be one of the most effective levers for unlocking South Africa’s growth potential, and we have already seen initiatives like Harambee and YES4Youth make significant inroads here.

Action - translating Iintent into results

The final constraint is action — the ability to turn intentions into tangible, consistent, and impactful outcomes. This is where South Africa’s well-documented problem of inefficiency and inertia becomes evident. We are a nation full of great ideas, visionary plans, and ambitious goals. But these often fail to translate into meaningful results.

In government, the challenge of applying policy in practice persists. We have seen numerous plans be announced — from economic growth and job creation to infrastructure development and energy transition — only to see them stalled or poorly implemented due to red tape, bureaucratic resistance, lack of resources or competing demands. The private sector faces similar challenges through regulatory uncertainty, inconsistent policy enforcement, and a culture of procrastination that results in missed opportunities.

The key to addressing this constraint lies in fostering a culture of accountability, discipline, and urgency. South Africans need to develop an almost obsessive focus on execution. It’s not enough to draft another policy or blueprint; the real challenge is about bravely setting simple and clear priorities, making the hard decisions, and following through with relentless focus. In the business world, this is often referred to as a "bias for action." We need leaders across the public and private sector who are not only willing to set the course but also committed to ensuring it is followed through.

South Africa’s future depends on how we address these three critical constraints. No single policy or leader can solve these problems overnight, nor a committee or indaba. But we can start by shifting the conversation, by encouraging a culture of accountability, continuous learning, and action across every sector of society, every day – right now.

For government, this means taking bold, urgent steps to create a clear, consistent path for execution, with a focus on tangible outcomes and measurable progress. For business, it means fostering a mindset of innovation, risk-taking, and continuous improvement. And across society, it means a willingness to rebuild trust, shift mindsets, and embrace the idea that growth is possible if we are willing to put in the work.

Craker is CEO of iqbusiness.

Author: Adam Craker

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