City’s growth vehicles working in the fast lane; R550 million injected into Cape Town
30 April 2019
Source: Statement by the City’s Mayoral Committee Member for Economic Opportunities and Asset Management, Alderman James Vos.
According to a report, the City of Cape Town’s investment in agencies to aid economic and employment growth has enabled more than R550 million in investment value and 520 new jobs for Cape Town over three months.
The most recent quarterly report on the performance of Wesgro and the City’s special purpose vehicles (SPVs) has revealed that an investment value of more than R550 million was facilitated into Cape Town’s economy and 520 new jobs created between January and March this year.
In addition, 404 of our residents who are most in need benefitted from skills development opportunities offered by the SPVs during this time.
The City’s Enterprise and Investment Department provides funding to SPVs such as GreenCape, Business Process Enabling South Africa (BPeSA) and Wesgro which is directed towards stimulating key sectors of our city’s economy. The business process outsourcing, renewable energy, technology, medical waste and real estate sectors saw the most notable benefits from these efforts as reflected in the latest quarterly report.
This funding has contributed to the creation of a positive enabling environment to do business, for skills development and for the promotion of Cape Town as a trade and investment destination.
I am particularly proud of the work being done by BPeSA Western Cape. This organisation facilitated over R83,2 million of the total investment, leading to 347 new job opportunities being created in Cape Town for the same period. Since the beginning of the 2018/19 financial year this SPV has performed remarkably well in facilitating over R500 million worth of investment which has contributed to the creation of 2 398 jobs.
Other priority sectors, defined as such due to their potential to grow the City’s economy and to contribute to job creation, include information communication and technology; business process outsourcing and off-shoring; the green economy; craft and design; clothing and textiles; fashion; and the sectors promoted by Wesgro i.e. agribusiness and niche engineering and manufacturing sectors.
Overall, I am very pleased with the work that is under way to cement the City’s reputation as one of the go-to destinations on the continent for investment and economic growth, and hope to build on this during my term of office.