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ANC Eastern Cape welcomes R10 billion investment by Mercedes-Benz

Jun 29, 2018
ANC Eastern Cape welcomes R10 billion investment by Mercedes-Benz

The African National Congress (ANC) in the Eastern Cape this week welcomed the announcement by automotive manufacturer, Mercedes-Benz, regarding a massive R10 billion investment to expand the Mercedes-Benz South Africa’s (MBSA’s) manufacturing plant in East London.

"As announced by President Cyril Ramaphosa when launching the Invest South Africa, a target to raise $100-billion in new investment over the next five years to create jobs and grow the economy has become a reality with this investment," said ANC Eastern Cape Provincial Secretary, Lulama Ngcukayitobi.

"We are in particular excited about the 800 direct employment opportunities this investment is expected to create. An investment of this scale is a major catalyst for the Buffalo City and the Province's economy.

"We are delighted to note that Mercedes-Benz will focus on ensuring both up- and downstream opportunities and enterprise development."

Ngcukayitobi said that the automotive sector is a priority sector and forms the backbone of the Eastern Cape Provincial economy.

"The positioning of Buffalo City as an attractive destination for international investment is vital to the building of a competitive and sustainable city.

"With the automotive industry recognised as the anchor industry of the Province economy, investments into this sector are especially welcomed to strengthen and sustain our economic foundation," he added.

"With political stability and world-class infrastructure, we strongly believe that more investors are bound to make the Eastern Cape their first investment destination, thereby reducing the high numbers of unemployment amongst young people.

"These exciting developments came at the time with Stats Report announced that the Eastern Cape recorded a 0.5% increase in the number of people in employ between January and March 2018."

Ngcukayitobi said that these jobs have been created mainly in six key sectors of the economy, namely Community and Social Services; Manufacturing; Construction; Finance and Trade despite tough macro-economic conditions.

"The manufacturing sector can be a catalyst for transforming the economy and creating jobs.

"This is illustrated by the fact that this sector created more new jobs. We strongly appeal to our youth to take advantage of all the programmes and incentives and to help turn our Province into a bustling hub of industrialisation and manufacturing," he described.

"This signals that a new dawn is upon us, instilling renewed confidence in Province’s economy. All key players in the economy including labour, business and consumers are willing to work together under the leadership of President Cyril Ramaphosa to get South Africa working."