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BHEKI MFEKA: Foshan’s success shows why local government matters in the quest for investment

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The city generated nearly two-thirds of the GDP of Guangdong province, a powerhouse of Chinese and world exports

This skyline view of the Foshan in China shows the city's Chancheng District. Picture: 123RF/

However, an investor who has set up a factory in Ladysmith KwaZulu-Natal is an SA citizen like you and me. She/he needs all the rights and privileges that accompany citizenship. It is also expected that the investor complies with the responsibilities of a citizen as an individual or a business. An investor who is a citizen is the most important as she/he contributes directly to the livelihood and vibrancy of a society.

It is therefore not only in the announcement of big dollar/rand commitments that the value of the SA investment conference lies, but in the comfort of satisfaction that what would seem like small things for citizens and by citizens, if taken care of, could generate trillions of rand for SA. Developing countries that have experienced unprecedented growth over the past 20 years, such as China, however, show that local government leadership is the most important for any country to grow aggressively. The example of a city in the south of China called Foshan in Guangdong province, is the most immediate and has led scholars to term China’s growth phenomenon the Foshan model of growth.

 

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