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South Africa

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South Africa is the smallest of the BRICS nations. On the economic efficiency front, it is quite modest with a mean efficiency of 66%. It was only quite recently that the nation embarked on a comprehensive policy plan to promote inclusive growth, infrastructure, food security, education, rural development, and improved public services especially in the area of health. South Africa is yet to emerge from its history of violence and oppression. As far as environmental efficiency is concerned, South Africa ranks at the top. Since industrial activity is low and level of inputs is the lowest among the BRICS nations, it has the lowest carbon dioxide emissions. In the social efficiency index, its performance is not good. It has the lowest life expectancy at birth within this group at 51.4 years. Health problems widely prevalent in this nation also contribute to a low social efficiency index. These problems not only pertain to violence but also to high incidence of HIV and tuberculosis. South Africa also suffers from very high unemployment rates.

Given South Africa’s natural resources and scenic beauty, tourism is a major industry, and ecotourism has become a focus area of business. The industry drives economic growth and job creation. The nation attracts more than 10 million tourists annually. The problem is to ensure that while this industry grows, congestion and pollution created by tourists do not erode the quality of the natural environment and the extent of biodiversity. South Africa’s coast is also a valuable resource for the economy. Coastal ecosystems provide natural erosion control and waste management. The economy’s coastal and marine resources are under threat mainly because of excessive urbanization around the major coastal ports and heavy shipping traffic. Fishing is another major activity in South Africa. However, over-harvesting has led to an increased stress on marine life.

There is some good news too. The Cape Town City Council in partnership with a non-profit development organization South South North, developed a low-income energy-efficient housing project in Kuyasa. The housing project focused on energy efficient lighting, insulated ceilings, and solar-powered water heaters. The development project is a model that can be imitated in other countries. It has been recognized by the United Nations as a gold standard clean development project. There are less than 50 such projects in the world. There are over 1.5 million low-income houses in South Africa with this design.

The Political Economy of the BRICS Countries

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