South Africa

D

Energy

Almost all of South Africa’s electricity is produced in 22 thermal facilities, most of which burn coal. The country also has one nuclear, two hydroelectric, and three gas-turbine stations. In 2003 the country’s annual production was approximately 215.9 billion kWh. The main challenge for the sector over coming decades will be to bring the 80 per cent of black homes without electricity into the National Grid.

E

Currency and Banking

The rand, divided into 100 cents, is the monetary unit of South Africa (6.81 rand equalled US$1; early 2008). The South African Reserve Bank (established 1920) is the sole bank of issue. In addition, the country has many commercial, savings, and investment banks including 55 foreign banks. The Johannesburg Stock Exchange is an important institution. The rand has been under considerable pressure by the international markets and depreciated by 20 per cent in 1996.

F

Commerce and Trade

In the early 1990s South Africa’s yearly exports earned more than its imports cost, largely because of the great revenue from foreign sales of gold. However, in 2004 annual exports were valued at US$40.2 billion and imports at US$47.8 billion. Gold accounts for about 27 per cent of the annual value of exports, which also include metals and metal products, foodstuffs, diamonds and other precious stones, iron and steel, and chemicals. Major imports are machinery and electrical equipment, transport equipment, chemicals, and foodstuffs. South Africa’s main trading partners include Japan, the United Kingdom, the United States, Germany, Italy, and other EU countries. (South Africa is joined in a customs union with Botswana, Lesotho, Namibia, and Swaziland.)

G

Labour

Major labour organizations in South Africa include the Congress of South African Trade Unions (COSATU), the National Council of Trade Unions, the South African Confederation of Labour, and the Federation of South African Trade Unions. In the late 1970s, blacks were given more opportunities to form unions, and some white unions began to accept non-whites as members. Many of the trade unions, grouped particularly in COSATU, played a significant role in helping bring about a negotiated end to apartheid, developing the strike as an expression of political opposition. Many blacks work on a temporary basis in the factories and mines; some of these workers come from nearby countries. Unemployment affects one third of the working population, and among blacks is about 50 per cent.

H

Transport

The railway system, which links all main centres, is almost entirely owned by the state and is controlled by a government agency, the South African Transport Services (Transnet). Its subsidiary, Spoornet (the renamed South African Railways) operates about 20,247 km (12,581 mi) of track. The country also has some 275,971 km (171,480 mi) of roads, about 21 per cent of which are paved. About 3.8 million passenger cars are in use; in 2002 there was a ratio of 144 motor vehicles per 1,000 people. The major airline is South African Airways, and the country is also served by several smaller carriers as well as foreign airlines. The busiest airport is at Johannesburg; the second biggest is at Cape Town. The country’s main seaports are Cape Town, Mossel Bay, Port Elizabeth, East London, Durban, Saldanha, and Richards Bay.