South Africa

An overhaul of South Africa’s financial regulations, already considered some of the most robust worldwide, is likely to result in a shake up for the insurance sector. While the new system will strengthen oversight and boost transparency, it is also expected to push up the cost of compliance, which in turn could lead to industry consolidation.

Change is afoot in the South African media industry, with two major acquisitions under way, and players increasingly looking to digital platforms. The country has one of the largest and freest media markets on the continent, but as in numerous other economies, print outlets have had to deal with slowing circulation and a rapidly changing online landscape.

Bankers have been quick to downplay weak results from one of South Africa’s largest providers of unsecured loans, saying the decline in profits at African Bank Investments Limited (ABIL) does not portend more wide-spread problems in the sector.

The looming roll-out of a massive new public health care programme in South Africa, along with several enabling reforms, looks set to provide a healthier future for the country’s citizens. However, financing the scheme to the fullest may be a challenge over the long term.

The local tourism industry is expanding far faster than the rest of the economy, with visitor numbers on the rise and investment levels increasing, though it still has to combat negative perceptions of cost and security that dampen South Africa’s popularity as a holiday destination.

Competition on call-pricing packages continues to be a major feature of the South African mobile market, although data services are taking on an increasingly significant role this year, one that is expected to grow in the short to medium term.