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OBG introduces the reader to the different aspects of the legal system in South Africa, in partnership with Cliffe Dekker Hofmeyr. OBG talks to Brent Williams, CEO, Cliffe Dekker Hofmeyr, on South Africa’s evolving legal and business environment.

The education sector in South Africa remains a top priority for the state, with basic education receiving the largest share of government expenditure in the most recent budget, as stakeholders move to improve both the quality of learning and student outcomes. Although the sector is still confronted with a lack of available capacity and high levels of youth unemployment for graduates, the government is intensifying its efforts to expand access to basic and post-secondary education. With public expenditure intensifying and significant scope for growth in the private K-12 segment, the education sector should continue to witness improvements in 2016, with rising research and development spending to be accompanied by significant knock-on benefits for the broader economy. This chapter contains an interview with Adam Habib, Vice Chancellor, University of Witwatersrand.

Basic health indicators in South Africa have improved recently thanks to surging government expenditure aimed at combating communicable diseases that have added to existing constraints in the public health system. The advent of universal health coverage under the National Health Insurance scheme in particular has created new opportunities in the sector, as well as offering the potential to reduce the economic impact of communicable diseases. Private sector participation will be critical to achieving long-term health care objectives, and a number of positive indicators – including rising investment in new facilities and strong growth within the pharmaceuticals industry – demonstrate the strong potential for continued sector growth. This chapter contains an interview with Konji Sebati, CEO, Innovative Pharmaceutical Association South Africa.

South Africa’s media sector is perhaps the largest and most sophisticated on the continent, with more than 850 print titles, around 250 radio stations and 16 television providers offering more than 170 channels. The reach of broadcast in particular is impressive, with a steady rise in channels and advertising revenues in recent years. Ownership is well diversified, with hundreds of independent and community options both in terms of radio and print providing targeted local and language-specific coverage. As in media markets worldwide, traditional mediums are being shaken up by the rise of digital access and “platform agnostic” content consumption, with print readership one of the most visibly impacted mediums. However, the sector also faces broader headwinds, from pressure to allow closer government regulation to job cuts and delayed digital terrestrial migration. This chapter contains an interview with Koos Bekker, Chairman, Naspers.

Contributing more than $15bn per year to the national economy, South Africa’s agriculture sector has historically been one of the strongest on the continent. Diversified and increasingly export-oriented, it enjoyed a strong year in 2014, on the back of a healthy maize crop and demand from abroad. However, 2015 looks set to be a more difficult year for parts of the sector, particularly maize and the related livestock segments, though this is largely due to climate conditions across Southern Africa. A steady recovery is expected once the drought passes, with the most competitive segments of the sector well placed for an eventual resurgence in agricultural commodity prices. Citrus fruit and other higher-value, export-oriented cash crops and niche products are expected to continue their strong performance, particularly as the weaker rand makes South African goods more competitive. This chapter contains an interview with TP Nchocho, CEO, Land and Agricultural Development Bank of South Africa.

South Africa’s tourism sector has come to rival the country’s mining industry in terms of overall contribution to GDP, with 2014 witnessing record levels of foreign arrivals, drawn in by the country’s natural beauty, outdoor attractions, food and culture – and increasingly by its business and conference facilities. The sector faced a significant decline in 2015, however, with stringent new visa regulations impacting visitor figures and threatening the loss of thousands of jobs and millions in revenues. In spite of the regulations’ expected impact on the industry, a significant number of positive indicators, particularly in the Cape Town area, could help some operators weather the worst of the near-term shocks. This chapter contains an interview with Clifford Ross, CEO, City Lodge Hotel Group.