A key conclusion of the round-table talks organised by President Cyril Ramaphosa on how to get growth going is that SA’s education system just has to be fixed. Not only is it a central source of inequality, but without adequate skills the growth potential of the economy will remain capped. While the country has an abundant supply of low- and medium-skilled workers, only about 5% of South Africans attain a university degree and the stock of graduates consists of little more than 1-million people. Without addressing this constraint the economy will face a persistent skills shortage and will battle to raise economic growth by way of productivity gains or technological progress. In short, the failure of SA’s education system has become a binding constraint on economic growth. But the problem is much broader than the economy’s need for high-level skills. In SA, inequality persists across generations in large part because the basic schooling received by most poor children is too inadequat...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.

Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now