LETTER: Deregulation is SA’s solution

Sidi Ould Tah rightly highlights the tragedy of Africa and SA’s wasted potential (“Africa must stop buying what it already has”, May 6). SA could profit considerably from increased trade with our neighbours and working together with other African nations.

However, to accomplish this SA and other African economies need to embrace wholesale liberalisation. The bottlenecks to trade, notably undeveloped infrastructure and corruption, could be addressed by weakening the government’s role in the economy.

Without regulatory power to block trade, corruption will find it harder to seep into local transactions. Without the hurdle of red tape, investors will find it far more prudent to invest in local infrastructure. Additionally, private sector initiatives could spearhead our infrastructure growth.

Why rely on a single, badly run, state-owned port, when the private sector could construct dozens, uplifting entire coastal communities and turning them into new economic hubs?

Africa could prosper. We only need to deregulate and adopt a free market mindset that encourages the government to step out of the way of business and let it work.

Nicholas Woode-Smith
Cape Town

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