professor williams pepra
Professor of Finance at Andrews University, Prof. William Kwasi Peprah has warned that South Africa could suffer significant economic consequences if trade and investment relations decline due to tensions with Ghana and other African countries.
According to him, South Africa's status as one of Africa's largest economies means that any deterioration in its relations with major trading partners on the continent could have far-reaching effects on production, exports, revenue generation and employment.
But I am saying Joynews' The Pulse, Pro. Pepra said South Africa's economy relies heavily on sectors such as mining, tourism, banking, financial services and manufacturing, many of which have strong connections across Africa.
He explained that if African countries start reducing their dependence on South African goods, services and companies, it could have a direct impact on businesses operating from South Africa.
“If exports are affected, South African investment outside the country will suffer,” he said, adding that companies with significant operations across Africa could see a decline in profits.
Pro. Pepra said the decline in exports and reduced business activity could lead to job losses and increased unemployment in South Africa.
He said its impact would not be limited to South Africa, as other African countries may also face challenges due to “increasing costs of doing business and disruption to economic cooperation”.
The finance professor stressed that economic integration under the African Continental Free Trade Area depends on strong cooperation between countries and warned that rising tensions could undermine efforts to deepen intra-African trade.
He urged African countries to resolve existing concerns through dialogue and diplomacy, focusing on areas where each country has a competitive advantage.
Pro. Peprah's comments follow growing concerns over recent xenophobic attacks targeting Ghanaians and other African expatriates in South Africa, which have triggered discussions about diplomatic and economic relations between Ghana and South Africa.
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