China’s massive growth has left her in need of new energy and raw materials sources to fuel her fast developing economy. Consequently, China has turned to the African region to meet such critical needs. To this end, China’s emerging economy appears to be associated with an increasing strengthening of its political and economic relations with sub-Saharan African countries, particularly with South Africa. At the same time, South Africa is also enjoying improved relations be it economic, political and social with China. This research has three tasks: first it will examine the impact of the China- South Africa political and economic relations on the socio-economic fabric of South Africa. Secondly, this project will ascertain the opportunities and challenges presented by China’s relations with South Africa. Finally, this study will investigate whether this relationship is mutually beneficial or one-sided. A combination of the realism, Balance of Power, Heckscher-Ohlin theory, and notions from the Liberalist approach to International Political Economy theories will be used in explaining the China – South Africa relationship. The study will mainly take the form of a qualitative study and will mainly entail the examination, analysis and interpretation of documentary secondary data published in a variety of financial journals, non-profit organisations such as the Trade Law Centre for Southern Africa (TRALAC) and the South African Institute of International Affairs (SAIIA), government departments, reports and articles in the media as well as research conducted by other students. / Thesis (M.A.)-University of KwaZulu-Natal, Pietermaritzburg, 2013.

When implemented within a favourable legislative framework, Foreign Direct Investment (FDI) can produce domestic growth-enhancing spillovers in host countries. Other potential positive effects include the provision of investment capital, the creation of local employment and the transfer of sophisticated technology or advanced knowledge. African nations in particular have been historically reliant on externally-provided funds. Prevailing low income levels, marginal savings rates and the absence of functioning financial markets necessary to provide local start-up capital continue to keep Africa reliant on foreign inflows. Considering China’s increasing financial commitments to Sub- Saharan Africa (SSA) over the last decade, this study examines the state of current Sino-African investment relationships. Specific attention is paid to the outcomes of this strategic bilateral alliance in order to determine whether or not a mutually beneficial investment relationship has evolved. The distinct nature and structure of, the motivation behind and the most significant determinants of Chinese FDI to SSA are all analysed in accordance with traditional FDI theories. A case study approach is used to establish whether China’s contemporary interest in SSA differs from historical investments and to also investigate country-specific commonalities and differences. Of particular relevance to SSA are resource-backed Chinese loans that finance major infrastructure projects in host nations. Interestingly, a lot of the Sino-African investment packages resemble similar deals struck between China and Japan in the 1970s. The results of this study indicate that China’s investment motives seem more diverse than initially expected. Resource-seeking, profit-seeking and market access-seeking reasons appear to be the most important motives. After establishing the Top- Ten recipients of Chinese FDI in SSA, these nations are then classified into three major categories: resource-, oil- or agricultural-rich nations. Undiversified resource- or oil-rich economies are found to have secured the largest shares of Chinese FDI. This study suggests that China’s contemporary “African Safari” is an unconventional way of providing financial assistance. Rather than solely supplying FDI, China finances a diverse mix of instruments, the most important being concessional loans, export credits, zero-interest loans and the establishment of Special Economic Zones. A profound difference to traditional Western investment packages is China’s non-interference approach. Accordingly, Beijing not only refrains from intervening in host countries’ domestic affairs but also refuses to attach formal conditionalties to its loans. China’s “financial safari” into Africa has produced many positive as well as negative effects in host countries. Nevertheless, it would seem that the positive effects outweigh the negative and China’s FDI could contribute to sustainable development in SSA

This treatise is undertaken with the purpose of investigating, through the application of the critical futures technique, causal layered analysis (CLA), the case for South Africa’s inclusion in the BRICS alliance. CLA is explored as a technique that allows for the creation of transformative knowledge which contextualises our reality, enabling techniques for exploring different alternatives that lead to outcomes. In an attempt to understand the unique features that underscore these emerging economies and why they are considered the engines behind global economic growth, the member states’ economies are systematically deconstructed. By analysing key economic variables, strengths and weaknesses, CLA allows for the development of conclusive narratives regarding the legitimacy of all BRICS economies. This study discusses the motivation for the formation of this alliance and its role in the global economy. It demonstrates and sorts out the different views concerning its dreams and aspirations. The all-inclusive nature of CLA allows for the consideration of a wide range of perspectives that seek to clarify motives behind the convergence of the BRICS economies to form an alliance. South Africa’s membership is assessed, using both the economic and political schools of thought. On a balance of a number of dominant views, considered valid, that either support or reject the inclusion of South Africa, this study demonstrates that whether or not it belongs amongst the major emerging countries is an absurd question. It thus proposes that a pertinent question to ask is one that explores ways in which South Africa can effectively capitalise on its BRICS membership to drive its own economic growth.

A Research Report submitted in partial fulfillment of the Degree of Master of Commerce in Economics in the School of Economic and Business Sciences, University of the Witwatersrand 2018 / The aim of this paper is to examine the relationship between foreign direct investment (FDI) and food security at the local municipal level in South Africa. This analysis is based on a cross sectional framework for 2016 and a panel framework over the period 2000 – 2016. Furthermore, the study utilized geospatial analysis. There is currently little to no literature deciphering the relationship between foreign direct investment and food security, in terms of the South African context. The contribution of this paper is to bridge the gap. The results show the importance of an equitable distribution of foreign direct investment, across various local municipalities in South Africa, as a means to alleviating hunger and food insecurity. More specifically, the paper has managed to highlight the fact that municipalities that receive a sufficient amount of foreign direct investment experience lower levels of hunger in comparison to the local municipalities that receive little to no foreign direct investment. / MT 2019

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Research report submitted towards the award of Master of Arts Department of International Relations University of the Witwatersrand, Johannesburg, 2017 / This dissertation investigates FOCAC and TICAD contributions towards development on the African continent. The research explains the architecture of the latter conference diplomacy institutions. Japan and China are argued to be competing through evidence from the different fields that give foreign assistance to. Jospeh Nye’s soft power as theoretical framework will guide the research’s understanding of Chinese and Japanese engagements in African development. The research found that FOCAC outweighed TICAD in financial contributions however TICAD through JICA had more grassroots level contributions. China was seen to be focused on bilateral relations aimed at supporting state-led companies in big infrastructure development. Japan is argued to be more engaging with external actors while supporting African development and in addition, showed more support for the African Union’s policies. China has ‘win-win’ and Japan has ‘partnership’ both in line with African Pan -African ideals. Africans are lacking policy and guidelines in dealing with foreign partners and argued to organise themselves and respond to Japanese and Chinese interests collectively. Agenda 2063 that mentions external partners as a source of funding for development is not enough to use a policy. African development policies are seen to have failed previously due to unfulfilled promises from external partners. The research argues that African people should take FOCAC and TICAD as learning spaces and take a leadership role in their own development. / XL2018

M. Comm. / The aim of this study was to analyse the trade between South Africa and Thailand. The relation between factor endowments and comparative advantage of the Heckscher-Ohlin (H-O) theory as well as the alternative theory of the modern international trade theory were used in the analysis. The trade opportunities and the future trade prospectives of both countries were being presented according to the theory on international trade. The relation between factor endowments and comparative advantage of Thailand and South Africa were presented in the case of labour cost, labour productivity, skilled labour, economic indicators, natural resources as well as technology, research and development. The methodology of the study was based on statistics obtained from different sources in South Africa and in Thailand. These included information from The Royal Thai Embassy in Pretoria. The data were obtained from institution like the Bank of Thailand, the South African National Productivity Institute and the Central Statistic Service of South Africa. The comparative advantage of factor endowments according to the H-O theory and the alternative theory were used in the comparison of both Thailand and South Africa. The result of this comparison clearly points to the fact that Thailand has a comparative advantage in labour intensive manufactures and agricultural land intensive products, while South Africa has a comparative advantage in minerals and higher technology. It is true to state that according to the findings of this study, Thailand has the potential to export labour intensive manufactures and agricultural land intensive products such as garments, fabrics, footwear & parts, computer & parts, rice and natural rubber. South Africa has the potential to export minerals and high technology products (raw material products, mineral products, steel & iron, pipe & parts, chemical products) to Thailand. The study succeeds in confirming the relation between comparative advantage and factor endowments of the H-O theory and the alternative theory. It is also clear that future trade prospects of the two countries are based on comparative advantage and factor endowment. Furthermore, the trade opportunities identified will be beneficial to South African and Thai businessmen.

M.Com. (Economic Management) / South Africa, as a developing country, has an enormous need for capital. Between 1980 to 1983, an amount of RBO billion was spent on fixed capital investment alone in this country. A large component of this investment originates from external sources and was financed by way of off-shore loans and other credit facilities. The developed countries, in order to promote their exports, have long realised that in addition to offering a competitive price and high quality product, competition also required that credit be made available to the importer. Presently the competition between the leading export countries result in the development of subsidised export credit schemes to promote the sale of industrial machinery and equipment. In cases where the fixed export finance rate is lower than market rates, Governments make up the difference between the export finance rate and commercial lending rates. Normally a fixed interest rate for the credit period is available in the exporter's currency. An important consideration when borrowing overseas, is the foreign currency exposure. With continuous fluctuations in the value of currencies the borrower is faced with a foreign exchange risk. This risk can be partially eliminated by hedging on the forward exchange market. In this study an analysis was made of the most important export credit schemes as well as the possible influence of forward exchange considerations. An importer has the option to also make use imported capital goods. Specific reference installment sale financing and financial leasing of local finance to pay for is made in this study to as methods of local financing. The purpose of this study was twofold: Firstly, an analysis of historic interest rate patterns pertaining to medium-term leasing and installment sale financing in South Africa and secondly a determination of the cost of export credit finance for the .same period was made. In this . way the study endeavored to determine whether, from the point of view of the cost of capital, it had been worthwhile to U8e export credit financing.

M.Com. (Economics) / Please refer to full text to view abstract

M.Comm. / This study will quantify the economic impact of the FTA negotiated between SA and the EU. Two simulations are undertaken. The first simulation focus on the bi-lateral elimination of import tariffs between SA and the EU on non-agricultural products (industrial products). The second simulation considers the bi-lateral elimination of import tariffs on non-agricultural and agricultural products between SA and the EU. The quantitative analysis can only handle a limited number of arguments of the FTA. Notably, financial assistance, development, and social and cultural co-operation are examples of issues that will not be dealt with in a quantitative manner in this study. The goal of this study is to undertake an empirical analysis of the free trade agreement (FTA) between South Africa (SA) and the European Union (EU) using an applied equilibrium model.