South Africa is a trusted partner in delivering key global business services such as financial risk, regulatory support and digital services to United Kingdom investors, says Deputy Minister of Trade, Industry and Competition Andrew Whitfield. The Deputy Minister delivered the keynote address during the South Africa-UK roundtable on Global Business Services (GBS) in London. The session was hosted by Business Process Enabling South Africa in London. 'With a highly skilled, English-speaking workforce, South Africa has positioned itself as a go-to hub for outsourcing services ranging from legal support to digital transformation. 'South Africa's competitive advantage in offering cutting-edge solutions at a fraction of the cost, saving companies up to 50% compared to other outsourcing destinations puts our country in good stead,' Whitfield explained. According to the Department of Trade, Industry and Competition, the roundtable formed part of a high-level mission to the United Kingdom (UK) which is being led by Deputy President Paul Mashatile. The visit is focused on promoting South Africa as a premier investment destination. READ | UK investors encouraged to establish their business operations in SA Whitfield highlighted that the South African global business services (GBS) sector has evolved from traditional call centre services into providing high-value, complex services that meet the needs of global investors. He added that the UK remained South Africa's largest source market for GBS, accounting for over 56 000 jobs and generating £650 million in revenue through partnerships with leading UK firms such as British Gas, Scottish Power, and Virgin Atlantic. Whitfield emphasised that since the introduction of the GBS incentive, more than 50 global companies have established operations in South Africa, generating R40 billion in export revenue. The primary objective of the incentive which became effective from 1 January 2019, is to create employment in South Africa through servicing offshore activities. The sec ondary objectives of the programme are to: - Create employment opportunities for the youth (age 18-34 years); and - Contribute to the country's export revenue from offshoring services. Growth He added that the workforce has grown significantly, from 26 700 jobs in 2015 to over 104 000 today. In addition, the GBS Masterplan is playing an important role in this growth shifting the focus from low-cost call centres to more sophisticated, high-value services, such as data analytics, financial services, and digital risk management. 'Our GBS sector offers far more than cost savings; it delivers quality outcomes with proven resilience. South Africa has shown an exceptional ability to adapt, including the successful implementation of flexible work-from-home models. 'Additionally, we have not experienced any electricity outages for over 190 days, which is a critical factor for global businesses seeking reliable operations,' said the Deputy Minister. Looking ahead, Whitfield said the GBS Masterplan envisions cre ating up to 500 000 cumulative jobs by 2030, through continued expansion and new investments. The Global Business Services Masterplan was signed by the department and stakeholders on 18 November 2021. The Masterplan process brings together government, industry, social partners and labour to set a common vision and action agenda for developing and growing the sector. 'We will work tirelessly with all stakeholders to realise this high-growth scenario, particularly as global businesses increasingly look to South Africa as a destination for innovative digital services and niche sector solutions.' Furthermore, he urged UK businesses to explore the lucrative opportunities in South Africa's GBS sector. 'Our value proposition is clear, quality services, major cost savings, and a stable environment. We invite British investors to take advantage of the opportunities our dynamic sector offers and contribute to its continued growth. 'Ultimately, this is a key sector to realising the Government of National Unity's a pex priority to rapid economic growth and job creation,' he said. The Deputy Minister was pleased with the positive engagements and sentiment from GBS companies present, who have a healthy pipeline to expand their operations in South Africa in the next 12 months. Source: South African Government News Agency
SA a trusted partner in delivering global business services
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