As a matter of fact: Do townships contribute R100bn to South Africa’s economy?

A claim made by EntBanc chief executive Vuyo Tofile's that "South Africa’s townships contribute up to R100 billion to the overall economy" is in the spotlight this week.

Africa Check's senior researcher Kate Wilkinson explains why the statistic, believed to be from a draft report shared by the Gauteng Department of Economic Development, cannot be proven.

In this draft document it said, according to the World Bank study on South African townships, their combined economy is estimated at R100 billion. We found that World Bank report called Economics of South African Townships, but it did not have the figure.

Kate Wilkinson, senior researcher at Africa Check

What we found was that the study was published in 2014 and it looked at the economic conditions and the types of businesses in Diepsloot. What it estimated was that the equivalent gross domestic product for Diepsloot was R671 million.

Kate Wilkinson, senior researcher at Africa Check

We got in touch with one of the authors of the World Bank report and he said that no extrapolation should be done on the basis of this study, he said that is because we have not tested and we can't assume that Diepsloot is an average South African township.

Kate Wilkinson, senior researcher at Africa Check

Click on the link below to listen to the full conversation...


This article first appeared on 702 : As a matter of fact: Do townships contribute R100bn to South Africa’s economy?


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Msimanga recommends suspension of Tshwane city manager

Msimanga recommends suspension of Tshwane city manager

City manager Moeketsi Mosola has been accused of flouting regulations when awarding the R12 billion contract to GladAfrica.

[LISTEN] AgriBiz forwards its suggestions on land reform

[LISTEN] AgriBiz forwards its suggestions on land reform

The Agricultural Business Chamber has been running a bi-weekly series in the Business Day around issues concerning land reform.

Second day of #StateCaptureInquiry  wraps up with Treasury's acting CPO

Second day of #StateCaptureInquiry wraps up with Treasury's acting CPO

Willie Mathebula has conceded that there could be some gaps in Treasury's regulatory framework.

[LISTEN] The psychology of colour: why blue is a favorite across the world

[LISTEN] The psychology of colour: why blue is a favorite across the world

Azania sat down with chartered marketer and persuasion scientist Ian Rheeder to find out more about colour persuasion.

[LISTEN] ANC Tshwane says it has documented proof of corruption in the metro

[LISTEN] ANC Tshwane says it has documented proof of corruption in the metro

The Tshwane ANC says it has evidence that Mayor Solly Msimanga is central to several irregular appointments in his administration.

Questions raised over qualifications of Tshwane EMS Head

Questions raised over qualifications of Tshwane EMS Head

SAMWU members allege that EMS head Previn Govender misrepresented his credentials.

Popular articles
[LISTEN] Cape Town businesswoman targeted in fake invoice scam

[LISTEN] Cape Town businesswoman targeted in fake invoice scam

Jacqui Kaminer says banking officials were unable to investigate the matter further because police failed to open a case for her.

Stealthing: a form of rape, says Dr Tlaleng

Stealthing: a form of rape, says Dr Tlaleng

'Stealthing' is the act of discreetly removing the condom without the knowledge or consent of the other party during sex.

Two young boys go the extra mile to get a sick dog to a vet with just R7

Two young boys go the extra mile to get a sick dog to a vet with just R7

Peter and Jerry gave up their last R7 to get a sick community dog (Lady) to an Animal Welfare shelter for medical attention.

Derelict buildings in Parow earmarked for social housing

Derelict buildings in Parow earmarked for social housing

The affordable rental units will be made available for families with a monthly household income of up to R15 000.