South Africa’s economy is one of the most powerful and influential on the African continent. South African banks, retailers, telecommunications companies, mining corporations and financial institutions operate across Africa and generate billions from consumers and markets throughout the continent.
At the same time, many industries within South Africa are led by executives and professionals from diverse backgrounds, including people of European descent and African migrants who contribute to the country’s economic growth.
Yet during repeated xenophobic attacks against African migrants and foreign nationals, many major business leaders and corporate executives remain largely silent. Why are captains of industry not speaking loudly and clearly against violence that threatens workers, customers, investors and regional economic stability?
Xenophobic violence does not only affect migrants living in townships and informal settlements. It affects South Africa’s entire economy. African migrants are part of the workforce in transport, healthcare, engineering, construction, retail, education and hospitality. Many own businesses, pay taxes and contribute to local economies. When violence breaks out, businesses lose customers, productivity declines and investor confidence is damaged.
South African companies have expanded aggressively into African markets over the past two decades.
Banks, supermarkets, mobile networks and financial services from South Africa dominate sectors across countries such as Zimbabwe, Zambia, Botswana, Namibia, Kenya, Ghana and Nigeria. These businesses depend on goodwill from African consumers and governments. Remaining silent while fellow Africans are attacked creating resentment across the continent.
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Corporate leaders often speak out strongly on issues such as corruption, electricity shortages, economic reforms and investor confidence. However, many appear hesitant to publicly confront xenophobia with the same urgency. Some may fear political backlash or controversy, while others may believe the issue is purely political or social. But silence from powerful institutions is easily be interpreted as indifference.
South African businesses have benefited enormously from African markets. With that benefit comes responsibility. Executives, industry leaders and business organisations should publicly condemn xenophobic violence and support campaigns promoting peace, inclusion and African unity. Their voices carry influence with both government and communities.
If business leaders continue to remain silent while African migrants are attacked, there is a possibility that consumers and activists across the continent will begin calling for economic boycotts of South African products, retailers and financial institutions. Such actions will harm trade, regional partnerships and South Africa’s reputation as a continental leader. This is not only a government issue. It is also a business issue, a moral issue and an African issue. Corporate South Africa cannot continue benefiting from Africa while remaining quiet when Africans are under attack within its borders.
Now is the time for South African business leaders to take a clear stand against xenophobia before the economic and social collapse become even greater.
Mutisi is a local commentator. — +263772278161.