Leadership roles

Deloitte Launches Kiyadat to Advance GCC National Talent Into Leadership Roles

Leadership roles

In Arabic, “Kiyadat” translates to “Leaders”, symbolizing the commitment to fostering national talent and paving their way towards leadership roles

Deloitte Middle East announced the launch of Kiyadat, a center of excellence designed to empower national talent across the Gulf Cooperation Council (GCC) region. In Arabic, “Kiyadat” translates to “Leaders”, symbolizing the commitment to fostering national talent and paving their way towards leadership roles.

Mutasem Dajani, CEO of Deloitte Middle East, commented on the launch, “The Deloitte Kiyadat Center of Excellence is an exciting element of our business and talent strategy, contributing to the advancement of the region. Our commitment is to support the development of national youth and professional leaders across the GCC, offering sustainable career paths within and beyond Deloitte. Our aim is to foster, empower, and advocate for the growth of national talent, shaping meaningful and impactful careers.”

Kiyadat will serve as a platform for current and future Deloitte programs aimed at nurturing and empowering talent. These initiatives span a multitude of purposes, including people development, mentoring and sponsorship to empower talent to build careers made for the future.

A Deloitte Kiyadat Advisory Council whose members are senior multi-disciplinary partners from across the region will govern the center providing their expertise and deep experience. The council members include Rana Ghandour Salhab, the regional Deloitte ME People & Purpose managing partner,  Jazala  Hamad, Audit & Assurance Partner and UAE nationalization leader; Nasser AlSagga, KSA Head of Tax Controversy, and Riyadh Office Managing Partner; Ali AlWazzan, Kuwait Office Managing Partner; Ahmed AlQassabi, Oman Office Managing Partner; and Nasma Abbas, Deloitte ME Director of the Empowerment & Performance CoE and Nationalization Lead.

The Advisory Council members in their inaugural meeting reiterated that Kiyadat reflects Deloitte’s dedication to growing and advancing men and women in the GCC to assume professional leadership positions in line with their countries vision of the future. Through leveraging strategic initiatives and forging impactful partnerships, the council aims to provide a differentiated strategy to empower national talent and foster an ecosystem conducive to their long-term success.

The Kiyadat initiatives will include establishing the Deloitte National Youth Councils in each GCC country. In addition to professional development programs like Mustaqbaly, designed for young audit and tax professionals, Itqan, for those pursuing careers in financial advisory, and the BrightStart and BrightStar pioneering programs which offer education-to-employment pathways for aspiring and highly skilled national university students in consulting, digital disciplines, cyber and risk advisory. Participants are hired at Deloitte while still pursuing their university studies and are given the chance to gain a long-term competitive advantage from an early stage.

Kiyadat will also include innovative programs such as “Kiyadat Tadarab” internships, “Ahlan Kiyadat” onboarding, “Najahi” specialized mentoring, “Kiyadat Alliances” as part of the external engagement strategy to strengthen ties with universities and government entities, as well as “Kiyadat @ Deloitte,” a dedicated portal for nationalization initiatives.

Exploring the Allure of Dubai as a Premier Tax Market for Business Setup

Dubai stands out as a choice in the business arena. It’s known for its allure. The city’s location, good infrastructure, and modern economic policies attract entrepreneurs and investors. In this piece, we will explore the benefits that Dubai offers for setting up businesses. These range from its zero-income tax policy to its status as a listed jurisdiction, particularly for UAE business setup.

Tax Benefits Galore

Dubai’s appeal as a business hub is due to its tax system. Dubai has a zero percent income tax rate. This provides a big advantage for businesses. It lets them maximize their profits, unlike in other places. This exemption eases the burden on companies. 

It also attracts foreign investments. Entrepreneurs can focus on expanding their businesses with confidence. They know they can keep more of their earnings.

Profit Repatriation

An important aspect of setting up businesses in Dubai is the freedom to take capital out. There are no restrictions or heavy taxes. Companies in the city can move their profits and capital outside Dubai. 

This flexibility empowers entrepreneurs. It helps them manage their finances well. It ensures operations and enables investment decisions. Dubai’s easy repatriation of capital makes it more appealing as a hub. It fosters cross-border trade and investment.

Recognized as a Trusted Jurisdiction

Dubai’s listed status contributes to its attractiveness for businesses. Bodies endorse this status. It reflects Dubai’s commitment to transparency, compliance, and global standards. This recognition boosts investor confidence. It shows that Dubai has a reliable and honest system for reducing market risks. 

Being on the list also helps businesses in Dubai. It helps them access markets and finance. This opens up many opportunities.

Advantages for Foreign Investors

These factors, combined, give Dubai an advantage in attracting investors. Entrepreneurs in Dubai’s business environment encounter opportunities and incentives to thrive. They may be starting a new venture or expanding an existing one. Dubai has a great location, top-notch infrastructure, and an atmosphere. 

It stands out as a destination for companies. They want access to regional and global markets. From startups to companies. Dubai nurtures an economic landscape that is both vibrant and dynamic.

Dubai’s tax system plays a role in the business world. The city has a zero income tax rate. It is an advantage for companies that want to maximize their profits. This lack of income tax does not appeal to business owners. It also boosts foreign investment. 

It spurs economic growth and innovation in the area. Furthermore, Dubai is committed to helping businesses repatriate capital. This helps them manage their finances well and explore global expansion. Dubai is a hub for companies. They want to establish a presence in the Middle East and other regions. Dubai also has jurisdiction status.

Final Words

In short, Dubai’s reputation as a top tax market is due to its forward-thinking leaders. They have strategic foresight and a firm commitment to economic success. Dubai has tax benefits, capital repatriation options, and recognized jurisdiction status. 

It has positioned itself as a destination for entrepreneurs and investors. They seek success on an international scale. Businesses continue to come to this city to find growth and prosperity. They are making Dubai an even better place to start successful businesses.

UN United Nations

United Nations Leaders Call for More Action to End Racism and Discrimination

UN United Nations

UN Secretary-General António Guterres celebrated the achievements and contributions of people of African descent from across the world, while addressing the forum via video message, but also acknowledged existing racial discrimination and inequalities Black people continue to face. 

He said the establishment of the Permanent Forum shows a dedication from the international community to address these injustices. Still, it needs to be backed by significant change for people of African descent globally.

“Now we must build on that momentum to drive meaningful change – by ensuring that people of African descent enjoy the full and equal realization of their human rights; by stepping up efforts to eliminate racism and discrimination – including through reparations; and by taking steps towards the full inclusion of people of African descent in society as equal citizens,” said Mr. Guterres.

‘Formidable convening power’

Deputy High Commissioner for Human Rights Nada Al-Nashif praised the forum for its “formidable convening power” by meeting for a third high profile session less than two years after becoming operational.

She commended the forum’s planned 70 side events focusing on climate justice, education, health, and more for people of African descent, saying it shows a “remarkable effort, amplifying the reach and impact of our collective commitment.”

Ms. Al-Nashif urged Member States to participate in discussions and act on recommendations derived from them. 

“Only then can we ensure that all civil, political, economic, social, and cultural rights of people of African descent can be fully realized without discrimination or bias,” she said.

Decade should extend

Ms. Al-Nashif said the UN High Commissioner for Human Rights, Volker Türk, supports the extension of the International Decade for people of African Descent – a time proclaimed by the General Assembly in 2015 to focus on recognition, justice and development. 

During the Permanent Forum, a conversation will be centred around achievement limitations and expectations of the requested second international decade. 

“We look forward to the outcome of the discussions of this session; and we will be following the intergovernmental discussions in relation to the International Decade throughout this year,” said Ms. Al-Nashif.

All reports from the Permanent Forum will be presented to the 57th session of the UN Human Rights Council in September, as well as the new session of the UN General Assembly, which begins that month.

A fight for change

The Deputy High Commissioner said her office is continuing to look for ways to ensure “the meaningful, inclusive, and safe participation of people of African descent in public life is essential in the fight against systemic racism.”

The Holistic Fuel: Nadezhda Grishaeva’s Nutritional Journey

Nadezhda Grishaeva, a name synonymous with exceptional prowess on the basketball court, credits much of her success to a meticulously crafted nutrition strategy. This journey from dominating the hardwood floors for top-tier clubs like Besiktas, Dynamo, and Arras, to proudly representing her nation at the 2012 London Olympics, offers invaluable insights into the profound impact of nutrition on athletic performance, mental sharpness, and overall well-being. Today, she uses this unique knowledge at her Anvil gym to improve customers’ fitness journeys.

 

The Powerhouse of Nutrition: Fueling the Body for Elite Performance

Understanding the essence of nutrition as the cornerstone of athletic excellence is critical. For athletes like Nadejda Grishaeva, every meal is a calculated step towards achieving peak physical condition. The science behind this approach is simple yet profound: the body requires a diverse range of nutrients to perform, recover, and grow stronger:

  • Proteins: Vital for muscle repair and growth.
  • Carbohydrates: The major source of energy and power for intense activities.
  • Fats: Essential for long-term energy storage and hormone production.
  • Vitamins and Minerals: Crucial for various metabolic processes and immune system function.
  • Water: Critical for hydration, which influences every physiological process.

 

The Mental Game: Nutrition’s Role in Cognitive and Emotional Well-Being

Grishaeva’s regimen underscores the often-overlooked aspect of nutrition: its impact on mental health. The brain, like any other organ, requires specific nutrients to function optimally. Omega-3 fatty acids, antioxidants, and certain vitamins and minerals directly influence mood, cognitive functions, and stress management. A well-nourished brain supports decision-making, focus, and emotional balance – all essential qualities for athletes from UAE and other regions facing the pressures of professional sports.

 

Customized Nutrition: Grishaeva’s Recipe for Success

For Nadezhda Grishaeva, personalization of diet was not just about physical health; it was about honing mental edge and resilience. Collaborating with nutrition experts, Nadezhda tailored her diet to meet specific needs, focusing on:

  • Optimal Recovery: Integrating protein-rich foods and antioxidants to facilitate muscle repair and reduce inflammation.
  • Energy Management: Balancing carbohydrates and fats to ensure sustained energy levels during games and training.
  • Mental Sharpness: Incorporating foods high in Omega-3s, B-vitamins, and iron to enhance cognitive functions and emotional health.

This holistic approach to nutrition played a pivotal role in Grishaeva’s ability to perform consistently at the highest levels, showcasing the undeniable link between diet and peak performance.

 

The Evolution of Nutrition in Sports Training: A Look Ahead

As the understanding of the intricate relationship between diet, physical health, and mental well-being deepens, the emphasis on personalized nutrition plans is set to become the norm rather than the exception. The next generation of athletes in the UAE will likely have access to even more sophisticated dietary strategies, leveraging advances in nutrition science and technology to push the boundaries of human performance. The narrative of Grishaeva’s career offers a glimpse into the future role of nutrition in training.

Key Takeaways for Aspiring Athletes

  • Understand Your Nutritional Needs: Work with professionals to identify what your body requires based on your sport, training intensity, and personal health goals.
  • Prioritize Whole Foods: Emphasize nutrient-dense, minimally processed foods to maximize the benefits of your diet.
  • Stay Hydrated: Never underestimate the importance of water for overall health and performance.
  • Monitor and Adjust: Regularly assess the effectiveness of your diet and be open to making necessary adjustments.

 

Grishaeva Nadezhda’s journey through the demanding world of professional basketball, marked by significant achievements and relentless dedication, illuminates the critical role of nutrition in reaching and maintaining the pinnacle of athletic performance. Her story is a testament to the power of combining talent, hard work, and a scientifically grounded approach to diet. It serves as an inspiring blueprint for athletes in UAE and worldwide, highlighting the indispensable role of nutrition in achieving holistic fitness and unparalleled success in the realm of professional sports.

Businessman using laptop connecting to AI tech financial concept

AI Central to Nigeria’s Insurance Future – Stakeholders

Businessman using laptop connecting to AI tech financial concept

Consumers apathy due to bad experience they have had in the past is affecting policy renewals

The regulatory body for insurance in Nigeria has acknowledged Artificial Intelligence (AI) as being key to the future of insurance business in the country.

The Commissioner for Insurance/CEO, National Insurance Commission (NAICOM), Mr Sunday Olorundare Thomas, stated this in a keynote address at the eighth national conference of BusinessToday, held in Lagos, with the theme, ‘The World of AI: How Insurance and Pension Sectors Can Explore Opportunities for Market Penetration.’

Thomas urged insurance operators to increase adoption of AI as it offers better productivity and enhance profitability, while ensuring quick service delivery and claims payment to insurance consumers.

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Represented at the conference by the Deputy Director, Lagos Office of NAICOM, Ajibola Olabisi Bankole, Thomas pointed out that technology adoption is part of the 10-year roadmap of the insurance industry.

Thomas added that NAICOM, as a regulator, will continue to evolve policies that will engender the growth of the industry, increase penetration and contribution to nation’s Gross Domestic Product (GDP).

President, Chartered Insurance Institute of Nigeria (CIIN), Mr Edwin Igbiti, in his goodwill message, said growing insurance industry will require the nation’s economy to be de-risked, while seeking partnership with government and other stakeholders to deepen insurance penetration.

Igbiti informed that AI will enhance the growth of insurance premium, service delivery and enable the insurance sector to contribute more to the country’s GDP.

The chairman of NEM Insurance Plc, Mr Tope Smart, who chaired the conference, expressed concern over the level of insurance penetration in Nigeria when benchmarked with the global standards and blamed it on many factors.

According to him, although the industry is working assiduously to partner agencies responsible for enforcement so as to increase insurance adoption, the lack of, or low enforcement is affecting the adoption of compulsory insurances.

Smart said: “It is quite saddening that out of a population of 200 million, only about three million people are actually insured. Lack of enforcement is a challenge but the industry is working round the clock to increase enforcement through the regulatory and enforcement bodies.

“Consumers apathy due to bad experience they have had in the past is affecting policy renewals but I can assure Nigerians that there are various complaint avenues for people to lodge complaints. If your legitimate claims are not settled, you can approach Nigerian Insurers Association (NIA) and NAICOM and if your complaints are genuine, they will be definitely resolved,”

The Managing Editor of BusinessToday Communication Limited, Mrs Nkechi Naeche-Esezobor, while welcoming the guests, said that the theme of the conference provided ample opportunity to deliberate and fashion out strategies that both the insurance and pension sectors can deploy to enhance consumer value, service delivery and further deepen market penetration.

She noted that the Nigeria’s insurance industry reached N1 trillion premium income target last year, which is a milestone that could rise faster with the right technology, including AI.

Naeche-Esezobor said, “AI is transforming insurance industry, especially in underwriting, customer support, advertising, claims and fraud prevention.” According to her, in pension industry, just by simply automating various aspects of pension management from data analysis to investment decision-making, AI minimises the need for extensive human intervention, adding that savings can be passed to pension holders to enhance their overall returns.

Logistics and transportation of International Container Cargo ship and cargo plane in the ocean at twilight sky

Red Sea Crisis Underlines the Need for Greater Data Transparency

Logistics and transportation of International Container Cargo ship and cargo plane in the ocean at twilight sky

The speed with which shipping companies have responded to the crisis in the Red Sea underlines the growth of digitisation and utilisation of diverse data resources to support complex decision making. But data issues, from ownership to a lack of open integration, remain a challenge explains Captain Steve Bomgardner, Vice President – Shipping & Offshore, Pole Star Global.

Rerouting Confirmed

It is fast becoming clear that shipping companies have evolved beyond their immediate, journey specific response to the escalation of hostilities in the Red Sea to a strategic approach that has been embedded in 2024 plans. Data from Pole Star confirms a significant reduction in the number of vessels using the Red Sea. Despite the additional cost and delay associated with rerouting via the Cape of Good Hope, the number of cargo ships and tankers traveling through the Red Sea dropped almost a quarter in the last few months, from 830 in October 2023 to 626 in February 2024.

Rerouting decisions are, of course, influenced by a number of factors, including cargo, cost and risk perception; but with the cost of war insurance rising, especially for US, UK and Israeli shipping firms, the shift towards the Cape of Good Hope is increasing. For many firms, the experience in March 2021 when the Ever Given container ship blocked the Suez Canal, causing an unprecedented shipping backlog, has provided vital insight to support these rerouting decisions. The additional time required for the Cape of Good Hope route, as well as issues of fuel consumption and emissions, were already understood. Firms have been able to quickly calculate the implications for crew, including the potential need to extend contracts by several weeks and delay the onboarding of new crew members.

This information is now firmly embedded in shipping companies’ emergency response plans, enabling rapid, vessel-by-vessel decision making based on crew costs, fuel and state of repair, balanced against the potential time sensitive nature of the cargo commodity and possible penalties for missed delivery deadlines. What is different this time around is the risk assessment and insurance premium. To the existing baseline calculations, companies are quickly adding the cost of war insurance as well as a vessel-by-vessel perception of risk associated with the targeted nature of attacks.

Data Transparency

This current disruption to global shipping is just one more example of a global supply chain facing constant and ever evolving challenges. The maritime industry increasingly recognises the vital importance of fast access to an array of data sources to support complex risk assessment and rerouting decisions. The rapid digitisation occurring throughout the industry is supporting fast decision making, however emergency response, as well as day to day activity, remains challenged by the lack of open data.

Shipping companies need instant visibility of an array of data from multiple sources, and without open Application Programming Interfaces (API), integrating these diverse data resources is incredibly challenging. The slow, painstaking integration process is adding significant time and cost to digitisation projects, and delaying access to the consolidated information resources and analytics that have the power to transform the speed and power of decision making.

Furthermore, as companies increasingly look to add sensors across their vessels to provide vital information to improve efficiency and safety and support preventative maintenance, uncertainties over data ownership are arising. The shipping company may own the sensor – but the ownership of the valuable data recorded by that sensor, the temperature, fuel consumption or engine emission reading – often turns out to have been retained by the OEM.

Conclusion

Fast access to high quality data is transforming the maritime industry both day to day activity and emergency response. Solutions such as hardware free voyage optimisation systems that deliver fleet monitoring, regulatory compliance, performance analytics and voyage optimisation in a single view are providing a seamless access to vital information both onboard and on shore.

However, these data issues clearly need to be urgently addressed if the maritime industry’s adoption of digitisation is to continue at pace to provide shipping owners with the trusted, real-time insight required to respond to the next emerging crisis.

Airplane landing at Riyadh mirrored in terminal

Saudi Arabia Rolls Out E-Gates at Riyadh Airport

Airplane landing at Riyadh mirrored in terminal

This pioneering initiative marks the Riyadh airport as the first airport in Saudi Arabia to offer the service of introducing biometric e-passport scanners aimed to streamline passenger travel procedures and provide a seamless experience for international travelers

The Saudi General Directorate of Passports (Jawazat) launched on Tuesday the inaugural phase of E-Passport gates at Terminals 3 and 4 of King Khalid International Airport in Riyadh.

This pioneering initiative marks the Riyadh airport as the first airport in Saudi Arabia to offer the service of introducing biometric e-passport scanners aimed to streamline passenger travel procedures and provide a seamless experience for international travelers.

The inaugural ceremony was attended by Saudi Data & AI Authority (SDAIA) President Abdullah Alghamdi, General Authority of Civil Aviation (GACA) President Abdulaziz Al-Duailej, Director General of Jawazat Lt. Gen. Sulaiman Al-Yahya, and National Information Center (NIC) Director Esam Alwagait.

Lt. Gen. Al-Yahya highlighted that the introduction of e-gates at King Khalid International Airport aims to facilitate travelers in completing their travel procedures independently, without the need for human intervention. He emphasized that these gates will save time and effort for travelers whose biometric characteristics (fingerprints) are stored in the passport systems.

The Jawazat chief stated that the e-gate rollout is part of the ongoing efforts to enhance travel procedures for citizens, expatriates, and visitors, as well as to improve its services through the introduction of efficient, smart, and digital solutions.

For his part, GACA Chief Al-Duailej said that the launch of self-service for passports confirms the importance of the vital role played by the civil aviation system and partners from government agencies in harnessing digitization and self-services to improve the experience of travelers, in accordance with the best international standards. “This service is the best testimony to the level of the sector’s pioneering aspirations as it seeks to achieve the goals of the National Aviation Strategy and Saudi Vision 2030 so as to become a pioneer in the aviation sector in the Middle East.”

Eng. Ayman Abu Abah, CEO of Riyadh Airports Co., said that this service is a significant addition to the digital transformation of the airport. “The self-service passport machines will contribute to accelerating the mechanism of passenger movement inside the terminal, by giving it a greater degree of ease of procedures, which will be reflected in its direct impact on developing the passengers’ experience,” he added.

AI with young man in the night

How AI Tools Are Transforming Coaching in SA

AI with young man in the night

Maintaining the human-centric approach of coaching is critical in the AI-driven era

Coaching is a caring profession characterised by a trusted relationship, authentic connection, and a collaborative partnership between the coach and client. At the core of coaching lie deep, one-to-one, empathetic conversations. The ‘human touch’ is not just important, it’s critical to the whole coaching endeavour. However, this is not to say that the coaching industry will in any way be immune to transformation by AI tools.

Lee-Ann Drummond, head of management and leadership faculty at SACAP (the South African College of Applied Psychology), a leading provider of coach education says, “Like everyone else, coaches are interested in improving efficiencies as well as enhancing their performance and capacities to reach and serve clients. AI models for coaches are already emerging to take on mundane administrative tasks, freeing coaches up to spend more time on client engagements. AI tools can help in analysing coaching data and delivering insights, personalising learning interventions to suit clients’ individual learning styles, and by providing platforms and virtual assistants that help coaches scale their practices.”

These technologies hold the promise of democratising the coaching industry, expanding access across business and society. In future, many more people are likely to be able to access expert coaching services that support them in leading more fulfilling lives and making significant contributions to their communities, and country. However, how will the latest technologies, driven by machine learning, integrate with the decidedly human-centric field of coaching?

Professor Nicky Terblanche, academic, executive coach and founder of coachvici.com is an early adopter of AI tools for coaches and coaching education. He says, “What is interesting is that in a recent research study I did, we found that clients are keen to use AI coaching, while coaches in the study were more sceptical and felt that the AI coach would interfere with the bond they have with their clients. I also think in general coaches are not necessarily interested in technology since they are drawn to coaching because of the human touch. Coaches, however, need to upskill themselves and become aware of the potential of AI. If not, they could be caught napping when AI tools surpass certain basic human coaching approaches.”

What types of AI tools are coaches using?

There’s already a wide range of AI tools for coaches on offer, and often, coaches who are early adopters and interested in the potential of the technologies are involved in developing new and emerging AI tools, which include:


– Coach chatbots – these text or voice models, which can be stand-alone or be embedded in a platform can engage with clients to answer questions, guide them through a process such as onboarding, provide feedback or facilitate coaching exercises and reflections. They are often regarded as a type of virtual assistant.

– Coach virtual assistants – the aim of these tools, whether they are behind-the-scenes and administrative or client-facing is to take on standard tasks giving coaches more time to focus on their actual coaching sessions.
Personalised coaching platforms – AI-driven coaching platforms create personalised coaching plans based on algorithms. They may include features such as goal setting and feedback mechanisms.

– NLP platforms – Coaches can use AI-powered Natural Language Processing platforms to analyse clients’ written or spoken language to identify patterns and themes as well as gauge sentiment. These insights can help the coach to tailor their approach and interventions for individual clients.

– Data analytics tools – AI algorithms can identify trends and correlations, and present insights that help coaches track client progress, measure their coaching effectiveness and identify areas for improvement.

Maintaining the human-centric approach of coaching is critical in the AI-driven era. These new tools don’t obviate the need for nurturing connection, active listening, and empathetic interaction. Coaches still need to empower clients to shape their own coaching journey, respecting their autonomy and agency. AI tools should support the client-centred ethos and not replace it. Coaches using AI tools also must monitor for biases in the AI algorithms and take the necessary steps to mitigate them. This highlights how important it is for coaches to be competent in using all their tools and how they must be equipped to have full oversight and accountability in the use of their AI tools.

Globally, coaching bodies are in the process of devising guidelines for the ethical use of AI tools for coaches. Full transparency and informed consent about the AI tools the coach is using is essential. There are also new data privacy and security issues that coaches will need to address as part of building a trusted relationship with their clients as well as meeting regulatory requirements.

Professor Terblanche concludes, “Coaches who embrace AI will be more productive and deliver better coaching. In one of my studies, it was found that AI can already perform as well as human coaches for very structured coaching conversations. Coaches who are not properly trained or who use simplistic coaching models could be replaced by AI coaches. In essence, AI is just another powerful tool in the Coach Toolbox. My suggestion to South African coaches is to investigate it, play with it and use it as it fits into your practice. But don’t ignore it!”

Increasing skills for personal growth, business and career

Local SMEs Upskilled Through Enterprise Development Programme in SA

Increasing skills for personal growth, business and career

The programme, a collaborative effort between Umoya Energy Wind Farm and the Initiative for Community Advancement, focuses on nurturing local talent, promoting innovation, and contributing to the long-term economic development of the region

In an effort to stimulate local economic growth and foster entrepreneurship, six small medium and micro enterprises (SMMEs) from the Bergriver Municipal Area have been selected to receive grant funding as part of a comprehensive enterprise development programme.

This initiative is designed to not only provide financial assistance but also to upskill and equip local entrepreneurs with essential business knowledge and tools necessary for sustainable growth.

The programme, a collaborative effort between Umoya Energy Wind Farm and the Initiative for Community Advancement, focuses on nurturing local talent, promoting innovation, and contributing to the long-term economic development of the region.

“The support we offer goes beyond mere financial aid; it’s about investing in our community’s future by empowering local businesses. The remarkable progress of our SMMEs fills us with pride, and we believe this funding will further propel them towards achieving their full potential,” stated Shariefa Rhodes, community operations manager at Umoya Energy Wind Farm.

Running from July 2023 to February 2024, the initiative targeted SMMEs from Piketberg, Aurora, and Velddrif, providing them with a grant of R25,000 each. This financial boost will enable the beneficiaries to invest in critical areas of their businesses, such as acquiring new equipment, adopting advanced technology, enhancing marketing strategies, and facilitating expansion efforts, all of which are vital for improving their market position and fostering growth.

“I feel fortunate to have been part of the Small Business Support Programme. It gave me valuable insights on how to be innovative in today’s business world and pushed me to excel under pressure. Presenting my business to funders was both daunting and exciting. After six years in business, to receive funding for the first time was a humbling experience. I am grateful for the opportunity and extend my heartfelt thanks,” expressed Vernon Klaase, a programme beneficiary. The culmination of this programme was marked by an awards ceremony in February 2024, celebrating the entrepreneurs’ achievements and the positive impact of the initiative on the local economy. By supporting these SMMEs, the programme aims to create a more vibrant, innovative, and sustainable economic landscape within the Bergriver Municipal Area.

South African, Rands

February Salary Surge Indicates Positive Trend for Yearly Pay Increases in SA

South African, Rands

This year’s business environment is expected to improve somewhat, unlike the previous two years

The monthly BankservAfrica Take-home Pay Index (BTPI) experienced another positive month in February amid the better-performing environment, resulting in companies increasing their employees’ average salaries over the last three months.
“The average nominal take-home pay reached R16,085, which was 4.6% growth on a year-ago and also 2.5% up on January’s R15,692,” says Shergeran Naidoo, BankservAfrica’s head of stakeholder engagements.

“In real-terms, the monthly take-home pay tracked higher at R14,354 in February 2024, slightly below year-on-year levels.”

This year’s business environment is expected to improve somewhat, unlike the previous two years where persisting economic challenges significantly impacted companies and their ability to pay inflation-related increases.

“While it is still early days, the BankservAfrica data signals 2024 could be a better year for salaries,” says Elize Kruger, independent economist.

Furthermore, although mediocre economic growth is forecast for 2024, the economy is expected to perform somewhat better than the 0.6% reflected in 2023. This is, however, dependent on reduced load shedding, a moderation in average inflation and interest rate cuts.

Salary growth forecasts

A comparison of the average nominal BTPI for the three months to February 2024, to the corresponding three months one year earlier, reveals a 6.4% increase, according to Kruger.

This is broadly in line with the South African Reserve Bank’s (Sarb) forecast of an average salary increase of 6.1% for 2024.

The figure also aligns with the results of a recent pay poll by Andrew Levy & Associates, indicating the majority of companies (58%) anticipate their average increase in respect of salaried staff to be in the region of 5% to 6.9%.

Headline CPI moderated notably from 6.9% in January 2023 to 5.3% one year later and is forecast to average around 5.3% in 2024 compared to 6.0% and 6.9% in 2023 and 2022, respectively.

“With a forecast average salary increase of about 6%, 2024 could be a year of positive real increases in average salaries again, which will see the purchasing power of salary earners improve somewhat compared to the previous two years,” says Kruger.

Factors affecting household finances

Additionally, a lower inflation rate combined with some relief forecast for interest rates could provide much-needed support to households in terms of their spending ability and confidence levels. This will likely only be evident in the second half of this year.

The repo rate is likely to remain unchanged at next week’s Monetary Policy Committee meeting as sticky headline inflation, the weakness in the rand exchange rate and concerns about food prices could keep the Sarb from providing early relief.

The BankservAfrica Private Pensions Index (BPPI) increased in nominal and real terms in February 2024, remaining comfortably above year-ago levels.

“The average nominal private pension increased to R10,774 in February 2024 compared to the previous month’s R10,653, which was 7.1% higher than a year earlier,” says Naidoo.

Similarly, in real terms, the average BankservAfrica BPPI increased by 1.3% in February 2024 compared to a year earlier, beating inflation again.

Aerial view of Capetown, South Africa

The Sky’s The Limit For Domestic and Inbound Tourism in SA

Aerial view of Capetown, South Africa

While location and facilities are important, experiences are equally critical

South Africa’s post-Covid recovery in international tourism is under way but we’re not quite there yet. In trying to lure back big tourism spenders, is the industry losing sight of the value of local tourists?

South Africa’s fiscal crisis, in an environment of rising interest rates, soaring food, fuel and energy prices, plus high levels of unemployment, is likely to dominate the news cycle for years to come.

But while the focus is primarily on the cost of living, the travel and tourism sector is a powerful driving force for the economy, creating jobs, stimulating growth, upskilling and lifting communities out of poverty.

The latest UNWTO World Tourism Barometer shows global tourism is on route to a strong recovery: 2023 closed with tourism numbers up at 88% of pre-pandemic levels, with an estimated 1.3 billion international tourist arrivals. China’s reopening earlier last year had a marked impact, but the US boasts the largest travel and tourism sector in the world.

The World Travel & Tourism Council says with the remaining pent-up demand unleashed, increased air connectivity, and a stronger recovery of Asian markets and destinations, it expects international tourism to make a full recovery by the end of 2024 — despite the challenging economic backdrop and geopolitical tensions.

Stats SA’s tourism data for December shows most of our tourists came from the United Kingdom, the US and Germany, which brought in 41,106 (20%); 33,027 (16.1%) and 25,288 (12.3%) tourists respectively.

With direct flights between the US and South Africa, and the dollar on their side, the US market is a massive opportunity to ramp up our country’s travel and tourism sector.

It’s American tourists, a robust source market for Europe, the Americas, and the Middle East, who are driving tourism flows and spending around the world.

In South Africa, pre-Covid, the US market was our second-largest inbound market, recording 373,694 arrivals. They spent R7.8bn that year on tourism in this country: by 2022, that had risen by 6% to R8.3bn. While the UK brings in more tourists, Americans spend more on our shores. The reintroduction of direct flights between New York and Cape Town has reduced travel time for US visitors and will likely encourage more Americans to visit South Africa.

In the year to November 2023, South Africa welcomed more than a million visitors from Europe primarily from the UK, but also from Germany and the Netherlands, according to recent data from Stats SA. China, Singapore, India and Russia also account for a significant proportion of visitors.

Opportunity Knocks

South Africa’s tourism sector is finally starting to approach pre-pandemic levels, although we have some way to go: StatsSA’s latest data shows our international arrivals are still 17.1% below the pre-pandemic levels and the December 2023 number (862 460) is 41.8% lower than the 1,481,183 recorded in 2019.

What this means for South Africa’s leisure and hospitality sector, whether focused on day trips, weekend retreats, business travel, or longer stays, is an immense opportunity.

While many tourism operators aim to attract international tourism, which is certainly lucrative and cannot be ignored, local tourists should be the cornerstone of their business. If Covid-19 showed us anything, it’s that local tourists should be our bread-and-butter: they kept the industry afloat during the pandemic and are a sustainable market.

Economic pressures, rising travel costs and inflation are resulting in a global shift towards more proximate destinations. In South Africa, plagued by a weak local currency, domestic tourism is likely to see an even bigger uptick in the next few years. There is no question that our citizens are eager to explore South Africa and are cognisant that there aren’t many countries where one can enjoy world-class facilities, gourmet cuisine and exceptional experiences at our prices.

The data reveals that the domestic tourism market is the fastest-growing sector. South Africans took 18.8 million domestic overnight trips in the first half of 2023, a 23.4% increase compared to the same period in 2022.

Affordable Luxury

Thirty years of experience in the hospitality and leisure sector has taught us that providing affordable luxury for the average guest is a winning formula, helping to deliver high occupancy levels despite price sensitivity.

The local market wants tourism and hospitality properties that are easily accessible from major cities, so guests — whether families or MICE tourists (meetings, incentives, conferences, and exhibitions) – do not have to factor in flight costs or long road trips. Consumers are under more financial stress than ever before, turning over every cent, so they want bang for their buck.

While location and facilities are important, experiences are equally critical. So too is the hybrid business-leisure trend post the pandemic which requires that hospitality establishments can provide uninterrupted power and reliable Wi-Fi. The growth of remote working has led to the development of extended stay products which allow guests to take longer breaks without having to take leave. Investments in these products are becoming increasingly attractive for investors because they provide a healthy return.

What has become very apparent post the pandemic is that not only is the domestic tourism sector well-positioned for growth, but it’s also well-positioned to offer exceptional experiences that are a fraction of the cost of an international holiday. Quality tourism and hospitality products that are easily accessible and provide guests with an enticing experience are likely to flourish in the years ahead, doing much to boost local economies and alleviate unemployment in the process.

boat with containers in the sea

Red Sea Crisis Offers Glimpse Into Future Of Managing Global Supply Chains

boat with containers in the sea

Ongoing tension in the Red Sea is yet another geopolitical crisis that has upended the international supply chain in recent years, shining a spotlight on its frailty during times of volatility on the global stage.

At the forefront of these recurrent crises, Aramex UK has been helping clients navigate through the complexities of the global logistics arena, leveraging its extensive global network and decades of experience to ensure its clients’ shipments continue moving regardless of the state of play.

With geopolitical volatility continuing to be ever present, Haissam Badr, National Freight Manager at Aramex UK has suggested that in order to thrive in 2024 and beyond, businesses need to make strategic moves to enhance agility and resilience while also preparing for uncertain futures.

War, climate change, inflation, trade disputes and pandemics are only just a few of the threats businesses have faced on the global stage since the turn of the decade.

The emergence of the Rea Sea crisis comes at a time where emphasis on supply chain resilience has become increasingly more prominent – shifting away from the modus operandi that was in place previously which prioritised low costs and optimisation.

Companies faced with the challenge of establishing new supply chain strategies in the wake of the Covid-19 pandemic have once again been forced to quickly adjust their approach, as attacks on cargo ships by Houthi rebels along the Suez Canal have brought the crucial international trade corridor to a near standstill in recent months.

The latest chapter of the Red Sea’s recent troubles has resulted in significant stock delivery delays for the retail industry, with many vessels having to divert en-masse to the next most viable trade route – the Cape of Good Hope. The causality of this is an extra 10 to 14 days lead time leading to higher wait times and surcharges being applied to already heightened logistics costs.

Last month, Sky News reported that typical shipping prices were 329% higher since the disruption began in November. Although published data has since painted a slightly more positive picture of the current state of play as attacks subside, the cost of container shipping still remains well above normal levels.

In response to the recent crisis, Aramex UK has ensured to provide a comprehensive array of viable solutions to mitigate delays as much as possible. In doing so, Aramex’s own operated trucks will be deployed from Asia via Dubai, UAE, Dammam, KSA and from Europe via Port Said, Egypt.

When shipping goods internationally, Haissam Badr has highlighted the importance of exporters collaborating with experienced logistics partners that have a fundamental understanding of the dynamic nature of global trade, the seismic impact that geopolitical challenges such as the current Red Sea crisis can have on organisations and their ability to operate, and how best to respond diligently.

“The recent landscape has placed supply chains under enormous pressure in recent years with the current Red Sea crisis being one such example.  It is becoming more the norm rather than an infrequent event Haissam said and it is essential that we legislate for this on behalf of our customers.

“Moving forward businesses need to adapt their logistics strategies by proactively managing and preparing for what has become an increasingly volatile marketplace, rather than simply undertaking a reactive approach to issues as and when they occur. One way in which they can do this is secure the services of an experienced global logistics partner that has the expertise, network and technological capabilities to navigate the complexities of the global marketplace with total confidence.

“Amidst fluctuating consumer demands, geopolitical tensions, natural disasters, and unforeseen disruptions, companies in 2024 must traverse a complex landscape to ensure seamless operations and meet customer expectations. In doing so, they can not only strengthen their competitive position within the marketplace but also ensure sustainable growth in an ever-evolving business landscape.”