New visa reforms could boost South Africa’s economy by 1.2 percent

The gazetting of the remote work visitor visa and the new points-based system for work visas removes bureaucratic hurdles that have hampered SA’s visa regime and promises far-reaching positive outcomes for the economy.

Hailed as an evolution in South Africa’s immigration policies, the new regulations to attract skilled and remote workers are a shot in the arm for the country’s economy.

Gazetted on Wednesday by Home Affairs Minister Leon Schreiber, the new regulations not only offer certainty on remote work visas but also introduce general work visas and a new points-based system for critical skills, which promise to boost GDP growth by 1.2%, with every additional skill creating seven new jobs for South Africans.

Schreiber announced the new regulations last month at the RMB Morgan Stanley Investor Conference, where he unveiled initiatives to grow tourism, investment, the economy and job creation.

Economic case

Citing independent research commissioned by the SA Reserve Bank and the International Food Policy Research Institute, Schreiber told the conference that South Africa’s annual growth rate could triple by attracting 11,000 highly skilled individuals, while increasing tourist arrivals by 10% would boost annual GDP growth by 0.6%.

To quantify the potential gains, the researchers showed that just a 1% increase in tertiary-educated employees, primarily driven by skilled immigration, could boost GDP by more than 1.2% and overall…

Originally Published at TRAVELNEWSAFRICA