All roads lead to Jozi

28 July 2014 - 02:01 By Penwell Dlamini
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Johannesburg
Johannesburg

Ten thousand - that's how many people move into Johannesburg every month, according to the city's mayor, Parks Tau.

This makes it the most attractive city in the country in which to live, but the increase in the demand for services and jobs outstrips what is available.

The Human Sciences Research Council last week released a report showing that the city is still the most important metropolitan contributor to this country's economy.

According to the report, the city contributes 47% of Gauteng's economy and 16% of the country's formal employment.

Its economic growth is between 2% and 3% a year and it has a higher proportion of employed people, 52.6%, than any other metro.

Its economy is dependent on a few major sectors: financial services, trade, community services and manufacturing. But growth in these sectors is slow because of the subdued global economy so job creation remains a problem.

This is shown by a surge in informal-sector employment, almost 210% between 1996 and 2011, second only to Cape Town, where it was about 229%.

"Because it is a big city, it offers opportunities for people, whether in jobs or whatever they are looking for," said Selama Karuaihe, a senior HSRC researcher.

Karuaihe said the cost of living in Johannesburg was also an attraction.

She warned that in order for the city to meet the demand for services, its economy would have to grow faster than that of the nation as a whole - which it was not doing, according to the report.

Tau said he believed one of the city's main attractions was its location, which made it attractive for businesses that wanted to expand into Africa.

"There is also the cosmopolitan nature of our city. People come to enjoy a certain lifestyle, both cultural and educational."

To deal with the demand for services, Tau said the city would invest R100-billion over the next 10 years to expand its infrastructure.

Aurelia Segatti, associate professor at Wits University's African Centre for Migration, said: "People believe that Johannesburg provides a range of services - better accommodation, running water and electricity, and easier access to healthcare and education."

And it also has less localised social control.

"People want more independence, which the city provides because of its size and the different ways in which housing is organised . there's less social control by the extended family or neighbours. It's a place where nobody knows you and I think people aspire to that," said Segatti.

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