According to the Allianz Risk Barometer 2024, South Africa's business environment is on the brink of crisis, with rolling blackouts and aging infrastructure cited as key concerns. A bellwether of global business threats, this annual publication highlights the serious implications of these risks. It threatens a company's business continuity and financial health.
Power outages and infrastructure failure: A recurring nightmare
For the second year in a row, power outages and infrastructure failures have emerged as the biggest risks to South Africa's economy and businesses.of Allianz Risk Barometer highlights the urgent need for major investments in infrastructure resilience and the development of strong contingency plans to mitigate the potential impact of power outages.
International Concern: Growing Cyber Threat
While South Africa is grappling with unique challenges, cyber incidents have emerged as a major international concern. Both local and global businesses need to address these risks to strengthen their resilience and ensure business continuity.
Implications for policy and business strategy
Allianz Risk Barometer results serve as important information for companies when developing risk management strategies. It also provides policymakers with valuable insights to plan infrastructure development and harden the business environment against potential threats. With power outages and infrastructure failures severely impacting the country's economy, addressing these issues is paramount to securing South Africa's economic future.
