South African graduates are upbeat: here’s why
Confidence is high, job prospects are bright and the economy is growing: if only European graduates could feel as upbeat as their South African counterparts. The latter, despite a sluggish rate of growth of less than 3%, believe that their country’s economy is over the worst of the financial crisis and is now moving in the right direction, creating opportunities for them.
A survey conducted by financial services company PPS shows that two thirds of South African graduates are optimistic about the prospects of the country. Confidence is especially high on financial matters such as prospects for the banking sector and the equities market, and it is likely to increase, says Gerhard Joubert, head of marketing and stakeholder relations at PPS: “Once there is more clarity on certain issues, such as the debt crisis in the eurozone, a major trading partner of South Africa, we are likely to see confidence levels continue to increase.”
The real proof of this new-found confidence is in the numbers of graduates who choose to stay: after many years of ‘brain drain’, South Africans are now looking for work in their own country instead of emigrating in search of greener pastures. Most of the 6,000 graduates interviewed by PPS – 83% - have no plans to leave because they believe there is a future for them in SA. “This is particularly important because as it is crucial for South Africa to retain skilled professionals in key occupations,” says Joubert. “South Africa is still struggling with a shortage of skills.” Finance specialists, accountants and auditors are among the professionals most in demand.
There is more: even expatriates who left the country years ago are now coming back in ever-increasing numbers. “What we have noticed is that there has been a large number of South Africans who have returned because of the crisis in international markets,” says Loane Sharp, labour economist at Adcorp Analytics in Johannesburg. “In the last two years 62,000 South Africans returned from abroad and this is a significant number if you think that since 1990 285,000 people left the country permanently. It means that over 20% of the total of expatriates came back in the last two years.”
Most of the South Africans returning home are the ones who emigrated to the UK and Canada, where economic conditions are now more difficult. Far fewer are coming back from the relatively stronger economies of Australia, New Zealand and the US, the other three popular destinations for South Africans who choose to live and work abroad.
