Bongani Ntombela
A country once known for its daring liberation ideals - meant to unshackle entrepreneurial culture and dreams from the jaws of apartheid - is now looking like a once respected 4x4 bakkie trapped in the icy mountains of Van Reenen’s Pass. To be honest, we do not have time to debate who is going to America or not.
According to the Global Entrepreneurship Monitor South Africa (GEM SA) 2023-24 report, the nation’s physical infrastructure has already taken a short left on the way down the dangerous and rocky Sani Pass path (if you don’t know Sani Pass, consult the National Department of Tourism urgently). The report indicates that the nation’s physical infrastructure shrank from an adorable 6.60 rating in 2015 to a tiny shack of 4.45 in 2023.
While we are still puzzled about who burnt down the entrepreneurial parliament, the nation’s entrepreneurial confidence has also left the boardroom like Houdini. According to the report, South Africa’s cultural and social norms, which once celebrated the start-up success of Madiba shirts, have significantly changed. The rating has dropped from 4.52 in 2022 to a mere 3.28 in 2023, far behind the global average of 5.25.
Our once beautiful “Mona Lisa” city is almost a laughable self-destructive phenomenon. Just a few days ago, President Cyril Ramaphosa couldn’t even identify which part of Johannesburg he was in. On top of that confusion, someone whispered in the President’s ear.
The mysterious person told him not to worry. "Why?", asked the President. The invisible person replied, saying, "The Gauteng government will use our new innovative Expropriation Act to renovate Johannesburg’s buildings and house people in a dignified manner."
I would have expected that the President would expropriate the buildings to house buzzing entrepreneurial incubators to cater to our Small, Medium, and Micro Enterprises. I’m sure many entrepreneurs lost the last inch of hope when they heard that an incorrect borehole idea was again drilled, and this time, into the President’s head. This means the entrepreneurial speed train will not be operating in Gauteng for the foreseeable future. Hence, I’m warming up to the idea of joining Mr Kallie Kriel on the midnight train to Georgia.
On the other hand, the Covid-19 crisis may have caused harm to South Africa’s entrepreneurial culture. This pandemic didn’t just inject our short-tempered economy with a fatal dose of attitude but almost broke our collective entrepreneurial spirit. Lockdowns, social distancing, and economic uncertainty may have turned many would-be business owners into lukewarm bodies, clinging to their day jobs instead of daring to dream. In my view, the pandemic didn’t just freeze the economy; it seemed to have also chilled the cultural warmth that once encouraged risk-taking and innovation.
South Africa’s liberation struggle ideals were short-lived. They died before creating a better life for entrepreneurs who would have provided our communities with not just a minimum wage, but a dignified life.
The GEM SA 2023/24 report’s numbers are a wake-up call. A lack of supportive social norms for entrepreneurs to thrive is not just a minor inconvenience. It is a cultural crisis. When the environment constantly reminds you that failure is the norm, who has the guts to take the lead? Although critics may argue that our low entrepreneurial ratings aren’t solely the result of historical baggage but are also symptomatic of a global phenomenon where fear of failure and risk aversion have been magnified by economic shocks like Covid-19. However, the uniquely South African Gupta hot curry mix of antagonistic political legacies, infrastructural decay, corruption, crime, and the lingering effects of the Covid-19 pandemic suggests that we might be in for a tough climb back to our famous Table Mountain.
So, what’s next for South Africa’s aspiring innovators? Some say it’s time for a bold cultural reset. A rallying cry to not only fix our roads and buildings, but also to rejuvenate our collective belief in the power of Ubuntu and the culture of our entrepreneurship, from early childhood in townships and rural areas, to institutions of higher learning, and business incubation hubs.
Perhaps what we need is a “Start-Up Shower” campaign that doesn’t offer financial bailouts but ushers in the birth of a new generation of daredevil entrepreneurs with intentional financial support. Until then, the entrepreneurial spirit remains on thin ice, waiting to defrost.
Bongani Ntombela is the Programmes Director at 22 On Sloane, Africa’s Largest Entrepreneurship Campus.
BUSINESS REPORT