JOHANNESBURG, South Africa: A year-long backlog in visa processing for tens of thousands of foreign executives, engineers, and key workers in South Africa is causing concerns among business groups, impacting investment and challenging the nation’s position as a continental hub.
The South African government, acknowledging a skill shortage hindering development, faces a severe backlog in processing visa applications, leading to delays that business leaders argue are detrimental to the economy.
Business groups report cases of individuals waiting for more than a year, causing psychological stress to families and prompting firms to reconsider expansion plans in the country. The Italian-South African Chamber of Trade and Industries highlights the staggering backlog, emphasizing the negative impact on both personal lives and business growth.
Home Affairs Minister Aaron Motsoaledi acknowledged severe understaffing, with 74,000 visa applications awaiting processing as of September. The backlog, exacerbated during the COVID-19 pandemic, has led to a decline in critical skills visas processed, impacting sectors requiring skilled workers such as engineering and information technology.
Business Leadership South Africa, representing international companies like BP, Nestle, and Unilever, notes that the inability to fill crucial positions hampers investment and expansion plans. The delays are attributed to a cumbersome and erratic vetting process, with inconsistent decision-making and varying processing times.
Experts suggest that the visa backlog is detrimental to South Africa’s economic growth, hindering job creation and expansion opportunities. The need for reforms, including new visas for remote workers and start-ups, along with a points system and a trusted employer scheme, has been recommended to streamline the hiring process.
As the South African economy grapples with challenges such as power cuts and infrastructure issues, the impact of the visa backlog adds to concerns. The central bank predicts a modest 0.8 percent growth in the economy this year, coupled with a high unemployment rate of 32 percent. Reforms in the visa processing system are anticipated, but with elections in 2024, the wait for changes may continue.
