South Africa

Conventional long name
Common name	South Africa
Symbol type	Coat of arms
National motto	(ǀXam)"Unity In Diversity"
National anthem	National anthem of South Africa
Capital	Pretoria (executive)Bloemfontein (judicial)Cape Town (legislative)
Largest city	Johannesburg (2006)
Official languages
Ethnic groups	79.4% Black 9.2% White 8.8% Coloured 2.6% Asian
Population census year	2001
Population density km2	41
Population density rank	170th
Gdp ppp	$505.214 billion
Gdp ppp rank	26th
Gdp ppp year	2009
Gdp ppp per capita	$10,243
Gini rank	2nd
Gini year	2000
Gini category	high
Hdi	0.683
Hdi rank	129th
Hdi year	2009
Hdi category	medium
Currency	Rand
Currency code	ZAR
Time zone	SAST
Utc offset	+2
Drives on	left
Cctld	.za
Calling code	+27

The Republic of South Africa (also referred to as South Africa, SA or RSA) is a state in southern Africa. It is a parliamentary democracy comprising nine provinces which is located at the southern tip of Africa, with a coastline on the Atlantic and Indian oceans. To the north lie Namibia, Botswana and Zimbabwe; to the east are Mozambique and Swaziland; while Lesotho is an enclave surrounded by South African territory.

South Africa is known for a diversity in cultures and languages. Eleven official languages are recognised in the constitution. divided among a variety of ethnic groups speaking different Bantu languages, nine of which have official status. and lives on less than US $1.25 a day.

South Africa is a constitutional democracy in the form of a parliamentary republic; unlike most parliamentary republics, the positions of head of state and head of government are merged in a parliament-dependent President. It is one of the founding members of the African Union, and has the largest economy of all the members. It is also a founding member of the UN and NEPAD. South Africa is a member of the Commonwealth of Nations, Antarctic Treaty System, Southern African Development Community, South Atlantic Peace and Cooperation Zone, Southern African Customs Union, World Trade Organization, International Monetary Fund, Group of 77, G20, G8+5 and BRICS.

History

Prehistoric

South Africa contains some of the oldest archaeological sites in the world. Extensive fossil remains at the Sterkfontein, Kromdraai and Makapansgat caves suggest that various australopithecines existed in South Africa from about three million years ago. These were succeeded by various species, including Homo habilis, Homo erectus and modern humans, Homo sapiens.

Settlements of Bantu-speaking peoples, who were iron-using agriculturists and herdsmen, were already present south of the Limpopo River (now the northern border with Botswana and Zimbabwe) by the fourth or fifth century CE. (See Bantu expansion.) They displaced, conquered and absorbed the original Khoisan speakers, the Khoikhoi and San peoples. The Bantu slowly moved south. The earliest ironworks in modern-day KwaZulu-Natal Province are believed to date from around 1050. The southernmost group was the Xhosa people, whose language incorporates certain linguistic traits from the earlier Khoisan people. The Xhosa reached the Great Fish River, in today's Eastern Cape Province. As they migrated, these larger Iron Age populations displaced or assimilated earlier peoples, who often had hunter-gatherer societies.

Modern humans have inhabited Southern Africa for more than 100,000 years. At the time of European contact, the dominant indigenous peoples were Bantu-speaking peoples who had migrated from other parts of Africa about one thousand years before. The two major historic groups were the Xhosa and Zulu peoples. , the first European to settle in South Africa, with Devil's Peak in the background]]

In 1487, the Portuguese explorer Bartolomeu Dias became the first European known to have reached southern Africa. On 4 December, he landed at Walfisch Bay (now known as Walvis Bay in present-day Namibia). This was south of the furthest point reached in 1485 by his predecessor, the Portuguese navigator Diogo Cão (Cape Cross, north of the bay). Dias continued down the western cost of southern Africa. After 8 January 1488, prevented by storms from proceeding along the coast, he sailed out of sight of land and passed the southernmost point of Africa without seeing it. After he had reached as far up the eastern coast of Africa as what he called Rio do Infante, probably the present-day Groot River, in May 1488 on his return he saw the Cape, which he first named Cabo das Tormentas (Cape of Storms). His King, John II, renamed the point Cabo da Boa Esperança or Cape of Good Hope, as it led to the riches of the East Indies. Dias' feat of navigation was later memorialised in Luís de Camões' epic Portuguese poem, The Lusiads (1572).

Colonization

In 1652, a century and a half after the discovery of the Cape Sea Route, Jan van Riebeeck established a refreshment station at the Cape of Good Hope, at what would become Cape Town, on behalf of the Dutch East India Company. The Dutch transported slaves from Indonesia, Madagascar, and India as labour for the colonists in Cape Town. As they expanded east, the Dutch settlers met the southwesterly migrating Xhosa people in the region of the Fish River. A series of wars, called the Cape Frontier Wars, ensued, caused by their conflicting land and livestock interests.

The discovery of diamonds and later gold triggered the 19th-century conflict known as the Anglo-Boer War, as the Boers (original Dutch, Flemish, German and French settlers) and the British fought for the control of the South African mineral wealth. Cape Town became a British colony in 1806. European settlement expanded during the 1820s as the Boers and the British 1820 Settlers claimed land in the north and east of the country. Conflicts arose among the Xhosa, Zulu and Afrikaner groups who competed for territory.

Great Britain took over the Cape of Good Hope area in 1795, to prevent it from falling under control of the French First Republic, which had invaded the Dutch Republic. Given its standing interests in Australia and India, Great Britain wanted to use Cape Town as an interim port for its merchants' long voyages. The British returned Cape Town to the Dutch in 1803, but soon afterwards the Dutch East India Company declared bankruptcy.

The British annexed the Cape Colony in 1806. The British continued the frontier wars against the Xhosa, pushing the eastern frontier through a line of forts established along the Fish River. They consolidated the territory by encouraging British settlement. Due to pressure of abolitionist societies in Britain, the British parliament stopped its global slave trade with the passage of the Slave Trade Act 1807, then abolished slavery in all its colonies with the Slavery Abolition Act 1833.

s in combat (1881)]] In the first two decades of the 19th century, the Zulu people grew in power and expanded their territory under their leader, Shaka. Shaka’s warfare led indirectly to the Mfecane (“Crushing”) that devastated and depopulated the inland plateau in the early 1820s. An offshoot of the Zulu, the Matabele people created a larger empire under their king Mzilikazi, including large parts of the highveld.

During the 1830s, approximately 12,000 Boers (later known as Voortrekkers), departed from the Cape Colony, where they had been subjected to British control. They migrated to the future Natal, Orange Free State and Transvaal regions. The Boers founded the Boer Republics: the South African Republic (now Gauteng, Limpopo, Mpumalanga and North West provinces) and the Orange Free State (Free State).

The discovery of diamonds in 1867 and gold in 1884 in the interior encouraged economic growth and immigration, the so called Mineral Revolution. This intensified the European-South African subjugation of the indigenous people. The struggle to control these important economic resources was a factor between Europeans and the indigenous population, and also between the Boers and the British.

Boer Wars

The Boer Republics successfully resisted British encroachments during the First Boer War (1880–1881) using guerrilla warfare tactics, which were well suited to local conditions. The British returned with greater numbers, more experience, and new strategy in the Second Boer War (1899–1902), which they won.

20th century

Within the country, anti-British policies among white South Africans focused on independence. During the Dutch and British colonial years, racial segregation was mostly informal, though some legislation were enacted to control the settlement and movement of native people, including the Native Location Act of 1879 and the system of pass laws. Power was held by the ethnic European colonists.

After four years of negotiating, the South Africa Act 1909 created the Union of South Africa from the Cape and Natal colonies, as well as the republics of Orange Free State and Transvaal, on 31 May 1910, eight years after the end of the Second Boer War. The newly created Union of South Africa was a dominion of the British Empire. The Natives' Land Act of 1913 severely restricted the ownership of land by blacks; at that stage natives controlled only 7% of the country. The amount of land reserved for indigenous peoples was later marginally increased.

In the Boer republics, from as early as the Pretoria Convention (chapter XXVI), and subsequent South African governments, the legislature passed legally institutionalised segregation, later known as apartheid. The government established three racial classes: white, coloured (people of Asian or mixed racial ancestry), and black, with rights and restrictions for each.

In 1931 the union was effectively granted independence from the United Kingdom with the passage of the Statute of Westminster. In 1934, the South African Party and National Party merged to form the United Party, seeking reconciliation between Afrikaners and English-speaking "Whites". In 1939 the party split over the entry of the Union into World War II as an ally of the United Kingdom, a move which the National Party followers strongly opposed.

In 1948, the National Party was elected to power. It strengthened the racial segregation begun under Dutch and British colonial rule, and subsequent South African governments since the Union was formed. The Nationalist Government classified all peoples into three races, developed rights and limitations for each, such as pass laws and residential restrictions. The white minority controlled the vastly larger black majority. The system of segregation became known collectively as apartheid.

While the White minority enjoyed the highest standard of living in all of Africa, comparable to First World Western nations, the Black majority remained disadvantaged by almost every standard, including income, education, housing, and life expectancy. On 31 May 1961, following a whites-only referendum, the country became a republic and left the Commonwealth. Queen Elizabeth II ceased to be head of state, and the last Governor-General became State President.

Despite opposition both within and outside the country, the government legislated for a continuation of apartheid. Apartheid became increasingly controversial, and some Western nations and institutions began to boycott doing business with South Africa because of its racial policies and oppression of civil rights. International sanctions, divestment of holdings by investors accompanied growing unrest and oppression within South Africa. The government harshly oppressed resistance movements, and violence became widespread, with anti-apartheid activists using strikes, marches, protests, and sabotage by bombing and other means. The African National Congress (ANC) was a major resistance movement.

In the late 1970s, South Africa began a programme of nuclear weapons development. In the following decade, it produced six deliverable nuclear weapons.

End of Apartheid

The Mahlabatini Declaration of Faith, signed by Mangosuthu Buthelezi and Harry Schwarz in 1974, enshrined the principles of peaceful transition of power and equality for all, the first of such agreements by acknowledged black and white political leaders in South Africa. Ultimately, F.W. de Klerk negotiated with Nelson Mandela in 1993 for a transition of policies and government.

In 1990 the National Party government took the first step towards dismantling discrimination when it lifted the ban on the African National Congress and other political organisations. It released Nelson Mandela from prison after twenty-seven years' serving a sentence for sabotage. A negotiation process followed. The government repealed apartheid legislation. South Africa destroyed its nuclear arsenal and acceded to the Nuclear Non-Proliferation Treaty. South Africa held its first universal elections in 1994, which the ANC won by an overwhelming majority. It has been in power ever since. The country rejoined the Commonwealth of Nations.

Post-apartheid South Africa

In post-apartheid South Africa, unemployment has been extremely high as the country has struggled with many changes. While many blacks have risen to middle or upper classes, the overall unemployment rate of blacks worsened between 1994 and 2003. While some have attributed this partly to the legacy of apartheid, increasingly many attribute it to the failure of the current government's policies. In addition, the current government has struggled to achieve the monetary and fiscal discipline to ensure both redistribution of wealth and economic growth. Since the ANC-led government took power, the United Nations Human Development Index of South Africa has fallen, while it was steadily rising until the mid-1990s. Some may be attributed to the AIDS pandemic, and the failure of the government to take steps to address it in the early years.

Government and politics

in Pretoria, seat of the executive]] in Cape Town, seat of the legislature]] South Africa has three capital cities: Cape Town, the largest of the three, is the legislative capital; Pretoria is the administrative capital; and Bloemfontein is the judicial capital. South Africa has a bicameral parliament: the National Council of Provinces (the upper house) has 90 members, while the National Assembly (the lower house) has 400 members.

Members of the lower house are elected on a population basis by proportional representation: half of the members are elected from national lists and the other half are elected from provincial lists. Ten members are elected to represent each province in the National Council of Provinces, regardless of the population of the province. Elections for both chambers are held every five years. The government is formed in the lower house, and the leader of the majority party in the National Assembly is the President.

The primary sources of South Africa law are Roman-Dutch mercantile law and personal law with English Common law, as imports of Dutch settlements and British colonialism. The first European based law in South Africa was brought by the Dutch East India Company and is called Roman-Dutch law. It was imported before the codification of European law into the Napoleonic Code and is comparable in many ways to Scots law. This was followed in the 19th century by English law, both common and statutory. Starting in 1910 with unification, South Africa had its own parliament which passed laws specific for South Africa, building on those previously passed for the individual member colonies. During the years of apartheid, the country's political scene was dominated by figures like B. J. Vorster and P. W. Botha, as well as opposition figures such as Harry Schwarz, Joe Slovo and Helen Suzman.

Since the end of apartheid in 1994, South African politics have been dominated by the African National Congress (ANC), which has been the dominant party with 60–70% of the vote. The main challenger to the rule of the ANC is the Democratic Alliance party, which received 16.7% of the vote in the 2009 election and 14.8% in the 2006 election.

The formerly dominant New National Party, which introduced apartheid through its predecessor, the National Party, chose to merge with the ANC on 9 April 2005. Other major political parties represented in Parliament are the Congress of the People, which split from the ANC and won 7.4% of the vote in 2009, and the Inkatha Freedom Party, which mainly represents Zulu voters and took 4.6% of the vote in the 2009 election.

Since 2004, the country has had many thousands of popular protests, some violent, making it, according to one academic, the "most protest-rich country in the world". Many of these protests have been organised from the growing shanty towns that surround South African cities.

In 2008, South Africa placed 5th out of 48 sub-Saharan African countries on the Ibrahim Index of African Governance. South Africa scored well in the categories of Rule of Law, Transparency & Corruption and Participation & Human Rights, but was let down by its relatively poor performance in Safety & Security. The Ibrahim Index is a comprehensive measure of African governance, based on a number of different variables which reflect the success with which governments deliver essential political goods to its citizens.

After the end of apartheid in 1994, the "independent" and "semi-independent" Bantustans were integrated into the political structure of South Africa by the abolition of the four former provinces (Cape Province, Natal Province, Orange Free State and Transvaal Province) and the creation of nine fully integrated new provinces. The generally smaller size of the new provinces theoretically means that local governments have more resources to distribute over smaller areas. The provinces are subdivided into 52 districts: 6 metropolitan and 46 district municipalities. The district municipalities are further subdivided into 231 local municipalities. The metropolitan municipalities perform the functions of both district and local municipalities. The new provinces are: {|class="wikitable sortable" !Province !Capital !Area (km²) !Population (2010 est.) |- |Eastern Cape||Bhisho||align=right|168,966||align=right|6,743,800 |- |Free State||Bloemfontein||align=right|129,825||align=right|2,824,500 |- |Gauteng||Johannesburg||align=right|18,178||align=right|11,191,700 |- |KwaZulu-Natal||Pietermaritzburg||align=right|94,361||align=right|10,645,400 |- |Limpopo||Polokwane||align=right|125,754||align=right|5,439,600 |- |Mpumalanga||Nelspruit||align=right|76,495||align=right|3,617,600 |- |Northern Cape||Kimberley||align=right|372,889||align=right|1,103,900 |- |North West||Mafikeng||align=right|104,882||align=right|3,200,900 |- |Western Cape||Cape Town||align=right|129,462||align=right|5,223,900 |- class="sortbottom" |colspan="2"|Total||align=right|1,220,813||align=right|49,991,300 |}

Foreign relations and military

attack helicopter]] Since the end of apartheid, the South African foreign policy has focused on its African partners particularly in the Southern African Development Community (SADC) and the African Union. South Africa has played a key role as a mediator in African conflicts over the last decade, such as in Burundi, the Democratic Republic of Congo, the Comoros, and Zimbabwe. After apartheid ended, South Africa was readmitted to the Commonwealth of Nations.

As the Union of South Africa, South Africa was a founding member of the United Nations. The then Prime Minister Jan Smuts wrote the preamble to the United Nations Charter. South Africa was a non-permanent member of the United Nations Security Council between 2007 and 2008, and has attracted controversy by voting against a resolution criticising the Burmese government in 2006 and against the implementation of sanctions against Zimbabwe in 2008. South Africa is a member of the Group of 77 and chaired the organisation in 2006. South Africa is a member of the South Atlantic Peace and Cooperation Zone, Southern African Customs Union, World Trade Organization, International Monetary Fund, G20 and G8+5.

The South African National Defence Force (SANDF) was created in 1994, as an all volunteer force composed of as the former South African Defence Force, the forces of the African nationalist groups (Umkhonto we Sizwe and Azanian People's Liberation Army), and the former Bantustan defence forces.

In recent years, the SANDF has become a major peacekeeping force in Africa, and has been involved in operations in Lesotho, the Democratic Republic of the Congo, and may have conducted a nuclear test over the Atlantic in 1979. It is the only African country to have successfully developed nuclear weapons. It has become the first country (followed by Ukraine) with nuclear capability to voluntarily renounce and dismantle its programme and in the process signed the Nuclear Non-Proliferation Treaty in 1991. South Africa is the 25th-largest country in the world and is comparable in size to Colombia. Njesuthi in the Drakensberg at is the highest peak in South Africa. Excluding the Prince Edward Islands, the country lies between latitudes 22° and 35°S, and longitudes 16° and 33°E.

The interior of South Africa is a vast, flat, and sparsely populated scrubland, the Karoo, which is drier towards the northwest along the Namib desert. In contrast, the eastern coastline is lush and well-watered, which produces a climate similar to the tropics.

To the north of Johannesburg, the altitude drops beyond the escarpment of the Highveld, and turns into the lower lying Bushveld, an area of mixed dry forest and an abundance of wildlife. East of the Highveld, beyond the eastern escarpment, the Lowveld stretches towards the Indian Ocean. It has particularly high temperatures, and is also the location of extended subtropical agriculture.

South Africa also has one possession, the small sub-Antarctic archipelago of the Prince Edward Islands, consisting of Marion Island () and Prince Edward Island () (not to be confused with the Canadian province of the same name).

Climate

South Africa has a generally temperate climate, due in part to being surrounded by the Atlantic and Indian Oceans on three sides, by its location in the climatically milder southern hemisphere and due to the average elevation rising steadily towards the north (towards the equator) and further inland. Due to this varied topography and oceanic influence, a great variety of climatic zones exist. Winters in South Africa occur between June and August.

The climatic zones vary, from the extreme desert of the southern Namib in the farthest northwest to the lush subtropical climate in the east along the Mozambique border and the Indian ocean. From the east, the land quickly rises over a mountainous escarpment towards the interior plateau known as the Highveld. Even though South Africa is classified as semi-arid, there is considerable variation in climate as well as topography.

The extreme southwest has a climate remarkably similar to that of the Mediterranean with wet winters and hot, dry summers, hosting the famous Fynbos Biome of grassland and thicket. This area also produces much of the wine in South Africa. This region is also particularly known for its wind, which blows intermittently almost all year. The severity of this wind made passing around the Cape of Good Hope particularly treacherous for sailors, causing many shipwrecks. Further east on the south coast, rainfall is distributed more evenly throughout the year, producing a green landscape. This area is popularly known as the Garden Route.

The Free State is particularly flat because it lies centrally on the high plateau. North of the Vaal River, the Highveld becomes better watered and does not experience subtropical extremes of heat. Johannesburg, in the centre of the Highveld, is at and receives an annual rainfall of . Winters in this region are cold, although snow is rare.

The high Drakensberg mountains, which form the south-eastern escarpment of the Highveld, offer limited skiing opportunities in winter. The coldest place in South Africa is Sutherland in the western Roggeveld Mountains, where midwinter temperatures can reach as low as . The deep interior has the hottest temperatures: a temperature of was recorded in 1948 in the Northern Cape Kalahari near Upington.

Flora and fauna

South Africa is ranked sixth out of the world’s seventeen megadiverse countries, with more than 20,000 different plants, or about 10% of all the known species of plants on Earth, making it particularly rich in plant biodiversity. The most prevalent biome in South Africa is the grassland, particularly on the Highveld, where the plant cover is dominated by different grasses, low shrubs, and acacia trees, mainly camel-thorn and whitethorn. Vegetation becomes even more sparse towards the northwest due to low rainfall. There are several species of water-storing succulents like aloes and euphorbias in the very hot and dry Namaqualand area. The grass and thorn savannah turns slowly into a bush savannah towards the north-east of the country, with denser growth. There are significant numbers of baobab trees in this area, near the northern end of Kruger National Park.

The Fynbos Biome, which makes up the majority of the area and plant life in the Cape floristic region, one of the six floral kingdoms, is located in a small region of the Western Cape and contains more than 9,000 of those species, making it among the richest regions on earth in terms of floral biodiversity. The majority of the plants are evergreen hard-leaf plants with fine, needle-like leaves, such as the sclerophyllous plants. Another uniquely South African plant is the protea genus of flowering plants. There are around 130 different species of protea in South Africa.

While South Africa has a great wealth of flowering plants, only 1% of South Africa is forest, almost exclusively in the humid coastal plain of KwaZulu-Natal, where there are also areas of Southern Africa mangroves in river mouths. There are even smaller reserves of forests that are out of the reach of fire, known as montane forests. Plantations of imported tree species are predominant, particularly the non-native eucalyptus and pine. South Africa has lost a large area of natural habitat in the last four decades, primarily due to overpopulation, sprawling development patterns and deforestation during the nineteenth century. South Africa is one of the worst affected countries in the world when it comes to invasion by alien species with many (e.g. Black Wattle, Port Jackson, Hakea, Lantana and Jacaranda) posing a significant threat to the native biodiversity and the already scarce water resources. The original temperate forest found by the first European settlers was exploited ruthlessly until only small patches remained. Currently, South African hardwood trees like Real Yellowwood (Podocarpus latifolius), stinkwood (Ocotea bullata), and South African Black Ironwood (Olea laurifolia) are under government protection.

Numerous mammals are found in the bushveld including lions, leopards, white rhinos, blue wildebeest, kudus, impalas, hyenas, hippopotamus and giraffes. A significant extent of the bushveld exists in the north-east including Kruger National Park and the Mala Mala Reserve, as well as in the far north in the Waterberg Biosphere.

Climate change is expected to bring considerable warming and drying to much of this already semi-arid region, with greater frequency and intensity of extreme weather events such as heatwaves, flooding and drought. According to computer generated climate modelling produced by the South African National Biodiversity Institute parts of southern Africa will see an increase in temperature by about one degree Celsius along the coast to more than four degrees Celsius in the already hot hinterland such as the Northern Cape in late spring and summertime by 2050.

The Cape Floral Kingdom has been identified as one of the global biodiversity hotspots since it will be hit very hard by climate change and has such a great diversity of life. Drought, increased intensity and frequency of fire and climbing temperatures are expected to push many of these rare species towards extinction.

South Africa houses many endemic species, among them the critically endangered Riverine Rabbit (Bunolagus monticullaris) in the Karoo. File:Fynbos.jpg|Fynbos, a floral kingdom unique to South Africa, is found near Cape Town File:Swartberg.jpg|Swartberg mountains near the town of Oudtshoorn File:Weskus Nasionale Park.jpg|A field of flowers in the West Coast National Park

Economy

. Cape Town has become an important retail and tourism centre for the country, and attracts the largest number of foreign visitors in South Africa]]

in Johannesburg. Gauteng produces 33% of South Africa's GDP and 10% of the African continent's GDP]] is the largest stock exchange on the African continent]]

South Africa has a mixed economy with high rate of poverty and low GDP per capita. By UN classification South Africa is a middle-income country with an abundant supply of resources, well-developed financial, legal, communications, energy, and transport sectors, a stock exchange that ranks among the top twenty in the world, and a modern infrastructure supporting an efficient distribution of goods to major urban centres throughout the entire region. South Africa is ranked 25th in the world in terms of GDP (PPP) as of 2008, and is considered a newly industrialized country.

Advanced development is significantly localised around four areas: Cape Town, Port Elizabeth, Durban, and Pretoria/Johannesburg. Beyond these four economic centres, development is marginal and poverty is still prevalent despite government efforts. Consequently the vast majority of South Africans are poor, though key marginal areas have experienced rapid growth recently. Such areas include Mossel Bay to Plettenberg Bay; Rustenburg area; Nelspruit area; Bloemfontein; Cape West Coast; and the KwaZulu-Natal North Coast. Unemployment is extremely high and South Africa is ranked in the top 10 countries in the world for income inequality, measured by the Gini coefficient. During 1995–2003, the number of formal jobs decreased and informal jobs increased; overall unemployment worsened. The average South African household income decreased considerably between 1995 and 2000. As for racial inequality, Statistics South Africa reported that in 1995 the average white household earned four times as much as the average black household. In 2000 the average white household was earning six times more than the average black household. The affirmative action policies, called Black Economic Empowerment, have seen a rise in black economic wealth and an emerging black middle class. Other problems are crime, corruption, and HIV/AIDS. South Africa suffers from relatively heavy overall regulation burden compared to developed countries. State ownership and interference impose high barriers to entry in many areas. Restrictive labour regulations have contributed to the unemployment malaise. Growth was still subpar. Among the main attractions are the diverse and picturesque culture, the game reserves and the highly regarded local wines.

The South African rand (ZAR), is the most actively traded emerging market currency in the world. It has joined an elite club of fifteen currencies, the Continuous linked settlement (CLS), where forex transactions are settled immediately, lowering the risks of transacting across time zones. The rand was the best-performing currency against the United States dollar (USD) between 2002 and 2005, according to the Bloomberg Currency Scorecard.

The volatility of the rand has affected economic activity, falling sharply during 2001 and hitting a historic low of 13.85 ZAR to the US$, raising fears of inflation, and causing the Reserve Bank to increase interest rates. The rand has since recovered, trading at 7.09 ZAR to the dollar as of Sept. 2010. As exporters are put under considerable pressure from a stronger domestic currency, many call for government intervention to help soften the rand.

Refugees from poorer neighbouring countries include many immigrants from the Democratic Republic of the Congo, Mozambique, Zimbabwe, Malawi and others, representing a large portion of the informal sector. With high unemployment levels amongst poorer South Africans, xenophobia is prevalent and many people born in South Africa feel resentful of immigrants who are seen to be depriving the native population of jobs, a feeling which has been given credibility by the fact that many South African employers have employed migrants from other countries for lower pay than South African citizens, especially in the construction, tourism, agriculture and domestic service industries. Illegal immigrants are also heavily involved in informal trading. Many immigrants to South Africa continue to live in poor conditions, and the South African immigration policy has become increasingly restrictive since 1994.

Principal international trading partners of South Africa—besides other African countries—include Germany, the United States, China, Japan, the United Kingdom and Spain. Chief exports include corn, diamonds, fruits, gold, metals and minerals, sugar, and wool. Machinery and transportation equipment make up more than one-third of the value of the country’s imports. Other imports include chemicals, manufactured goods, and petroleum.

Income and human development

Science and technology

Several important scientific and technological developments have originated in South Africa. The first human-to-human heart transplant was performed by cardiac surgeon Christiaan Barnard at Groote Schuur Hospital in December 1967. Max Theiler developed a vaccine against Yellow Fever, Allan McLeod Cormack pioneered x-ray Computed tomography, and Aaron Klug developed crystallographic electron microscopy techniques. These advancements were all (with the exception of that of Barnard) recognised with Nobel Prizes. Sydney Brenner won most recently, in 2002, for his pioneering work in molecular biology.

Mark Shuttleworth founded an early Internet security company Thawte, that was subsequently bought out by world-leader VeriSign. Despite government efforts to encourage entrepreneurship in biotechnology, IT and other high technology fields, no other notable groundbreaking companies have been founded in South Africa. It is the expressed objective of the government to transition the economy to be more reliant on high technology, based on the realisation that South Africa cannot compete with Far Eastern economies in manufacturing, nor can the republic rely on its mineral wealth in perpetuity.

South Africa has cultivated a burgeoning astronomy community. It hosts the Southern African Large Telescope, the largest optical telescope in the southern hemisphere. South Africa is currently building the Karoo Array Telescope as a pathfinder for the €1.5 billion Square Kilometer Array project. South Africa is a finalist, with Australia, to be the host of the SKA.

Agriculture

South Africa has a large agricultural sector and is a net exporter of farming products. There are almost a thousand agricultural cooperatives and agribusinesses throughout the country, and agricultural exports have constituted 8% of South African total exports for the past five years. The agricultural industry contributes around 10% of formal employment, relatively low compared to other parts of Africa, as well as providing work for casual labourers and contributing around 2.6% of GDP for the nation. Due to the aridity of the land, only 13.5% can be used for crop production, and only 3% is considered high potential land.

Although the commercial farming sector is relatively well developed, people in some rural areas still survive on subsistence agriculture. It is the eighth largest wine producer in the world, and the eleventh largest producer of sunflower seed. South Africa is a net exporter of agricultural products and foodstuffs, the largest number of exported items being sugar, grapes, citrus, nectarines, wine and deciduous fruit. The largest locally produced crop is maize (corn), and it has been estimated that 9 million tons are produced every year, with 7.4 million tons being consumed. Livestock are also popular on South African farms, with the country producing 85% of all meat consumed. The dairy industry consists of around 4,300 milk producers providing employment for 60,000 farm workers and contributing to the livelihoods of around 40,000 others.

In recent years, the government has introduced several agricultural sector reforms, such as land reform and the deregulation of the market for agricultural products. The South African government has set a target of transferring 30% of productive farmland from whites to 'previously disadvantaged' blacks by 2014. Land reform has been criticised both by farmers' groups and by landless workers, the latter alleging that the pace of change has not been fast enough, and the former alleging 'racist' treatment and expressing concerns that a similar situation to Zimbabwe's land reform policy may develop, a fear exacerbated by comments made by former deputy president Phumzile Mlambo-Ngcuka. The sector continues to face problems, with increased foreign competition and crime being two of the major challenges for the industry. The government has been accused of either putting in too much effort, or not enough effort, to tackle the problem of farm attacks as opposed to other forms of violent crime.

Another issue which affects South African agriculture is environmental damage caused by misuse of the land and global climate change. South Africa is unusually vulnerable to climate change and resultant diminution of surface waters. Some predictions show surface water supply could decrease by 60% by the year 2070 in parts of the Western Cape. To reverse the damage caused by land mismanagement, the government has supported a scheme which promotes sustainable development and the use of natural resources. Maize production, which contributes to a 36% majority of the gross value of South Africa’s field crops, has also experienced negative effects due to climate change. The estimated value of loss, which takes into consideration scenarios with and without the carbon dioxide fertilisation effect, ranges between tens and hundreds of millions of Rands.

Electricity crisis

After unsuccessful attempts by the government to encourage private construction of power generation capacity, the state-owned power supplier Eskom started experiencing deficiency in capacity in the electrical generating and reticulation infrastructure in 2007. This lack led to an inability to meet the routine demands of industry and consumers, resulting in countrywide rolling blackouts. Initially, the lack of capacity was triggered by a failure at Koeberg nuclear power station, but a general lack of capacity due to increased demand then become evident. The supplier has been widely criticised for failing to adequately plan for and construct sufficient electrical generating capacity, although ultimately the government admitted that it was at fault for refusing to approve funding for investment in infrastructure.

The crisis was resolved within a few months, but the margin between national demand and available capacity is still low (particularly in peak hours), and power stations are under strain, such that another phase of rolling blackouts is probable if parts of the supply are halted for whatever reason. The government and Eskom are currently planning new power stations. The power utility plans to have 20,000 megawatts of nuclear power in its grid by 2025.

Demographics

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