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South Africa. Background Foundations of Apartheid Rise of Opposition Sanctioning of the State Transition to Democracy Legacies of Apartheid Implementing Reconstruction and Dev. Prgm Current Situation. Background. First Europeans – French and Dutch settlers

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South africa
South Africa

  • Background

  • Foundations of Apartheid

  • Rise of Opposition

  • Sanctioning of the State

  • Transition to Democracy

  • Legacies of Apartheid

  • Implementing Reconstruction and Dev. Prgm

  • Current Situation


Background
Background

  • First Europeans – French and Dutch settlers

  • Known as “Boers” or farmers in Afrikaans

  • Fled religious persecution in mid-17 century

  • Dutch East India Co. in Table bay

  • Southern Cape land is rich and fertile

  • Natives: Khoikhoi (SW) & Xhosa (East)

  • Constant fights; Europeans with guns


Background cont
Background (cont.)

  • British came for the location – refueling

  • Est. British East India Company

  • 1806, captured Cape Peninsula from Dutch

  • 1867, diamond found in Vaal River

  • Cecil Rhodes built international diamond cartel

  • Gold found less than 20 years later

  • By 1900, gold and diamonds made up 60% of export


Background cont1
Background (cont.)

  • By 1911, gold mines account of 20% of economy and employed 215, 000 people

  • Tension bet. British and Dutch resulted in a full-scale Boer War until 1910.

  • British won decisively and Union of SA became a self-governing dominion of British Commonwealth.


Foundations of apartheid
Foundations of Apartheid

  • 1909 Constitution – SA is a segregated democracy; only whites could vote

  • Bet. 1910-1948, SA ruled by relatively liberal group dominated by English speakers called United Party (UP)

  • White SA get majority of benefits

  • Blacks work in mining and domestic


Foundations of apartheid cont
Foundations of Apartheid (cont.)

  • 1948, predominantly Afrikaner National Party (NP) seize control from UP

  • Imposed “Apartheid” or “Apartness” in Afrikaans; shape history for next 50 years

  • 4 racial groups: whites, coloreds (mixed race), Indian, Africans

  • Segregation; 1913 National Land Act – illegal for Blacks to purchase land outside designated areas


Foundations of apartheid cont1
Foundations of Apartheid (cont.)

  • Hendrik Verwoerd, a “philosopher” , “.. gives the Native an opportunity to develop what is his own, so he can have pride and self-respect as a Native, instead of being continually humiliated as a failed and imitation white”

  • Many Acts enacted to enforce segregation

  • Blacks resettled to disguised “homelands”

  • Required to carry passports and travelled hours each day on cramped buses


Foundations of apartheid cont2
Foundations of Apartheid (cont.)

  • 1912, 2 years after country formation, a small group of Blacks formed SA Native National Congress (SANCC) devoted to advancement of native population

  • Led by missionary-educated lawyers

  • SANCC later became African National Congress (ANC)

  • Later ANC is joined by colored African Political Organization, SA Indian Congress, and SA Communist Party


Rise of opposition cont
Rise of Opposition (cont.)

  • ANC leaders -Oliver Tambo, Walter Sisulu, & Nelson Mandela- supported a large scale passive resistance campaign in 1952; adherence to non-violence

  • 1955, ANC adopted Freedom Charter – “SA belongs to all who live in it, black or white, …. no government can justly claimed authority unless it is based on the will of the people”

  • NP track Mandela and Tambo, who were practicing law together in Johannesburg


Rise of opposition cont1
Rise of Opposition (cont.)

  • In 1963, 8 ANC members were convicted of high treason and sentenced to life imprisonment

  • Mandela spend 27 years in prison

  • Notable personalities include:

  • Helen Suzman, white professor who was sole member of liberal Progressive Party in Parliament

  • Desmond Tutu: Anglican Archbishop of Cape Town

  • Stephen Biko, founder of Black Consciousness Movement, died in police custody in 1977


Rise of opposition cont2
Rise of Opposition (cont.)

  • Sharpeville Massacre: police shot and killed 69 peaceful demonstrators led some conservatives to advocate violence

  • 1976, security forces shot and killed to children in Soweto igniting a firestorm that led to 500-1000 deaths.

  • In the 70s, gold prices fell and oil prices hiked hitting SA hard; mining industry hit hard

  • By 1978, 5.1% of GDP or 21% of budget devoted to defense. SA was isolated.


Sanctioning the state
Sanctioning the State

  • Chase Manhattan Bank refused to roll out SA loans

  • Sullivan Principles, a code of conduct for firms hoping to advance human rights and equal opportunity in SA

  • 1986, over Pres. Reagan’s veto, passed Comprehensive Anti-Apartheid Act, boycotting nearly all US commerce with SA

  • 1989, SA Pres. Botha suffered debilitating stroke.

  • F. W. de Klerk, president of NP took over.


Transition to democracy
Transition to Democracy

  • Before Botha’s stroke, he started covert meetings with Mandela. Bans on ANC lifted in 1990.

  • de Klerk and Mandela were aligned in short-term aims: saw political violence boiling and were determined to prevent either end of political spectrum from imposing its wished on the country

  • Agreed to conduct negotiating framework – the Convention for Democratic SA (CODESA)


Transition to democracy cont
Transition to Democracy (cont.)

  • Nov. 1993, Population Registration Act ended; independent homelands reintegrated

  • Jan. 1994, all white parliament voted interim constitution establishing SA as a multicultural nation granting citizenship to non-whites.

  • 1994, SA electorate voted choosing a parliament based on proportional representation and electing a Government of National Unity (GNU).

  • GNU committed to “power sharing” rather than “winner take all”. Any party that won 5% (20%) of national vote was guaranteed representation in the cabinet (deputy presidency).


Transition to democracy cont1
Transition to Democracy (cont.)

  • ANC got 63% of vote in April 1994 election

  • Truth and Reconciliation Commission in 1995

  • ANC moved to deliver campaign promise of change and redistribution with Reconstruction and Development Program (RDP)

  • Started with R2.5B in 1995 and R10B 1996.

  • Est. business plan and build houses for millions of SA. Pledge to build 1 million houses by 1999 and electrification of another 2.5 million homes.

  • Slow implementation. Value of Rand collapsed & President Mandela ended RDP in March, 1996.


Transition to democracy cont2
Transition to Democracy (cont.)

  • June 1996, a new macroeconomic strategy called Growth, Employment, and Redistribution (GEAR)

  • Obj.: 6% growth by 2000, 1.3 million jobs outside agriculture, fiscal deficit of 3% of GDP, privatization, and tariff reduction

  • Received tremendous opposition from all sides.

  • 1999, Thabo Mbeki became President of SA.


Legacies of apartheid
Legacies of Apartheid

  • 6 million SA blacks are unemployed

  • 9 million considered destitute

  • Over 10 million blacks had no access to running water

  • 23 million had no electricity

  • 60% black adults never attended school

  • Infant mortality: 7/1000 (whites), 80/1000 (blacks)


Key indicators 1 23 07 from economist intelligence unit source country data
Key Indicators (1/23/07)From Economist Intelligence Unit (Source:Country data)


Source
Source

  • Remaking the Rainbow Nation: South Africa 2002, Rawi Abdelal, Debora Spar, and Katherine E. Cousins, Harvard Business School.


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