Deputy President Paul Mashatile: Interview with Foreign Correspondence Club

I would like to begin by officially thanking all the Ministers, Deputy Ministers, Senior Government Officials, the South African Embassy and all our counterparts for making this short visit a great success. 

The past three days have been very busy with the delegation and I meeting with the Prime Minister, Chief Cabinet Secretary, members of business, academia, research and numerous other stakeholders. Had we had more time we would have dedicated a few more days to this trip, however we all have responsibilities that await us as we go back to South Africa this evening and over the next few days.

On behalf of the delegation, we are grateful for the great hospitality and the opportunity to explore opportunities to expand our bilateral relations.

South Africa and Japan enjoy well-established diplomatic relations which are particularly strong in the fields of trade and investment; science and technology and education; skills transfer and capacity building through development assistance. Full diplomatic relations with Japan were established on 13 January 1992. In 2010, relations between the two countries were upgraded to a Strategic Cooperation Partnership. The year 2025 will mark 115 years of relations between South Africa and Japan.

South Africa and Japan cooperate within the framework of the Partnership Forum held at a Ministerial level which covers the entire spectrum of sectoral cooperation. The 13th Partnership Forum was held on 12 and 13 October 2022, in Tokyo Japan. South Africa is expected to host the next session of the Partnership Forum.

Over the years we have witnessed enhanced cooperation to foster closer relations through high-level engagements between our two countries. Japan is one of South Africa's major economic partners with a sizeable investment in the South African economy, and the potential for increased investment exists. Furthermore, Japan is the 4th largest economy in the world and total bilateral trade between the two countries in 2024 was R132 billion, with South Africa recording a trade surplus of R52 billion.

Cooperation between South Africa and Japan on development cooperation is based on technical assistance, research collaboration, financial assistance through loans, supplementary budget assistance through international organisations and grassroot projects through a partnership with the Japan International Cooperation Agency (JICA).

In terms of multilateral cooperation, Japan cooperates with Africa on the promotion of Africa’s developmental agenda, in line with Agenda 2063, through the Tokyo International Conference on African Development (TICAD) framework. The TICAD Ministerial Meeting held in August 2024 served as a precursor to the TICAD 9 Summit scheduled for August 2025 in Yokohama, Japan.

Furthermore, the two countries cooperate in the G20 framework with the objective of strengthening efforts towards advancing international economic cooperation for the achievement of sustainable development. 

As some of you might be aware, last year we emerged out of a National General Election that changed the trajectory of what governance looks like in our country. 

Following these elections, South Africa formed a multi-party government with ten political parties forming what we now refer to as the Government of National Unity (GNU). The GNU has agreed on a statement of intent committed to respecting the Constitution and the rule of law and to promoting accountability, transparency, integrity, and good governance. 

Some of the key areas of this GNU are; to reduce poverty and the cost of living, to drive economic growth and job creation and to build a capable and ethical state.

We are committed to making sure that our country prospers, not only for us to attract investments, but also to ensure that South Africans, have an improved quality of life.

Ladies and Gentlemen,

Over the past few weeks an issue that has gained traction in public discourse is that of South Africa and the United States of America’s diplomatic relations. As a country, we are focusing on stabilising our relations with the USA, considering that our partnership is long-standing and has been, and is critical to our economic development goals.

For South Africa, the withdrawal of PEPFAR funding highlights the urgent need for South Africa to further strengthen its own interventions to reach the most vulnerable and access health services and support. The withdrawal urges us to explore other avenues to support our health initiatives, an area where we also already have a partnership with Japan and seek to explore it further through our partnership with JICA.

Acknowledging the recent withdrawal of our Ambassador from the USA, as a country we maintain the position that South Africa should maintain strong bilateral relations with the USA. As a country, we are committed to improving mutually beneficial trade, political, and diplomatic relations with the USA.

Having said this, we are also looking to considering avenues of diversifying our export markets to lessen our reliance on single trading partners. In addition to Japan, we are exploring opportunities to expand our trade relations with other countries, such as China, Russia, India, and European countries.

We are also committed to taking advantage of the intra-Africa trade and financial cooperation through the African Continental Free Trade Area (AfCFTA). According to estimates of the World Bank, once fully implemented, the AfCFTA could record an increase in intra-Africa FDI of 68% and external investment by 122%. Of the 54 signatories, 48 countries have thus far deposited their instruments of ratification. The creation of the AfCFTA, therefore, presents a unique opportunity for Japan to invest in and trade with this bloc which has a market size of 1.3 billion people. 

As you know, South Africa has assumed the G20 Presidency under the theme Solidarity, Equality, Sustainability. Our intention during this Presidency includes placing Africa’s development at the top of the agenda.

It is important to ensure that the G20 remains sensitive to the needs of the developing economies of Africa and to advance the interests and aspirations of the Global South.

As President Ramaphosa has said during the G20 Finance Ministers’ and Central Bank Governors’ Meeting, South Africa has identified four priorities for its G20 Presidency.

Our first priority is to strengthen disaster resilience and responses. This is important, as we have recently witnessed floods across South Africa, affecting both our coastal and inland provinces. 

The second priority is to ensure debt sustainability for developing economies. The G20 will prioritise debt sustainability for developing economies, address rising sovereign debt levels and servicing costs, demonstrate leadership in addressing global economic imbalances, and fill the funding gap necessary to achieve the Sustainable Development Goals.

The third priority of South Africa's G20 Presidency is to mobilise finance for a just energy transition. South Africa's G20 presidency aims to mobilise financing for a just energy transition by focusing on limiting global temperature rises in an equitable and just manner.

The fourth and final priority is harnessing critical minerals for inclusive growth and sustainable development. Our hosting of the G20—and the Business 20—provided an opportunity to promote South Africa as a business and investment destination and for the country to take the lead on global economic challenges. 

As this delegation goes back to South Africa, we have a collective mandate to bring to life some of the discussions and agreements that we have had with our counterparts and other stakeholders here. We are motivated and will do everything it takes to make sure that our bilateral relations exceed another 115 years, with sustainable economic, cultural and people-to people benefits for the people of both our countries.

Thank you.