New Market Study Published: South Africa Defence & Security Report Q3 2010

New Defense market report from Business Monitor International: "South Africa Defence & Security Report Q3 2010"
 
June 20, 2010 - PRLog -- As South Africa gears up for the FIFA World Cup which will take place over June- July 2010, race relations have been propelled up the political agenda by the murder of a prominent white supremacist in April. While the incident has stoked fears of an eruption of racial tensions, we believe these will be contained, especially over the coming months. With South Africa very much in the international spotlight, the government will be seeking to promote the nation as an attractive market and civil unrest will be guarded against. Meanwhile, the economic recovery is gaining traction, with growth having come in at 0.8% q-o-q (SAA) in Q409, following a weaker 0.2% q-o-q in Q309. Although the consumer remains under pressure, exports are rebounding strongly and a range of recent monthly data releases suggest that economic activity is expanding, albeit at a somewhat subdued pace.

As mentioned, the political scene has been rocked by the murder of a prominent white supremacist - Eugene Terre'blanche. Yet, lively debate also continues on other issues, especially the inflation-targeting mandate of the South African Reserve Bank (SARB) and the strength of the rand. While the authorities are cognizant of the difficulties faced by exporters, they are maintaining market-friendly policy and we expect this to continue over the medium term. On a separate note, President Jacob Zuma has lost some credibility following revelations in February 2010 that he had fathered a child with a woman who was not his wife. In the aftermath of the scandal, we expect Zuma to tread carefully since the opposition will seek to capitalise on any further perceived misdeeds.

On the economic front, we are encouraged by the aforementioned latest growth data. Furthermore, the interest rate environment is now more conducive to economic activity than previously envisaged, following the SARB's decision to reduce the benchmark repo rate by 50 basis points to 6.50% on March 25, 2010. Against this backdrop, and factoring in the extended fiscal stimulus as well as the growth boost from World Cup, we have upwardly revised our forecast for real GDP growth in 2010 to 3.0% from 2.6% previously. Nevertheless, we retain our view that the recovery will be fairly tepid, owing to a weak consumer sector, a small contraction in private investment, and a rebound in imports.

Domestic arms producers have been forced to make significant adjustments in light of increased foreign competition, which has occurred as a result of the lifting of arms embargos. It is imperative that the South African defence industry breaks into international markets. The key factors presently holding back the industry are a lack of funding, policy, and research and development (R&D).

The significant players remain Denel, the former manufacturing divisions of Armscor, and the subsidiary of BAE Systems, Land Systems South Africa. Others are African Defence Systems (ADS), Grintek Defence & Technologies, Reutech, and the civil and military aviation industry specialist, Aerosud.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/67727_south_africa_defence_sec...

Partial Table of Contents:

Executive Summary SWOT Analysis
- South Africa Security SWOT
- South Africa Defence Industry SWOT
- South Africa Political SWOT
- South Africa Economic SWOT
- South Africa Business Environment SWOT
Global Defence Overview
- United States: Major Tests For Obama In 2010
- Table: Election Timetable, 2010
- Western Europe: Fiscal Austerity Will Be Unpopular
- Central And Eastern Europe: New Governments, Old Problems
- Middle East: Ongoing Challenges
- Africa: The Election Conundrum
- Asia: Broadly Stable, But 'Rogues' Need Vigilance
- Latin America: Political Risks Contained, But Watch Cartels
- Wild Cards To Watch
Security Risk Analysis
- BMI's Security Ratings
- Table: Middle East And Africa Defence And Security Ratings
- Table: Middle East And North Africa State Vulnerability To Terrorism Index
- South Africa - Security Ratings
- City Terrorism Rating
- Table: BMI's Africa City Terrorism Index
Political Overview
- Long-Term Political Outlook
Security Overview
- Internal Security Situation
- Table: Insurgent Groups In South Africa
- Latest Developments
- External Security Situation
Armed Forces And Government Spending
- Armed Forces
- Table: Regional Armed Forces, 2010 (including conscripted)
- New Role For The SANDF
- Acquisitions
- HIV/AIDS
- 'Army Vision 2020'
- International Deployments
- Table: South African Foreign Deployments
- Weapons Of Mass Destruction
Market Overview
- Arms Trade Overview
- Industry Trends And Developments
- Procurement Trends And Developments
- Air Force
- Navy
- Army
- Latest Developments
Industry Forecast Scenario
- Defence Outlook
- Table: South Africa's Armed Forces, 2007-2014 ('000 personnel)
- Table: South Africa's Government Defence Expenditure, 2007-2014
- Macroeconomic Outlook
- Table: South Africa - Economic Activity, 2007-2014
Company Profiles
ADS (African Defence Systems)
- Aerosud
- BAE Systems Land Systems South Africa
- Denel
- Grintek Defence & Technologies
- Reutech
Country Snapshot: South Africa Demographic Data
- Section 1: Population
- Table: Demographic Indicators, 2005-2030
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Full Table of Contents is available at:
-- http://www.fastmr.com/catalog/product.aspx?productid=6772...

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
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