Cape Town - While the youth still represented about half of the population in the Western Cape, data has revealed that the elderly, aged 60 and above, is increasing, while fertility rates have dipped, pointing to an ageing society.
These are some of the findings contained in the 2024 Provincial Economic Review and Outlook (Pero) tabled by Western Cape Finance MEC Deidré Baartman in the legislature yesterday.
The annual publication aims to inform and guide policymakers, departments and municipalities on socio-economic trends that will impact on policy, planning and budgeting in the Western Cape.
Baartman said weak logistical networks and deteriorating public transport systems undermined the full economic potential of the province’s economy. Railway transport, once the backbone of the public transport sector, had declined owing to years of national government under-investment and vandalism.
She said the tourism sector in the province had largely recovered from the Covid-19 pandemic restrictions.
The province’s unemployment rate stood at 22.2% in the second quarter of 2024. “While this is still the lowest rate among South African provinces, it remains high by global standards,” Baartman said.
The province had a youth unemployment rate of 31.2%, while the national average was 46.6%.
Trade, manufacturing and agriculture all recorded declines in employment. There was a rise of informal employment, particularly in private households, where informal jobs grew by 45.9% between 2019 and 2024.
“Although informal work provides vital income for many, the lack of security and benefits could deepen economic vulnerability for these workers, especially during economic downturns.
“On the other hand, the low fertility rate can be attributed to the rising costs of childcare; individuals moving to urban areas and gaining better access to social services; better access to contraceptive methods; and changing societal norms around family structures,” Baartman said.
“The primary driver behind lower fertility rates is higher levels of education, particularly among women. This tells us that more and more young women in the Western Cape are receiving access to education and are delaying parenthood in pursuit of economic opportunities and financial independence.”
Over the past five years, the province has seen an improvement in learner retention for both primary and high school, indicating a decline in school drop-out rates and an increase in learners completing their schooling.
“Retention rates improved from 86% in 2019 to 93% in 2023 for primary schools, and for high schools the retention rates improved from 65% in 2019 to 71% in 2023.”
Challenges within health care include the shortage of health-care professionals, particularly nurses.
The increase in migration to the province has added to existing housing challenges, with the registered housing demand increasing by 83.2% between 2015 and 2024.
“The rise in construction mafias targeting government infrastructure projects is a cause for concern. These extortionists and their criminality are delaying housing projects, driving up construction prices, jeopardising the safety of workers and communities, and delaying access to dignified housing for our residents,” Baartman said.
Cape Argus