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South Africa Loses R2,6bn Due To New VISA Regulations

South Africa is meant to relax the in-person biometric visa application requirement as well as the requirements for all children to leave and enter the country with certified unabridged birth certificates this month after reportedly losing R2,6bn due to the new VISA regulations.

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The South African interministerial committee (IMC) is expected to propose that the biometric visa application be made on arrival in SA.The committee is in the process of finding a balance between the security of SA citizens and the health of its tourism sector.

Southern Africa Tourism Services Association CEO David Frost raised his concerns on why the IMC, which was set up in August, had not yet consulted the industry saying, “the fact is that we have been totally excluded from this process. While tourism businesses are decimated because of these regulations, a group of bureaucrats are meeting behind closed doors to come up with a compromise that suits them. The fact is that Gigaba could have simply scrapped these regulations when he came into office (they were first drafted under his predecessor Naledi Pandor). Instead he has defended them using bogus figures. He now finds himself in a hole that is totally self-excavated.”

About 1,4m people are employed by tourism directly and indirectly in SA and, on average, 5,5 people are supported by every person employed in tourism.

Data from the Airlines Association of Southern Africa for June, July and August 2015 shows a 44% decline in the number of children under the age of 18 traveling in and out of SA compared with the same period in 2014. In July these ticket sales had decreased by 20% compared with July 2014. In August and September there was a 23% and 24% decrease respectively.

Despite all the stats, the Home Affairs Minister, Malusi Gigaba says the decline isΒ  a result of a slowing global economy, especially the Chinese economy.

A Grant Thornton study estimates that these regulations will cost the economy R2,6bn this year and a potential 5 800 jobs.

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