How can South Africa end extortion's gunpoint rule?
Protection rackets are hampering projects and leaving citizens in fear of their lives. Can a commission into organised crime shift the dial?
South Africa's economy is gripped by a rapidly expanding crime problem that has transformed from local protection rackets into a nationwide issue. Organised extortion has spread to major infrastructure projects, logistics depots and township shops, forcing companies to divert investment into private security at the expense of productive investments.
As the Madlanga Commission investigates criminality, political interference and corruption in the criminal justice system, South African businesses are warning that extortion is no longer just a policing problem but an economic one that threatens the fabric of the nation's formal economy. Extortion costs businesses millions, with construction companies paying to continue building and truck operators paying to move cargo safely.
The Global Initiative Against Transnational Organised Crime (GI-TOC) ranks South Africa seventh globally for organised criminality among 193 countries, placing it alongside Colombia, Mexico and Ecuador. The Madlanga Commission's findings have put South Africa's reputation under international scrutiny, with The Economist warning that the country could become a "mafia state."
Written by urgent.news from Africa Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
