Adrian Gore, CEO of Discovery Limited, a financial services group based in Sandton, said the company has committed to spending the bulk of the 13 billion rand it plans to invest in its operations over the next five years in South Africa.
Speaking at the Discovery Leadership Summit, Gore, who believes the fundamentals are in place for the local economy to grow, noted that part of the investment will go towards capital expenditure on the company’s infrastructure. He also said some of the funds will go into getting Discovery bank, which was supposed to be launched in the third quarter of 2018, off the ground. The company still plans to launch the bank in 2018.
New investments will also be made to improve Discovery’s business insurance offering, as well as other business operations the company plans to start. Gore said “the sum of those investments and our building as it goes through is a 13 billion rand investment. That might change but it’s pretty set”.
Gore reveals that Discovery is convinced South Africa’s economy will grow because the country has made considerable progress despite the challenges it is facing.
Gore said “we need a positive narrative to appreciate that South Africa has made progress so that we invest in the future. If the GDP were to contract, and I will be very surprised if that happened, it will be because we haven’t taken the opportunity”.
Discovery’s CEO said South Africans are always seeking negative signals. He said even in boom times, sentiment remained negative and the citizens always think the country’s problems are insolvable.