CAPE TOWN - South Africa is ramping up investment in its enormous critical mineral potential with mining a "sunrise industry" that holds the promise of transforming the economy, President Cyril Ramaphosa said.
Laying out government's priorities for the next year, Ramaphosa said a focus was on firing up the sluggish economy to create jobs for inclusive growth in a country marked by massive economic inequalities.
"After many years of declining investment in exploration, we are dedicating funds towards geological mapping and exploration to harness our critical mineral reserves," Ramaphosa said in his annual state of the nation address.
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"South Africa has some of the world's largest reserves of critical minerals," he said.
"Our ore reserves are valued at more than R40-trillion rands, making mining a sunrise industry."
Projects to exploit rare earth minerals needed for products like smartphones and lithium batteries were attracting massive investment, Ramaphosa said.
New mines for gold, copper, rare earths, platinum and coal were opening, he said.
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"The transformation of our economy is necessary to drive sustained growth, to reduce inequality and correct the injustices of the past," Ramaphosa said.
The government was refining its black economic empowerment programme "to ensure that it supports greater transformation and inclusive growth," Ramaphosa said.
Job creation was essential, he said, with unemployment nearing 32 percent.
South Africa's high crime rate made business reluctant to invest, the president said, announcing the deployment of the army to areas gripped by deadly gang violence and crime linked to illegal miners.