Renowned economist Dawie Roodt said there is no reason to leave South Africa, but those staying should make the right choices and protect their wealth.
South Africa faces many problems, including poor economic growth, an unstable political environment, high crime rates, and collapsing infrastructure.
Many skilled South Africans move to countries like Australia, the UK, Canada, and the United States to live in a safer and more stable environment.
However, Roodt argues that people can continue to enjoy the country’s great weather, food, family, and friends as long as they follow a few basic rules.
He said people should ensure they are safe. This may involve living in a security estate and avoiding risky situations.
They must also have the skills and technology required to participate in the advanced global economy.
Turning to wealth, Roodt advised South Africans to have a diversified portfolio, with a large portion invested abroad.
Apart from protecting your wealth against political and economic problems in South Africa, there are also more investment opportunities in international markets.
“Make sure you use the correct structures when moving money abroad. Get a good advisor to assist you,” he said.
One of the reasons Roodt feels that it is unnecessary to leave South Africa is because it is possible to work for global companies from anywhere.
He said one of his friends works for a bank in Kenya, although he has not set foot in the country.
“Economies today are not as physical as they used to be. This makes it possible to stay in South Africa and work in the global economy,” he said.
Roodt previously also advised South Africans to pay as little tax as possible without breaking the law.
He explained that taxpayers should object to the government’s overspending by using legal means to pay as little tax as possible.
“I encourage people not to break any laws but to make use of every possible loophole to pay as little tax as possible in South Africa,” he said.
“One rand in your pocket is worth much more than one rand in the pocket of the civil servants,” Roodt previously told delegates at the Tax Indaba.
However, he warned against a tax revolt or stopping to pay taxes altogether, as it would have severe consequences for the country.
“Once people stop paying taxes, including municipal levies, getting them to start paying taxes again – even under a new government – is difficult,” he said.
“Of course, you have to pay your taxes, but nothing more.”