Economics: Commercial Trends
The financial sector accounts for 21% of
the DMA's total output. The backbone of Durban's financial activities are
banking and insurance services. "Four banks with headquarters in the
DMA have grown remarkably fast, and about 30 companies in the region are
listed on the Johannesburg Stock Exchange. Many companies with head offices
elsewhere have very large operations in the DMA, including all major national
banks accounting firms, business consultants and insurance firms. The rapid
growth of the insurance sector in KZN is manifested in rising levels of
investment in property" (Durban Economic Development Department, 1999).
Durban has among the lowest office rentals of any major city in the world. The DMA has worked very hard to prevent the exodus of businesses from its CBD. "On going efforts are made to enhance security, relations between formal and informal sectors, control of pavement traders, parking facilities, and cleanliness. Corporate tenants still favor office premises in the CBD, particularly on Victoria Embankment." The city planners hope that these conditions, when combined with the completion of the new international airport in 2010, will establish Durban as a world class commercial center.
| <<back | home | next>> |