TravelTill

Economy of Durban


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The Durban Metropolitan Area (DMA) has a large and diversified economy with strong manufacturing, tourism, transportation, finance and government sectors. Its coastal location and large port gives it comparative advantage over many other centres in South Africa for export-related industry. Durban's subtropical climate, warm marine current and culturally diverse population has also provided a drawcard for tourism to the region.

There has, however, been little growth in the number of jobs provided by DMA's formal sector over the past 20 years. The manufacturing sector, which is second only to government in the number of jobs provided, has been shedding jobs as firms restructure and become more capital intensive. High rates of crime have become a disincentive to growth in tourism and many other sectors. Despite this, Durban remains the third richest city in South Africa.



The central business district has experienced an economic decline due to crime and grime. Many corporate have relocated due to rampant decentralisation, especially to the Umhlanga area north of the city. This region has become a new central business district near the Gateway Theatre of Shopping.

Efforts have recently been made to attract business back to the city, with the new Durban Point Waterfront development south-east of downtown sporting uShaka Marine World and many new residential and leisure developments. It is hoped efforts by the city to clean up the business district, new developments in Point and the 2010 FIFA World Cup stadium north of the CBD (Moses Mabidha Stadium) will aid in the economic turnaround. In 2010 Durban was rated a Gamma Class World City
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