1. Department of International Relations & Cooperation 2016/17 Annual Report Briefing to the NCOP Select Committee on Trade and International Relations
8 NOVEMBER 2017

2. PRESENTATION OUTLINE Part A – General Overview
Part B – Service Delivery and Performance Information
Part C – Human Resource Management
Part D – Financial Reporting Information

3. PART A: GENERAL OVERVIEW

4. GENERAL OVERVIEW
The Annual Report reflects the collective and tireless efforts for the realization of the department’s mandate as outlined in the Medium Term Strategic Framework based on the National Development Plan 2030
During the reporting period, DIRCO’s international relations program continued to be implemented within the global environment that was characterized by unpredictability, insecurity, rise in terrorism, growing political volatility and right wing populism.
The international environment is compounded by the continuing hardships as a result of slow down in economic growth.
4. Notwithstanding these challenges the following notable achievements are recorded:
Southern African Development Community (SADC) region remains amongst SA’s biggest trading partner. Consequently, SA’s objective of regional integration within SADC remain a priority in line with the vision of an integrated continent consistent with AU Agenda (Vision 2063)

5. GENERAL OVERVIEW
South Africa remains actively engaged in peace building initiatives in the region.
SA’s leadership and participation in BRICS,IBSA, SADC, FOCAC, etc., SA contributed to the realization of the NDP and the Agenda 2063 goals.
SA continued to play an active and constructive role through its leadership and participation in various sub-regional, regional and international organisations
SA has continued to participate in the G20 to advocate the interests of Africa and the developing world.
SA continues as a member of the African Union Peace and Security Council.

6. GENERAL OVERVIEW
SA, through its leadership of the G77, was key in the finalisation of the United Nations’ Sustainable Development Goals (SDGs), and the agreement on Financing for Development.
The breakthrough in the climate change in Durban COP17 laid the foundation for the successful adoption of the Paris Agreement.
SA has consistently advocated for greater understanding of SA’s foreign policy through a regular programme of media briefings, public participation programme (PPPs) and publications.
DIRCO continued to operate an internet based radio station with a growing listenership that extends across the Continent, and which is also available on DSTV’s audio bouquet Channel 888.

7. GENERAL OVERVIEW
DIRCO continues to provide consular services to SA nationals abroad through its missions as well as protocol services to the numerous visiting Heads of States and Government and foreign dignitaries and delegation.
During 2016/17 financial year, the construction of chanceries in Dar es Salaam, Tanzania, and Lilongwe, Malawi, as well as three staff accommodation units was completed.

8. PART B: PERFORMANCE INFORMATION

9. PROGRAMME 2: INTERNATIONAL RELATIONS
Achievements
22 out of the planned 34 Structured Mechanisms
and
26 out of 46 planned High Level Visits
Utilised the structured mechanisms and high level visits to:
Agree on the removal of trade barriers on products such as beef and wine, and improving trade balance.
Conclude 44 MOU’s focussing on areas such as, cooperation on special economic zones and industrial parks, cooperation on production capacity and higher education, and Agreements paving the way for increased exports of SA products, e.g. Protocol on the exportation of South African frozen beef to China.
Engage on regional and global security issues including Terrorism and Middle East Peace Process. Opportunities were also created in the defence industry, energy, and construction, transport and manufacturing industries through a combination of bilateral and business delegation engagements.

10. PROGRAMME 2: INTERNATIONAL RELATIONS
Achievements
22 out of the planned 34 Structured Mechanisms
and
26 out of 46 planned High Level Visits
Utilised the structured mechanisms and high level visits to:
Share experiences, expertise and best practices in the strategic areas of cooperation, namely tourism, mining, health, UN Reform, the pharmaceutical sector and encouraging private sector investment in South Africa.
Specific emphasis was placed on expanding trade, and closer cooperation in the areas of skills exchange, mining, science and technology.
Successfully intervened to overcome challenges with regard to the implementation of the SADC-EU Economic Partnership Agreement (SADC-EU EPA).  South Africa achieved improved market access under the EPA on fisheries and agricultural products including wine, sugar and ethanol, as well as improved access for exports of flowers, some dairy, fruit, and fruit products.

11. PROGRAMME 2: INTERNATIONAL RELATIONS SOUTH AFRICA’S ECONOMIC DIPLOMACY
Targets
Achievement
Results
112 Trade and Investment
Seminars
124
Exports for the year-to-date - 1 January to 31 December grew by 5.8% from R1 036bn in 2015 to R1 096bn in 2016
Sourced >200 scholarships and >2000 training opportunities
Development Assistance CAD$33 million to fund developmental projects, such as the Nelson Mandela Children’s Hospital
Increase in trade resulted in job opportunities ( since 2004)
Expansion of existing production capacity (R17 billion)
Increase in tourist arrivals
126
engagements with Chambers of commerce
127
86 meetings with potential investors
102
64 meetings government ministries
120
67 Tourism promotion 67

12. PROGRAMME 2: SADC FOCUS AREAS OF TARGETS ACHIEVEMENTS
Southern African Development Community (SADC)
Peace and stability; socio-economic development; good governance and democracy and regional integration
Participated at various SADC Structures:
Discussed peace and security challenges, particularly in Lesotho, DRC and Madagascar;
Election of South Africa as Incoming Chair of SADC for ;
Considered progress on the establishment of the National Early Warning Centre by Member States, SADC Regional Counter Terrorism Strategy;
Approved the Costed Action Plan for the SADC Industrialisation Strategy and Roadmap (2015 – 2063) and its Governance Structure;
Approved of the renewal of contracts of the SADC Executive Secretary and Deputy Executive Secretary: Regional Integration was approved for another term of 4 years;
The SADC Organisational Structure was approved
Participated in three election observer missions, (the SADC Long Term Election Observation (LTO) Mission and General Elections in Zambia and the General Elections in Seychelles

13. PROGRAMME 3: INTERNATIONAL COOPERATION
FOCUS AREA OF TARGETS
ACHIEVEMENTS
Negotiate and influence three Human Rights Council sessions for the
Promotion & protection of human rights
Negotiated and influenced the adoption of resolutions to strengthen outcomes to meet the needs of South Africa, Africa and developing countries:
Violence against Women, its “Causes and Consequences;
Freedom of Expression on the Internet;
Human Rights, Sexual Orientation and Gender Identity; Civil Society Space;
South Africa upheld the call to support early childhood education for refugee children, and that asylum seekers and refugees are accorded these rights immediately on applying for asylum.
Disarmament, nuclear security and Non-proliferation
Continued the promotion of peaceful uses of nuclear energy and the safety and security of nuclear energy.
Prepared for, and participated in, the 60th Regular Session of the IAEA General Conference which focused on the implementation of previous resolutions with reference to: Nuclear Applications; Nuclear Safety; Nuclear Security
South Africa’s Permanent Representative to the IAEA was elected as the Chair of the Board of Governors (BoG) from October 2016 to October 2017.

14. PROGRAMME 3: INTERNATIONAL COOPERATION
FOCUS AREA OF TARGETS
ACHIEVEMENTS
Economic and Social
Prepared for, and participated in, the WEF Summit and the key messaging focused on attracting foreign investment to South Africa and promoting the country as an open and viable investment destination
South Africa’s key achievements included promoting 2016 as the year of global implementation for driving a programme that will entail participating countries mainstreaming SDGs into their National Action Plans
Environment
SA Chaired and hosted CITES-COP17 and through intensive negotiations and lobbying, SA achieved success in having all its proposals and working documents adopted by the COP;
South Africa coordinated the NEPAD resolution on behalf of the G77 and China (G77). The three resolutions were adopted by consensus and reflected South Africa, and Africa’s policy positions and interests
G20
Participated in the G20 summit and key outcomes included:
the G20 Action Plan on the Implementation of the 2030 Agenda on Sustainable Development;
the launch of the G20 Initiative on Supporting Industrialisation in Africa and Least Developed Countries (LDCs)

15. PROGRAMME 3: CONTINENTAL COOPERATION
FOCUS AREAS OF TARGETS
ACHIEVEMENTS
African Union (AU)
Peace and stability; socio-economic development; good governance and democracy
Advanced Africa Agenda through participation at AU structures, major outcomes included :
Mr Moussa Faki Mahamat of Chad was appointed per consensus as the new Chair of the AU Commission
The admission of Morocco as a member of the AU.
Key decisions were also taken on the Continental Free Trade Area and institutional reforms of the AU
Utilised AUPSC membership to promote peace and security on the continent. The session issued a communiqué on the situation in South Sudan and condemned the ceasefire violations and called for an urgent ceasefire
Provided logistical support for two PAP Sessions held in Midrand
Provided support to the 35th NEPAD HSGOC .
South Africa briefed the meeting on the implementation of FOCAC decisions taken at its December 2015 Summit in Johannesburg

16. PROGRAMME 3: SOUTH-SOUTH COOPERATION
FOCUS AREAS OF TARGETS
ACHIEVEMENTS
G77 Meeting of Foreign Affairs Ministers
The meeting focused on the implementation of the key development outcomes previously adopted
FOCAC Foreign Ministers’ Meeting
The meeting assessed the post-Summit progress made in bilateral and multilateral cooperation to implement the Summit outcomes under the FOCAC framework;
Expedite the implementation of the follow-up actions of the Johannesburg Summit of FOCAC held on 4 and 5 December 2015
Indian Ocean Rim Association (IORA)
South Africa served as the Vice Chair of the Committee of Senior Officials to oversee the commitments of IORA Member States in support of IORA projects and initiatives.
South Africa briefed the meeting on the preparations for and priorities to be pursued during its upcoming Chairship
The IORA action plan was welcomed and Member States recommitted to the objectives of IORA

17. PROGRAMME 3: SOUTH-SOUTH COOPERATION
FOCUS AREAS OF TARGETS
ACHIEVEMENTS
BRICS
Participated at the:
Eighth BRICS Summit where the Leaders adopted the Goa declaration and action plan
Meeting of BRICS leaders on the margins of the G20 Summit and exchanged views on global and regional issues in the economic and political spheres;
Meeting of the Sherpas in Goa where South Africa’s foreign policy positions were represented and reflected in the draft Goa Declaration;
First BRICS Sherpa/Sous-Sherpa meeting and engaged on the theme proposal for China’s Chairship of BRICS in 2017 and also identifying the key priorities for BRICS in 2017
IBSA
Participated in the IBSA Focal Meeting where issues pertaining to the functioning of the IBSA forum were reviewed
Continued to work with IBSA fund for poverty alleviation

18. PROGRAMME 3: NORTH-SOUTH COOPERATION
FOCUS AREAS OF TARGETS
ACHIEVEMENTS
Tokyo International Conference for African Development (TICAD VI)
Prepared for, and participated in, the 6th Summit of the TICAD focussing on:
The Nairobi Declaration;
The Ebola outbreak and;
Identified radicalisation, terrorism and violent armed conflict as three major emerging challenges for Africa and seeks to address these challenges through three main Pillars aimed at promoting structural economic transformation, promoting resilient health systems and quality of life, and promoting stability for shared prosperity

19. PROGRAMME 4: SUB-PROGRAMME Promotion and Branding SA and DIRCO
4.1: PUBLIC DIPLOMACY
18 targeted media briefings;
186 over the target of 160 media statements;
14 over the target of 10 opinion pieces
Setting the agenda
Five statutory and 10 internal publications produced
Nine over the target of four stakeholder publications produced
Ubuntu magazine available in digital format and SAA business lounges
Own platforms
PUBLIC DIPLOMACY
Promotion and Branding SA and DIRCO
19 over the targeted 12 Public Participation Programmes undertaken to create greater awareness of SA’s foreign policy priorities
Hosted the Annual Diplomatic Fair
Hosted the 3rd Annual Ubuntu awards

20. PROGRAMME 4 4.2: STATE PROTOCOL
Provided Protocol Services for state and ceremonial events, incoming and outgoing visits
Provided protocol services for 64 incoming and outgoing international visits for principals
Facilitated 27 333 dignitaries through the State Protocol Lounges
Provide immunities and privileges for the Diplomatic Corps
Issued diplomatic passports & visas
Responded to requests for Diplomatic accreditation
Responded to requests for Diplomatic privileges
Provide Consular Services and legalisation
Responded to 847 requests for consular assistance
Legalised 52 445 documents

21. PART C: HUMAN RESOURCE MANAGEMENT

22. Human Resource Management & Development
84% (225 of 269) of eligible SMS performance agreements for 2016/17 were signed and submitted of which 66% (178) were submitted and filed by the due date
83% (10 of 12) of disciplinary cases finalised within 90 days from date being initiated (improvement from 62,5% reported in the previous year)
60% (12 out of 20) lodged grievances handled within 30 days (improvement from 47,2% reported in in the previous year)
Diplomatic Academy trained 974 officials from DIRCO and other government departments through different Foreign Service training programmes. Included in the training programmes is the preparation of heads of mission for their postings abroad as well as the training of young South African graduates in the Johnny Makhathini Ubuntu Diplomatic Corps Cadet Programme.

23. Human Resource Administration
Number of approved posts: 2442 (excluding Locally Recruited Personnel)
Number of filled posts: 2220
Number of vacant posts: 222
Vacancy rate: 9,09%(compared to 12,9% in the previous financial year) which demonstrate an achievement towards the national average

24. Employee Health and Wellness
Provided services to a total of 554 officials and family members who were referred to EHW during the 2016/17 financial year.
Provided primary health and pre-travel medical services to DIRCO employees and managers through the On-Site Occupational Health Clinic.
On average 673 DIRCO officials utilised the On-Site Clinic services during the 2016/17 financial year.

25. PART D: FINANCIAL REPORTING INFORMATION

26. ANNUAL APPROPRIATION STATEMENT
Appropriation per programme
2016/2017
2015/2016
Final Appropriation
Actual Expenditure
Variance
Expenditure as % of final appropriation
R'000 %
Programme 1
ADMINISTRATION
6 766
99,6% 2
INTERNATIONAL RELATIONS
978
100,0% 3
INTERNATIONAL COOPERATION
19 007
96,1% 4
PUBLIC DIPLOMACY AND PROTOCOL SERVICES
947
99,7% 5
INTERNATIONAL TRANSFERS
(33 977)
104,3%
Programme sub total
(6 279)
100,1%

27. ANNUAL APPROPRIATION STATEMENT
Appropriation per economic classification
2016/2017
2015/2016
Final Appropriation
Actual Expenditure
Variance
Expenditure as % of final appropriation
R'000 %
Compensation of employees
101,4%
Goods and services
66 107
97,5%
Interest on unitary payments (PPP))
68 280 -
100,0%
55 378
Transfers and subsidies
104,1%
Payments for capital assets
4 700
98,3%
Payment for financial assets
17 322
100,1%

28. 2016/17 PERFORMANCE OUTCOME
For the period under review, the Department reported a net shortfall of R6,3 million.
Compensation of employees reported an expenditure of R3,115 billion against the budget of R3,071 billion which represented a variance of 1,4%.
The Department will continue to work on the measures to reduce the salary bill in 2017/18 as part of fiscal consolidation.
Included in the financial report is an unauthorised expenditure amounting to R33,9 million as a result of an increase on the African Union assessed membership contribution, including the foreign exchange fluctuation.
The department continues to engage National Treasury on the need for an alignment between the Department’s budget planning cycle with that of the AU financial year, including the foreign exchange fluctuations.

29. 2016/17 PERFORMANCE OUTCOME
The Department focused its energy in addressing the material findings, on Asset Management, in particular, Heritage Assets and Moveable Assets.
The identification of heritage assets was completed with the assistance of National Treasury and the Ditsong National Museum of Cultural History.
The Assets register clean up was dealt with successfully
Accordingly, the Department received an unqualified audit opinion.