An important element of the defense programme has been the creation of state-run enterprises, who have become major international borrowers and work closely with transnational corporations in the development of the armaments industry. The pervasive presence of these transnational corporations has thus facilitated the development of an industrial economy geared to the needs of the white monority, as well as its protection through the build-up of a strong military capability. The extent to which South Africa has been successful in these endeavours is due in large part of the influx of foreign capital and investment including bank loans. While most developing countries have serious difficulties obtaining new loans, South Africa appears to have easy access to international credit, sometimes on extremely favourable terms. While it has been hoped that the operations of transnational corporations would contribute to peaceful change in South Africa, the sad fact is that the situation has not gotten better, but worse.
Blacks continue to die and suffer in virtual slavery.
Nelson Mandela a prominent and seriously ill human rights activist has been for many years incarcerated in one South Africa's worst prisons. South Africa has been emboldened to step up military intervention against neighbouring states and has been able to stall the process of independence for Namibia. As international awareness of the continued repression in South Africa grows, so has the pressure on transnational corporations and on their home governments to act toward a real solution. There are essentially three viewpoints. Some maintain that transnational corporations should continue their operations in South Africa in order to influence the process of peaceful change towards the abolition of apartheid .