The good news is that, compared with gross domestic product (GDP) growth rates of 0,8% and 0,5% in 2023 and 2024, respectively, growth improved to 1,1% in 2025.

Prof. Raymond Parsons, economist from the North-West University (NWU) Business School, says the latest figures for 2025 that were released by StatsSA confirm that South Africa has been experiencing a slow and uneven economic recovery over the past year.

He says household spending continues to do much of the heavy lifting in sustaining economic activity.

South Africa must not underestimate the potential negative economic and business implications that could yet unfold for many economies as a result of the United States (US)-Israel attack on Iran.

Prof. Raymond Parsons, economist from the North-West University (NWU) Business School, says although it is still early days in the conflict, it is already evident that travel and tourism in the Middle East have been disrupted, with flights having been cancelled on a large scale.

The 2026 Budget positions itself as a moment of stabilisation after a decade of fiscal strain.

Prof. Joseph Sekhampu, chief director of the NWU Business School

The overall welcome impact of the 2026 Budget, introduced in Parliament on 25 February, on the economy will be positive and confidence-building. The markets will also price in what is a “good news” Budget in favourable fiscal circumstances.

Prof. Raymond Parsons, economist from the North-West University (NWU) Business School, says Finance Minister Enoch Godongwana has displayed a credible pair of hands in playing well the better economic cards he now holds to address the inevitable competing demands on South Africa’s still limited public finances.

The decision by the United States (US) Supreme Court that President Donald Trump’s reciprocal tariffs are illegal is a welcome respite for many countries, including South Africa, who have had to grapple with an aggressive US tariff policy in recent times.

By Prof. Joseph Sekhampu, chief director of the NWU Business School.

Every society organises its economy around a set of implicit bargains about power, access, and reward. Those bargains determine who enters markets easily, who must navigate layers of permission, who receives protection, and who absorbs risk. The labour market does not rise above this architecture. It reflects it.

In the usual wide-ranging State of the Nation Address (SONA) President Cyril Ramaphosa emphasised the extent to which South Africa is now at a turning point and needs to capitalise on recent positive developments to build a much bigger, stronger and better economy.

By Prof Joseph Sekhampu, chief director of the NWU Business School

The 4 to 2 majority decision by the Monetary Policy Committee (MPC) on 29 January to pause its interest rate easing cycle and leave the repo rate unchanged for now was widely expected.

Prof. Raymond Parsons, economist from the North-West University (NWU) Business School, says the MPC majority view provided a plausible case as to why it was considered necessary to further entrench inflationary expectations amid ongoing global uncertainty before making a further cut in borrowing costs for businesses and consumers.