World Bank urges SA to speed up economic reforms
Global development bank says SA’s medium-term economic growth outlook is too low to curb record unemployment and improve social conditions
The World Bank has urged SA to speed up economic reforms, saying that while the country will emerge from the Covid-19 crisis weaker than before the pandemic it creates an opportunity for the government to implement growth-enhancing policy changes.
The global development bank said in the 13th edition of its SA economic update, released on Monday, that it expects the domestic economy to expand 4% in 2021, up from the 3% forecast in its April 2021 Africa’s Pulse publication, but said the expansion will be hampered by long-standing structural constraints. These include weak investment, electricity shortages, high transport and logistical costs, and historically high unemployment that has been worsened by Covid-19 and subsequent lockdown restrictions...