FRANS CRONJE: South Africa is closer to a turnaround than we think
The GNU’s growing negotiating power is essential to long-term progress
Despite mounting anxiety over South Africa’s economic stagnation and political uncertainty, there remains a credible path to growth and stability if the right reforms are prioritised. The country is far more investable, capable, and aligned than the current narrative suggests.
One economic indicator I consider key to South Africa’s future is the fixed investment to GDP ratio, which currently sits at just 15%. At that level, it’s perfectly consistent with our economic growth rate of around 1%. If we want to lift growth to 4% or even 5%, we must close the fixed investment gap. That means lifting it by at least 10 percentage points to 25%...
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