IMF cuts SA’s 2017 growth forecast due to joblessness and economic uncertainty
The fund says SA’s growth and employment can be buoyed by more inclusive labour market policies, better education and training, and fewer infrastructure gaps
THE International Monetary Fund (IMF) has left SA’s 2016 economic growth forecast unchanged but cut the outlook for 2017, citing the effects of lower commodity prices, high unemployment and policy uncertainty on the economy.SA’s economic outlook was “clouded by policy uncertainty and political risks,” the global lender said in its World Economic Outlook report released on Tuesday. The document gives an update on global economic developments and projections for world growth.It left the 2016 growth forecast for SA at 0.1% but lowered that for 2017 to 0.8% from the 1% it projected just two months ago.The country’s growth and employment could be boosted by the implementation of a comprehensive structural reform package that fostered greater product market competition, more inclusive labour market policies and industrial relations, and improved education and training, as well as reduced infrastructure gaps, the IMF said.“Measures to improve state-owned enterprises’ efficiency and governa...
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