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South Africa’s Economic Challenges

1

Since 2008, South Africa’s ratio of public debt to GDP has tripled — from 24% to 75%.

2

South Africa spends around 20% of government revenues to service its debts — about as much as on health and policing combined.

3

South Africa’s GDP has grown by just 1.3% on average since 2008 — slower than the annual growth in population (1.4%).

4

The ANC has built a patronage state that has repeatedly given civil servants above-inflation pay rises, bailed out failing state-owned enterprises and stolen vast sums through corruption.

5

South Africa is the world’s largest producer of platinum, gold and chromium, contributing significantly to its exports and GDP.

6

However, poorly managed transport infrastructure — such as railways and ports — hinders exports and overall economic productivity.

7

South Africa has one of the highest inequality rates globally. Poverty is widespread, and it has a Gini coefficient of 0.67.

Sources: The Economist, Al Jazeera, WTO, Our World in Data

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