IMF slashes South Africa’s GDP growth forecast for 2024
(005875.811-:E-000062.43:N-AC:R-SU:C-30:V)
The International Monetary Fund downgraded its economic-growth forecasts for South Africa, warning that logistical challenges are constraining activity and acting as a drag on the entire region.
Africa’s most-industrialized economy will likely grow a meagre 1% this year, significantly slower than the IMF’s forecast in October, when it saw South Africa’s gross domestic product expanding by 1.8%, the Washington-based lender said Tuesday in an update to its World Economic Outlook.
That’s due chiefly to “all of the disruptions we’ve seen in the energy sector and also the logistics — in transportation, freight and ports in South Africa,” IMF Chief Economist Pierre-Olivier Gourinchas said. “That needs to be addressed.”
The country has been handicapped by rolling power cuts and snarled logistics at its ports and railways that reflect years of inadequate investment and poor management. The fund cut the country’s 2025 forecast to 1.3% from 1.6%.
Gourinchas was also cautious about South Africa’s frail fiscal position and elevated public debt levels. Finance Minister Enoch Godongwana will deliver his annual budget speech on Feb. 21.
“We were talking about the need for fiscal consolidation for South Africa,” he said. “There is a need also to put public spending under control and to raise tax revenues.”
South Africa will hold elections this year, posing additional challenges to the public purse.
With polls showing the ruling African National Congress at risk of losing its majority for the first time since 1994, some elements of the party will likely oppose spending cuts, even as the Treasury argues for fiscal restraint.
The country’s tepid performance is also holding back the entire region. While the IMF sees Sub-Saharan Africa growing by 3.8% this year, it’s notched that outlook back sightly.
“The downward revision for 2024 of 0.2 percentage point from October 2023 mainly reflects a weaker projection for South Africa on account of increasing logistical constraints,” the lender said.
Video: The Greatest Terrorist attack on South Africa: SAA Flight 295: The Helderberg 1987
I wrote about The destruction of this Boeing 747 in my book Government by Deception. I made a multi-part video about it. I am fully aware of the junk stories people claim about it. I stand firmly by my original analysis.
Video & Audio: Questions about The White Tribes of Africa & Discussion about White Americans
Brant wanted to ask me questions about ALCORA the secret military alliance of the Whites of Southern Africa. But we ended up having a nice discussion about White Americans and the future of America.
Video & Audio: After Black Revolution, Comes WHITE REVOLUTION!
In this video I discuss Black Revolution. We look at Black Revolution in America and Africa and the role of the Jews as well as that brave American hero, George Lincoln Rockwell, who gave his life trying to save White Americans and trying to save Whites everywhere.Rockwell once made a prediction that After Black Revolution there will be a WHITE REVOLUTION.
