December 16th, local time, according to local media reports, South Africa’s economic recovery will be hit by the second wave of COVID-19.
According to the quarterly report released by the Reserve Bank of South Africa on Tuesday (15th), the South African economy entered its 85th weak cycle in December. As of September 30, total government debt increased by 20.3% year-on-year to R3.7 trillion, or 75.2% of GDP.
The Treasury’s Medium-Term Budget Policy Report predicts that government debt to GDP ratios will be 81.8% for the fiscal year ending March 2021.
Business and consumer confidence has continued to be at a multi-year low since the March lockdown, even as the economy recovered in the third quarter. And the latest restrictions announced by President Ramaphosa on Monday (14th) may slow down the recovery process.