As the world adjusts to the new normal and progressively returns to being economically operational, South Africa is starting to see a positive change in its global economic standing. In a statement issued on Wednesday 7 April 2021, the Ministry in the Presidency responsible for: Planning, Monitoring and Evaluation, announced that the International Monetary Fund (IMF) has revised the upward growth outlook for South Africa from 2,8% to 3,1% for 2021. The outstanding factor to this announcement is that it follows the biggest annual fall in economic activity the country has seen since 1946.
According to the IMF, the growth forecast change is accredited to the extra fiscal support in large economies and the worlds participation in the CoVID-19 vaccination journey. As a country that recently commenced its own vaccination roll-out programme, there is a forecast that this programme will continue to have a positive effect and offer the country the economic turnaround that it desperately needs. The positive outlook serves as a confirmation and encouragement for the plans put in place by the government to increase economic activity despite the harsh global economic conditions.
As much as this announcement places the country on the road to recovery, the destination to seeing tangible results remains a long journey. The pandemic has affected the South African economy in very unfathomable way and the impact varies in every industry. The country has faced many economic and social challenges in the past, such as the global recession and increasing unemployment rates, but South Africa’s ability to overcome is central to its survival.
The success of its economic and social recovery lies in everyone’s hands including government, individuals, businesses – especially small businesses which play a key role in growing the economy and providing employment. Each and every citizen owes it to themselves and the future generations to dig deep and remind themselves of the country’s power and tenacity. We have been through challenges before but what is important know is that when everything seems to be falling apart our true strength lies in our resilience and pulling together.