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Economic Buzz: IMF says South Africa economic activity expected to improve gradually over medium term
12-Feb-2026 11:23
International Monetary Fund (IMF) has stated that South Africa has faced repeated shocks in recent years, including due to higher global policy uncertainty in 2025. However, the country's economy has proven resilient thus far, owing to its ample natural endowments, independent institutions, and strong monetary policy framework. Economic activity is expected to improve gradually over the medium term, while inflation is projected to converge to the new 3‑percent target. Risks remain tilted to the downside, related to continued trade and global policy uncertainty and domestic reform fatigue. IMF stated that long-standing structural impediments and rising debt continue to constrain resilience and potential growth, highlighting the importance of strong policies and reforms to support macroeconomic stability, employment, and growth.

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