Editing Economy of South Africa

{{Short description|none}}
{{Use South African English|date=August 2019}}
{{use dmy dates|date=August 2019}}
{{Infobox economy
| country = South Africa
| image = Montage Johannesburg.jpg
| image_size = 310px
| caption = [[Johannesburg]], the financial capital of South Africa
| currency = [[South African rand]] (ZAR, R)
| year = {{plainlist|
*1 April – 31 March (government);
*1 March – 28/29 February (corporate & private)}}
| organs = [[African Union|AU]], [[World Trade Organization|WTO]], [[World Health Organization|WHO]], [[BRICS]], [[International Monetary Fund|IMF]], [[African Continental Free Trade Agreement|AfCFTA]], [[G-20 major economies|G-20]], [[Southern African Customs Union|SACU]] and others
| group = {{plainlist|
*[[Developing country]]<ref>{{cite web |url=https://www.imf.org/external/pubs/ft/weo/2019/01/weodata/weoselco.aspx?g=2200&sg=All+countries+%2f+Emerging+market+and+developing+economies |title=World Economic Outlook Database, April 2019 |publisher=[[International Monetary Fund]] |website=IMF.org |access-date=29 September 2019}}</ref>
*[[List of countries by GNI (nominal) per capita|Upper-middle income economy]]<ref>{{cite web |url=https://datahelpdesk.worldbank.org/knowledgebase/articles/906519-world-bank-country-and-lending-groups |title=World Bank Country and Lending Groups |publisher=[[World Bank]] |website=datahelpdesk.worldbank.org |access-date=29 September 2019}}</ref>}}
[[Newly industrialized country]]
| population = {{increase}} 64.15 million (2025, Q1 est)<ref>{{cite web |title=World Economic Outlook South Africa|url=https://www.imf.org/external/datamapper/LP@WEO/ZAF?zoom=ZAF&highlight=ZAF|website=imf.org |publisher=IMF |access-date=26 April 2025}}</ref>
| gdp = {{plainlist|
*{{increase}} $410.34 billion (nominal, Q1 2025 est.)<ref>{{cite web |url=https://www.imf.org/external/datamapper/NGDPD@WEO/ZAF?zoom=ZAF&highlight=ZAF |title=World Economic Outlook database: April 2025 |website=Internal Monetary Fund |access-date=29 April 2025}}</ref>
*{{increase}} $1.03 trillion ([[Purchasing power parity|PPP]], 2025 est)<ref name="IMFWEOZAR">{{cite web |url=https://www.imf.org/external/datamapper/PPPGDP@WEO/ZAF?zoom=ZAF&highlight=ZAF |title=World Economic Outlook database: April 2025 |website=Internal Monetary Fund |access-date=29 April 2025}}</ref>}}
| gdp rank = {{plainlist|
*[[List of countries by GDP (nominal)|39th (nominal, Q3 2024)]]
*[[List of countries by GDP (PPP)|33rd (PPP, Q3 2024)]]}}
| per capita = {{plainlist|
*{{increase}} $6,400 (nominal, Q1 2025 est)<ref name="IMFWEOZAF">{{cite web |url=https://www.imf.org/external/datamapper/NGDPD@WEO/ZAF?zoom=ZAF&highlight=ZAF |title=World Economic Outlook database: April 2025 |website=Internal Monetary Fund |access-date=29 April 2025}}</ref>                                                                                        
*{{increase}} $15,990 (PPP, Q1 2025)<ref name="IMFWEOZAF"/>}}
| per capita rank = {{plainlist|
*[[List of countries by GDP (nominal) per capita|104th (nominal, Q3 2024)]]
*[[List of countries by GDP (PPP) per capita|106th (PPP, Q3 2024)]]}}
| growth = {{plainlist|
*{{increasePositive}} 0.6%&nbsp;(2023)
*{{increasePositive}} 1.1%&nbsp;(2024)
*{{increasePositive}} 1.0%&nbsp;(2025 est)}}
| sectors = {{plainlist|
*[[Primary sector of the economy|agriculture]]: 2.6%
*[[Secondary sector of the economy|industry]]: 24.6%
*[[Tertiary sector of the economy|services]]: 62.6% 
*(2023 est.)<ref name="CIA World Fact Book - South Africa"/>
}}
| inflation = {{DecreasePositive}} 2.7% (Mar, 2025)<ref>{{cite web |url=https://www.statssa.gov.za/?page_id=735&id=1|title=Economy Statistics South Africa: January 2025 |website=Statistics South Africa |access-date=25 April 2025}}</ref>
| poverty = {{decreasePositive}} 20.5% on less than $2.15/day (2024 est)<ref>{{cite web |title= Number of people living in extreme poverty in South Africa from 2016 to 2030 |url=https://www.statista.com/statistics/1263290/national-poverty-line-in-south-africa |website=statista.com |publisher=Statista |access-date=29 October 2024 |date=October 2024}}</ref>
| gini = {{decreasepositive}} 61.8 {{color|red|very high}} (2021)<ref name="The World Bank overview">{{cite web|url=http://www.worldbank.org/en/country/southafrica/overview|title=South Africa Overview|publisher=[[World Bank]]|access-date=25 December 2019}}</ref>
| hdi = {{plainlist|
*{{decrease}} 0.717 {{color|green|high}} (2022)<ref name="hdi">{{cite web |url=https://hdr.undp.org/data-center/specific-country-data#/countries/ZAF |title=Human Development Index (HDI) |publisher=[[Human Development Report|HDRO (Human Development Report Office)]] [[United Nations Development Programme]] |website=hdr.undp.org |access-date=17 November 2022}}</ref> ([[List of countries by Human Development Index|110th]])
*{{decrease}} 0.462 {{color|red|low}} [[List of countries by inequality-adjusted HDI|IHDI]] (2022, [[List of countries by inequality-adjusted Human Development Index|110th rank]])<ref name="hdi"/>}}
| cpi = {{decrease}} 41 out of 100 points (2024, [[Corruption Perceptions Index|82nd]])<ref>{{Cite web |date=2025-02-11 |title=Corruption Perceptions Index 2024 |url=https://www.transparency.org/en/cpi/2024 |access-date=2025-03-03 |website=Transparency.org |language=en}}</ref>
| labour = {{increase}} 25,158,403 (2024)<ref>{{cite web |title= Labour force, total - South Africa Data (2023) - South Africa |url=https://data.worldbank.org/indicator/SL.TLF.TOTL.IN?locations=ZA |website=data.worldbank.org |publisher=World Bank |access-date=1 April 2024}}</ref>
| occupations = {{plainlist|
*[[Primary sector of the economy|agriculture]]: 19.26%
*[[Secondary sector of the economy|industry]]: 18.08%
*[[Tertiary sector of the economy|services]]: 62.66% 
*(2022)}}
| unemployment = {{plainlist|
*{{decreasepositive}} 31.9% unemployment (Q4 2024)<ref name="bt_un">{{Cite web |title=Unemployment drops in South Africa |url=https://businesstech.co.za/news/government/812662/unemployment-drops-in-south-africa/ |access-date=2025-03-03 |language=en-US}}</ref>
*{{decreasepositive}} 44.6% youth unemployment (15 to 24 year-olds; Q4 2024)<ref name="bt_un" />}}
| industries = mining (world's largest producer of platinum group metals, gold, chromium), automobile manufacturing, metalworking, technology, machinery, textiles, iron and steel, IT, chemicals, fertiliser, foodstuffs, manufacturing, commercial ship repair.
| exports = $154 billion (2023)<ref>{{cite web |title= South Africa Trading (2023) - South Africa |url=https://oec.world/en/profile/country/zaf |website=oec.world |publisher=OEC |access-date=26 April 2025}}</ref>
| export-goods = gold, diamonds, wines, iron ore, platinum, nonferrous metals, electronics, machinery and manufactured equipment, motor vehicles, fruits, various agricultural foodstuffs, ground and air military hardware.
| export-partners = {{plainlist|
*{{flag|China}} 19.2%
*{{flag|United States}} 8.48%
*{{flag|Germany}} 7.03%
*{{flag|India}} 7.03%
*{{flag|United Kingdom}} 5.87%
*(2023)<ref>{{cite web |title=Top South African Trading Partners 2023 |url=https://oec.world/en/profile/country/zaf |website=oec.world}}</ref>}}
| imports = $103 billion (2023)<ref>{{cite web |title= South Africa Trading (2023) - South Africa |url=https://oec.world/en/profile/country/zaf |website=oec.world |publisher=OEC |access-date=26 April 2025}}</ref>
| import-goods = machinery and equipment, chemicals, petroleum products, scientific instruments, foodstuffs, cars, gold
| import-partners = {{plainlist|
*{{flag|China}} 21.4%
*{{flag|India}} 7.19%
*{{flag|United States}} 6.63%
*{{flag|Germany}} 5.95%
*{{flag|UAE}} 4.1%
*(2023)<ref>{{cite web |title=Top South African Trading Partners 2023 |url=https://oec.world/en/profile/country/zaf |website=oec.world}}</ref>}}
| current account = {{increase}} −$1.046 billion (2023 Q3 est.)<ref name="ECONOM">{{cite web |url=https://www.economy.com/south-africa/current-account-balance |title=South Africa - Current Account Balance |access-date=3 April 2024}}</ref>
| FDI = {{plainlist|
*{{increase}} $156.8 billion (31 December 2017 est.)<ref name="CIAWFZA">{{cite web |url=https://www.cia.gov/the-world-factbook/countries/south-africa/ |title=The World Factbook |publisher=[[Central Intelligence Agency]] |website=CIA.gov |access-date=3 March 2019}}</ref>
*{{increase}} Abroad: $270.3 billion (31 December 2017 est.)<ref name="CIAWFZA"/>}}
| debt = {{increaseNegative}} 77.4% of GDP (2025 est.)<ref name="IMF2024">{{cite web |url=https://www.imf.org/external/datamapper/GGXWDG_NGDP@WEO/ZAF?year=2024 |title=World Economic Outlook (October 2023) - General government gross debt |website=imf.org |access-date=3 March 2025}}</ref>
| gross external debt = {{decreasePositive}} $163.9 billion (June 2024 est.)<ref name="CEICZA">{{cite web|url=https://www.ceicdata.com/en/indicator/south-africa/external-debt#:~:text=South%20Africa%20External%20Debt%20reached,Dec%201985%20to%20Sep%202023 |title=South Africa External Debt |website=ceicdata.com |access-date=3 March 2025}}</ref>
| revenue = $122.49 billion (2022 est.)
| expenses = $139.28 billion (2022 est.)
| balance = −4.4% (of GDP) (2017 est.)<ref name="CIAWFZA"/>
| reserves = {{increase}} $65.876 billion (Jan 2025 est)<ref>{{cite web |title= South Africa Foreign Exchange Reserves |url=https://www.fxempire.com/macro/south-africa/foreign-exchange-reserves#:~:text=Latest%20Updates,billion%20in%20the%20prior%20month. |website=fxempire.com |publisher=FX Empire |access-date=3 March 2025}}</ref>
| credit = {{plainlist|
*[[Standard & Poor's|S&P Global Ratings]]:<ref>{{Cite web |title=S&P upgrades South Africa's outlook to 'positive' |url=
https://www.businesslive.co.za/bd/economy/2022-05-20-breaking-news-sp-global-ratings-lifts-sas-outlook-to-positive/
|website=businesslive.co.za |access-date=20 May 2022}}</ref>
*BB
*Outlook: Positive 
*[[Moody's]]:<ref>{{cite web |title=Rating Action: Moody's changes South Africa's outlook to stable; affirms Ba2 ratings |url=https://www.moodys.com/research/Moodys-changes-South-Africas-outlook-to-stable-affirms-Ba2-ratings--PR_464348 |website=moodys.com  |date=April 2022 |access-date=2 Apr 2022}}</ref>
*Ba2
*Outlook: Stable
*[[Fitch Group|Fitch]]:<ref>{{cite web |title=Fitch Revises South Africa's Outlook to Stable; Affirms at 'BB-' |url=https://www.fitchratings.com/research/sovereigns/fitch-revises-south-africa-outlook-to-stable-affirms-at-bb-15-12-2021 |website=fitchratings.com |access-date=16 Dec 2021}}</ref>
*BB-
*Outlook: Stable
*Scope Ratings:<ref>{{cite web |title=Scope affirms South Africa's BB long-term ratings and maintains Stable Outlook |url=https://www.scoperatings.com/ratings-and-research/rating/EN/177728 |website=scoperatings.com |access-date=13 Sep 2024}}</ref>
*BB
*Outlook: Stable
| aid = [[Official Development Assistance|ODA]] $19&nbsp;billion, 0.2% of GDP (2004)
| cianame = south-africa
}}
| Average gross salary = *{{increasepositive}} $1,428 (Nov 2023)<ref>{{cite web |title= South Africa Monthly Earnings |url=https://www.ceicdata.com/en/indicator/south-africa/monthly-earnings |website=ceicdata.com |publisher=CEIC |access-date=13 April 2024}}</ref>
}}
The '''[[economy]] of [[South Africa]]''' is the largest economy in [[Africa]]. It is a [[mixed economy]], [[emerging market]], and upper-middle-income economy, and one of only eight such countries in Africa.<ref>{{Cite web |title=South Africa - Market Overview |url=https://www.trade.gov/knowledge-product/exporting-south-africa-market-overview |access-date=2024-01-29 |website=International Trade Administration |date=26 January 2024 |language=en}}</ref><ref>{{Cite web |title=South Africa: Introduction |url=https://globaledge.msu.edu/countries/south-africa |access-date=2024-01-29 |website=globaledge.msu.edu |language=en-us}}</ref><ref>{{cite web |title=World Bank Country and Lending Groups |url=https://datahelpdesk.worldbank.org/knowledgebase/articles/906519-world-bank-country-and-lending-groups |website=datahelpdesk.worldbank.org |publisher=World Bank |access-date=20 February 2020}}</ref> The economy is the most industrialised, technologically advanced, and diversified in Africa.<ref>{{Cite web |last=Canada |first=Global Affairs |date=2023-05-30 |title=Information and communication technology (ICT) market in South Africa |url=https://www.tradecommissioner.gc.ca/south-africa-afrique-du-sud/market-reports-etudes-de-marches/0007023.aspx?lang=eng |access-date=2024-01-29 |website=GAC}}</ref>

Following 1996, at the end of over twelve years of international sanctions, [[South Africa]]'s nominal [[gross domestic product]] (GDP) almost tripled to a peak of US$416 billion in 2011. In the same period, foreign exchange reserves increased from US$3 billion to nearly US$50 billion, creating a diversified economy with a growing and sizable [[middle class]], within three decades of ending [[apartheid]].<ref name="cnn.com">{{cite news |url=http://www.cnn.com/2013/11/27/business/south-africa-since-apartheid/ |work=CNN |title=South Africa since apartheid: Boom or bust? - CNN.com |date=27 November 2013}}</ref><ref name="JeffreyGreg">{{cite book |title=How South Africa Works: And Must Do Better |publisher=Pan Macmillan South Africa |author=[[Jeffrey Herbst|Herbst, Jeffrey]] |author2=Mills, Greg |year=2015 |isbn=978-1-77010-408-2}}</ref>

Although the [[Mining industry of South Africa|natural resource extraction industry]] remains one of the largest in the country with an annual contribution to the [[GDP]] of US[[United States dollar|$]]13.5 billion,<ref>{{Cite web|url=https://www.statista.com/topics/7194/mining-industry-in-south-africa/|title=Statista – Mining Industry in South Africa}}</ref> the economy of South Africa has diversified since the end of apartheid, particularly towards [[Tertiary sector of the economy|services]]. In 2019, the [[financial services|financial industry]] contributed US$41.4 billion to South Africa's GDP.<ref>{{Cite web|url=https://www.statista.com/statistics/1121221/finance-sector-value-added-to-gdp-in-south-africa/|title=South Africa: finance sector's value added to GDP from 2014 to 2020}}</ref>

In 2021, South Africa-based [[financial institutions]] managed more than US$1.41 trillion in [[assets]].<ref>{{Cite web|url=https://www.statista.com/topics/5083/financial-market-in-africa/|title=Topic: Financial Market in Africa}}</ref> The total [[market capitalization]] of the [[Johannesburg Stock Exchange]] is US$1.28 trillion as of October 2021.<ref>{{Cite web |url=https://www.jse.co.za/services/market-data/market-statistics |title=Johannesburg Stock ExchangeL Market Data |date=17 October 2021}}</ref>

The [[state-owned enterprises of South Africa]] play a significant role in the country's economy, with the government owning a share in around 700 SOEs involved in a wide array of important industries. In 2016 according to business executives, the top five challenges to doing business in the country were inefficient government bureaucracy, restrictive labour regulations, a shortage of skilled workers for some [[high-tech]] industries, political instability, and [[corruption in South Africa|corruption]].

On the other hand, the country's banking sector was rated as a strongly positive feature of the economy.<ref>{{Cite web|url=http://businesstech.co.za/news/government/138875/16-things-businesses-hate-about-south-africa/|title=16 things businesses hate about South Africa|date=16 October 2016|publisher=Business Tech|access-date=11 October 2016}}</ref><ref>{{Cite news|url=http://reports.weforum.org/global-competitiveness-report-2015-2016/economies/#economy=ZAF|title=Economies|newspaper=Global Competitiveness Report 2015-2016|access-date=2016-10-11}}</ref> The nation is among the [[G20]], and is the only African country that is a permanent member of the group.<ref>{{Cite web|url=http://www.gegafrica.org/g20-blog/south-africa-and-the-g-20|title=GEG Africa – South Africa and the G-20|last=Wood|first=Catherine Grant Makokera and Christopher|website=gegafrica.org|access-date=2017-01-05|archive-date=6 January 2017|archive-url=https://web.archive.org/web/20170106115736/http://www.gegafrica.org/g20-blog/south-africa-and-the-g-20}}</ref>

South Africa is a popular location for offshoring, with many international companies relocating operations or services to the country. In 2025, [[Robert Walters plc]] found that 60% of business leaders ranked South Africa as the most attractive country for offshoring, surpassing other popular regions by a large margin. Among the top reasons for offshoring in South Africa were access to skilled talent, retained earnings, strong English proficiency, time zone alignment with major markets, and a growing reputation for business and tech services.<ref name= "International companies flocking to South Africa">{{cite web|url= https://businesstech.co.za/news/business-opinion/823221/international-companies-flocking-to-south-africa/ |title= International companies flocking to South Africa |author= Luke Fraser |publisher= BusinessTech |date= 7 May 2025 |access-date= 7 May 2025 }}</ref>

The main industry that has shown considerable growth in offshoring activities to South Africa is "Tech and IT", which accounts for 53% of new roles. This is followed by categories "customer service and support", "finance and accounting", and "human resources and recruitment". South Africa's combination of skilled talent, strong infrastructure, and alignment with international business practices, makes it a strategic location for building global business capabilities.<ref name= "International companies flocking to South Africa"></ref>

==History==
{{Main|Economic history of South Africa}}
The formal  economy of South Africa has its beginnings in the arrival of [[Dutch people|Dutch]] settlers in 1652, originally sent by the [[Dutch East India Company]] to establish a provisioning station for passing ships. As the colony increased in size, with the arrival of [[Huguenot]]s and German colonists, some of the colonists were set free to pursue commercial farming, leading to the dominance of agriculture in the economy.{{citation needed|date=January 2021}}

At the end of the 18th century, the British annexed the colony. This led to the [[Great Trek]], spreading farming deeper into the mainland, as well as the establishment of the independent [[Afrikaner Republics]] of the [[South African Republic|Transvaal]] and the [[Orange Free State]].<ref>{{Cite web |title=Great Trek {{!}} South African history {{!}} Britannica |url=https://www.britannica.com/event/Great-Trek |access-date=2022-11-22 |website=www.britannica.com |language=en}}</ref>

In 1870 [[diamond]]s were discovered in [[Kimberley, Northern Cape|Kimberley]], while in 1886 some of the world's largest gold deposits were discovered in the [[Witwatersrand]] region of Transvaal, quickly transforming the economy into a resource-dominated one. The British annexed the area as a result of the [[Second Boer War]] which saw the deployment of [[scorched earth]] tactics against Boer non-combatants. South Africa also entered a period of industrialization during this time, including the organization of the first [[Trade unions in South Africa|South African trade unions]].{{citation needed|date=January 2021}}<ref>{{Cite book|last1=Gentle|first1=Leonard|url=https://www.lrs.org.za/wp-content/uploads/2021/01/A-history-of-trade-unionism-in-South-Africa.pdf|title=A History of Trade Unionism In South Africa|last2=Callinicos|first2=Luli|last3=Jansen|first3=Martin|last4=Nieftagodien|first4=Noor|last5=Jordi|first5=Richard|isbn=978-0-620-78227-2|location=South Africa|pages=1–8|language=English}}</ref>

The country soon started putting laws distinguishing between different races in place. In 1948 the [[National Party (South Africa)|National Party]] won the national elections, and immediately started implementing an even stricter race-based policy named [[Apartheid]], in an attempt to shelter the original white society from a never-ending increase in the black population. The policy was widely criticised and led to crippling sanctions being placed against the country in the 1980s.<ref>{{Cite news |last=Ap |date=1985-10-21 |title=COMMONWEALTH LEADERS AGREE ON SANCTIONS AGAINST SOUTH AFRICA |language=en-US |work=The New York Times |url=https://www.nytimes.com/1985/10/21/world/commonwealth-leaders-agree-on-sanctions-against-south-africa.html |access-date=2022-11-22 |issn=0362-4331}}</ref>

South Africa held its first non-racial elections in 1994, leaving the newly all-African elected [[African National Congress]] (ANC) government the daunting task of trying to restore order to an economy harmed by sanctions, while also integrating the previously disadvantaged segment of the population into it.

The government refrained from resorting to economic populism. Inflation was brought down, public finances were stabilised, and some foreign capital was attracted.<ref name="assessment2008-2">{{cite web|url=http://www.oecd.org/document/63/0,3343,en_2649_34577_40981951_1_1_1_1,00.html |title=Economic Assessment of South Africa 2008: Achieving Accelerated and Shared Growth for South Africa |publisher=OECD |archive-url=https://web.archive.org/web/20090809083550/http://www.oecd.org//document//63//0,3343,en_2649_34577_40981951_1_1_1_1,00.html |archive-date=9 August 2009}}</ref> However, growth was still subpar.<ref name="assessment2008-2"/> At the start of 2000, then President [[Thabo Mbeki]] vowed to promote economic growth and [[foreign direct investment|foreign investment]] by relaxing restrictive [[labour laws]], stepping up the pace of [[privatisation]], raising governmental spending<ref>{{cite web|title=SA government spending|url=http://databank.worldbank.org/data/SA-government-spending/id/b257338e|website=data.worldbank.org/country/south-africa|access-date=5 July 2014}}</ref> and cutting interest rates sharply from 1998 levels.<ref>{{cite web|title=SA real interest rate|url=http://databank.worldbank.org/data/SA-real-interest-rate/id/c97cc78c|website=data.worldbank.org/country/south-africa|access-date=5 July 2014}}</ref><ref>{{cite web|title=South Africa inflation rate|url=http://databank.worldbank.org/data/SA-inflation-rate/id/eed36496|website=data.worldbank.org/country/south-africa|access-date=5 July 2014}}</ref> His policies faced strong opposition from [[organised labour]]. From 2004 onward economic growth picked up significantly; both employment and [[capital formation]] increased.<ref name="assessment2008-2"/>

In April 2009, amid fears that South Africa would soon join much of the rest of the world in the [[late-2000s recession]], [[South African Reserve Bank|Reserve Bank]] Governor [[Tito Mboweni]] and Minister of Finance [[Trevor Manuel]] differed on the matter: whereas Manuel foresaw a quarter of economic growth, Mboweni predicted further decline: "technically," he said, "that's a recession."<ref>Quoted in Mafirakurewa 2009.</ref> In 2009 the Nobel-Prize-winning economist [[Joseph Stiglitz]] warned South Africa that inflation targeting should be a secondary concern amid the [[2008 financial crisis]].<ref>{{Cite news |last=Wessels |first=Leani |title=Stiglitz: SA must drop targets |work=News24.co.za |date=8 July 2009 |url=http://www.fin24.com/articles/default/display_article.aspx?ArticleId=1518-25_2537001 |access-date=9 July 2009 |archive-url=https://web.archive.org/web/20090711120634/http://www.fin24.com/articles/default/display_article.aspx?ArticleId=1518-25_2537001 |archive-date=11 July 2009}}</ref>

South Africa, unlike other emerging markets, has struggled through the [[late 2000s recession]], and the recovery has been largely led by private and public consumption growth, while export volumes and private investment have yet to fully recover.<ref name=imf-art4>{{cite web|title=South Africa: 2011 Article IV Consultation |url=http://www.imf.org/external/pubs/ft/scr/2011/cr11258.pdf |publisher=International Monetary Fund |archive-url=https://web.archive.org/web/20140430092020/http://www.imf.org/external/pubs/ft/scr/2011/cr11258.pdf |archive-date=30 April 2014 |page=6}}</ref> The long-term potential growth rate of South Africa under the current policy environment has been estimated at 3.5%.<ref>{{cite web|title=South Africa Economic Update, Focus on Savings, Investment, and Inclusive Growth |url=http://siteresources.worldbank.org/INTSOUTHAFRICA/Resources/SAEU-July_2011_Full_Report.pdf |publisher=World Bank |archive-url=https://web.archive.org/web/20120908030444/http://siteresources.worldbank.org/INTSOUTHAFRICA/Resources/SAEU-July_2011_Full_Report.pdf |archive-date=8 September 2012 |page=10}}</ref> Per capita GDP growth has proved mediocre, though improving, growing by 1.6% a year from 1994 to 2009, and by 2.2% over the 2000–09 decade,<ref>{{cite web|title=OECD Economic Surveys – South Africa |url=https://www.scribd.com/fredellj/d/49276155-OEDC-SA-Report |publisher=OECD |archive-url=https://archive.today/20120914173438/http://www.scribd.com/fredellj/d/49276155-OEDC-SA-Report |archive-date=14 September 2012 |page=36 |date=July 2010}}</ref> compared to world growth of 3.1% over the same period.

The high levels of unemployment, at over 25%, and [[economic inequality|inequality]] are considered by the government and most South Africans to be the most salient economic problems facing the country.<ref name="OECDsurvey38">{{cite web|title=OECD Economic Surveys – South Africa |url=https://www.scribd.com/fredellj/d/49276155-OEDC-SA-Report |publisher=OECD |archive-url=https://archive.today/20120914173438/http://www.scribd.com/fredellj/d/49276155-OEDC-SA-Report |archive-date=14 September 2012 |page=38 |date=July 2010}}</ref> These issues, and others linked to them such as crime, have in turn hurt investment and growth, consequently having a negative feedback effect on employment.<ref name="OECDsurvey38"/> Crime is considered a major or very severe constraint on investment by 30% of enterprises in South Africa, putting crime among the four most frequently mentioned constraints.<ref>{{cite web|last=Stone |first=Christopher |title=Crime, Justice, and Growth in South Africa: Toward a Plausible Contribution from Criminal Justice to Economic Growth |url=http://www.hks.harvard.edu/var/ezp_site/storage/fckeditor/file/pdfs/centers-programs/centers/cid/publications/faculty/wp/131.pdf |publisher=Center for International Development at Harvard University |archive-url=https://web.archive.org/web/20111125025431/http://www.hks.harvard.edu/var/ezp_site/storage/fckeditor/file/pdfs/centers-programs/centers/cid/publications/faculty/wp/131.pdf |archive-date=25 November 2011 |date=August 2006 |page=2}}</ref>

In April 2017, political tensions in the country arose over the sacking of nine cabinet members including Minister of Finance [[Pravin Gordhan]] by the president [[Jacob Zuma]].<ref>{{Cite news|url=https://www.reuters.com/article/us-safrica-politics-idUSKBN17C16I|title=South Africa's Zuma accuses protesters of racism after marches|date=2017-04-10|work=Reuters|access-date=2017-04-17}}</ref> The finance minister was seen as central to efforts to restore confidence in South Africa. As a result of the tensions, [[S&P Global]] cut South Africa's credit rating to junk status on Monday 3 April 2017.<ref name=":0">{{Cite news|url=https://www.ft.com/content/f97b2af8-191a-11e7-9c35-0dd2cb31823a |archive-url=https://ghostarchive.org/archive/20221210/https://www.ft.com/content/f97b2af8-191a-11e7-9c35-0dd2cb31823a |archive-date=10 December 2022 |url-access=subscription|title=Zuma tries to reassure investors after South Africa's rating cut|last=Cotterill|first=Joseph|work=The Financial Times}}</ref> Fitch Ratings followed suit on Friday 7 April 2017 and cut the country's credit status to the sub-investment grade of BBB−.<ref>{{Cite news|url=https://www.bloomberg.com/news/articles/2017-04-07/junk-for-south-africa-as-fitch-joins-s-p-in-cut-over-politics|title=Junk for South Africa as Fitch Joins S&P in Cut on Politics|date=2017-04-07|work=Bloomberg.com|access-date=2017-04-17}}</ref> The South African rand lost more than 11% in the week following the cabinet reshuffling.<ref name=":0" />

=== Historical statistics 1980–2022 ===
[[File:GDP per capita development in Southern Africa.svg|thumb|Development of real GDP per capita in countries in Southern Africa]]
The following table shows the main economic indicators in 1980–2022. Inflation under 5% is in green.<ref>{{Cite web|url=https://www.imf.org/external/pubs/ft/weo/2018/01/weodata/weorept.aspx?sy=1980&ey=2023&scsm=1&ssd=1&sort=country&ds=.&br=1&c=199&s=NGDP_RPCH%2CPPPGDP%2CPPPPC%2CPCPIPCH%2CLUR%2CGGXWDG_NGDP&grp=0&a=&pr.x=98&pr.y=2|title=Report for Selected Countries and Subjects|website=imf.org|language=en-US|access-date=2018-09-11}}</ref>
{{static row numbers}} 
{| class="wikitable sortable static-row-numbers static-row-header-text"style="text-align:center;"
!Year
!GDP<br /><small>(in bn. US$ PPP)</small>
!GDP per capita<br /><small >(in US$PPP)</small>
!GDP
<small>(in billion US$ nominal)</small>
!GDP per capita
<small>(in US$ nominal)</small>
!GDP growth<br /><small>(real)</small>
![[Consumer price index (South Africa)|Inflation rate]]<br /><small>(in Percent)</small>
!Unemployment <br /><small>(in Percent)</small>
!Government debt<br /><small>(in % of GDP)</small>
|-
|1980
|148.6
|5,110
|89.4
|3,075
|{{Increase}}6.6%
|{{increaseNegative}}14.2%
|9.2%
|n/a
|-
|1981
|{{Increase}}171.4
|{{Increase}}5,745
|{{Increase}}93.2
|{{Increase}}3,123
|{{Increase}}5.4%
|{{increaseNegative}}15.3%
|{{increaseNegative}}9.8%
|n/a
|-
|1982
|{{Increase}}181.3
|{{Increase}}5,922
|{{Decrease}}85.9
|{{Decrease}}2,806
|{{Decrease}}−0.4%
|{{increaseNegative}}13.7%
|{{increaseNegative}}10.8%
|n/a
|-
|1983
|{{Increase}}184.9
|{{Decrease}}5,886
|{{Increase}}96.2
|{{Increase}}3,063
|{{Decrease}}−1.8%
|{{increaseNegative}}12.8%
|{{increaseNegative}}12.5%
|n/a
|-
|1984
|{{Increase}}201.3
|{{Increase}}6,250
|{{Increase}}84.8
|{{Decrease}}2,634
|{{Increase}}5.1%
|{{increaseNegative}}11.3%
|{{increaseNegative}}13.7%
|n/a
|-
|1985
|{{Increase}}205.2
|{{Decrease}}6,221
|{{Decrease}}64.5
|{{Decrease}}1,955
|{{Decrease}}−1.2%
|{{increaseNegative}}16.6%
|{{increaseNegative}}15.5%
|n/a
|-
|1986
|{{Increase}}209.3
|{{Decrease}}6,207
|{{Increase}}73.4
|{{Increase}}2,176
|{{Steady}}0.0%
|{{increaseNegative}}18.1%
|{{increaseNegative}}16.0%
|n/a
|-
|1987
|{{Increase}}219.0
|{{Increase}}6,356
|{{Increase}}96.5
|{{Increase}}2,801
|{{Increase}}2.1%
|{{increaseNegative}}16.5%
|{{increaseNegative}}16.6%
|n/a
|-
|1988
|{{Increase}}236.3
|{{Increase}}6,712
|{{Increase}}104.0
|{{Increase}}2,955
|{{Increase}}4.2%
|{{increaseNegative}}12.8%
|{{increaseNegative}}17.2%
|n/a
|-
|1989
|{{Increase}}251.4
|{{Increase}}6,990
|{{Increase}}108.1
|{{Increase}}3,004
|{{Increase}}2.4%
|{{increaseNegative}}14.6%
|{{increaseNegative}}17.8%
|n/a
|-
|1990
|{{Increase}}260.0
|{{Increase}}7,067
|{{Increase}}126.0
|{{Increase}}3,426
|{{Decrease}}−0.3%
|{{increaseNegative}}14.4%
|{{increaseNegative}}18.8%
|n/a
|-
|1991
|{{Increase}}266.1
|{{Decrease}}7,059
|{{Increase}}135.2
|{{Increase}}3,588
|{{Decrease}}−1.0%
|{{increaseNegative}}15.2%
|{{increaseNegative}}20.2%
|n/a
|-
|1992
|{{Increase}}266.3
|{{Decrease}}6,890
|{{Increase}}147
|{{Increase}}3,803
|{{Decrease}}−2.1%
|{{increaseNegative}}14.0%
|{{increaseNegative}}21.2%
|n/a
|-
|1993
|{{Increase}}276.0
|{{Increase}}6,966
|{{Increase}}147.2
|{{Decrease}}3,716
|{{Increase}}1.2%
|{{increaseNegative}}9.7%
|{{increaseNegative}}22.2%
|n/a
|-
|1994
|{{Increase}}290.9
|{{Increase}}7,172
|{{Increase}}153.6
|{{Increase}}3,786
|{{Increase}}3.2%
|{{increaseNegative}}8.8%
|{{increaseNegative}}22.9%
|n/a
|-
|1995
|{{Increase}}306.2
|{{Increase}}7,391
|{{Increase}}171.7
|{{Increase}}4,145
|{{Increase}}3.1%
|{{increaseNegative}}8.8%
|{{decreasePositive}}16.5%
|n/a
|-
|1996
|{{Increase}}325.2
|{{Increase}}7,705
|{{Decrease}}163.3
|{{Decrease}}3,870
|{{Increase}}4.3%
|{{increaseNegative}}7.3%
|{{increaseNegative}}20.3%
|n/a
|-
|1997
|{{Increase}}339.4
|{{Increase}}7,908
|{{Increase}}169
|{{Increase}}3,938
|{{Increase}}2.6%
|{{increaseNegative}}8.6%
|{{increaseNegative}}22.0%
|n/a
|-
|1998
|{{Increase}}345.0
|{{Increase}}7,916
|{{Decrease}}152.9
|{{Decrease}}3,508
|{{Increase}}0.5%
|{{increaseNegative}}7.0%
|{{increaseNegative}}26.1%
|n/a
|-
|1999
|{{Increase}}358.2
|{{Increase}}8,099
|{{Decrease}}151.4
|{{Decrease}}3,424
|{{Increase}}2.4%
|{{increaseNegative}}5.1%
|{{decreasePositive}}23.3%
|n/a
|-
|2000
|{{Increase}}381.7
|{{Increase}}8,502
|{{Increase}}151.9
|{{Decrease}}3,382
|{{Increase}}4.2%
|{{increaseNegative}}5.3%
|{{increaseNegative}}23.0%
|37.9%
|-
|2001
|{{Increase}}400.9
|{{Increase}}8,767
|{{Decrease}}135.5
|{{Decrease}}2,964
|{{Increase}}2.7%
|{{increaseNegative}}5.7%
|{{increaseNegative}}26.0%
|{{increaseNegative}}38.0%
|-
|2002
|{{Increase}}422.2
|{{Increase}}9,107
|{{Decrease}}129.4
|{{Decrease}}2,791
|{{Increase}}3.7%
|{{increaseNegative}}9.0%
|{{increaseNegative}}27.8%
|{{decreasePositive}}31.8%
|-
|2003
|{{Increase}}443.2
|{{Increase}}9,469
|{{Increase}}197.0
|{{Increase}}4,209
|{{Increase}}2.9%
|{{increaseNegative}}5.9%
|{{decreasePositive}}27.7%
|{{decreasePositive}}31.5%
|-
|2004
|{{Increase}}475.8
|{{Increase}}10,058
|{{Increase}}256.2
|{{Increase}}5,415
|{{Increase}}4.6%
|{{increase}}1.4%
|{{decreasePositive}}25.2%
|{{decreasePositive}}30.7%
|-
|2005
|{{Increase}}516.6
|{{Increase}}10,795
|{{Increase}}288.7
|{{Increase}}6,033
|{{Increase}}5.3%
|{{increase}}3.4%
|{{decreasePositive}}24.7%
|{{decreasePositive}}29.6%
|-
|2006
|{{Increase}}562.4
|{{Increase}}11,610
|{{Increase}}304.1
|{{Increase}}6,276
|{{Increase}}5.6%
|{{increase}}4.7%
|{{decreasePositive}}23.6%
|{{decreasePositive}}28.0%
|-
|2007
|{{Increase}}608.6
|{{Increase}}12,398
|{{Increase}}332.6
|{{Increase}}6,776
|{{Increase}}5.4%
|{{increaseNegative}}7.1%
|{{decreasePositive}}23.0%
|{{decreasePositive}}24.3%
|-
|2008
|{{Increase}}640.1
|{{Increase}}12,854
|{{Decrease}}316.5
|{{Decrease}}6,356
|{{Increase}}3.2%
|{{increaseNegative}}11.0%
|{{decreasePositive}}22.5%
|{{decreasePositive}}24.0%
|-
|2009
|{{Decrease}}634.3
|{{Decrease}}12,548
|{{Increase}}331.2
|{{Increase}}6,552
|{{Decrease}}−1.5%
|{{increaseNegative}}7.2%
|{{increaseNegative}}23.7%
|{{increaseNegative}}27.0%
|-
|2010
|{{Increase}}661.4
|{{Increase}}12,885
|{{Increase}}417.3
|{{Increase}}8,130
|{{Increase}}3.0%
|{{increase}}4.2%
|{{increaseNegative}}24.9%
|{{increaseNegative}}31.2%
|-
|2011
|{{Increase}}696.5
|{{Increase}}13,362
|{{Increase}}458.7
|{{Increase}}8,799
|{{Increase}}3.2%
|{{increaseNegative}}5.0%
|{{decreasePositive}}24.8%
|{{increaseNegative}}34.7%
|-
|2012
|{{Increase}}698.2
|{{Increase}}13,191
|{{Decrease}}434.4
|{{Decrease}}8,207
|{{Increase}}2.4%
|{{increaseNegative}}5.6%
|{{increaseNegative}}24.9%
|{{increaseNegative}}37.4%
|-
|2013
|{{Increase}}730.5
|{{Increase}}13,591
|{{Decrease}}400.9
|{{Decrease}}7,458
|{{Increase}}2.5%
|{{increaseNegative}}5.7%
|{{decreasePositive}}24.7%
|{{increaseNegative}}40.4%
|-
|2014
|{{Increase}}741.9
|{{Increase}}13,595
|{{Decrease}}381.2
|{{Decrease}}6,985
|{{Increase}}1.4%
|{{increaseNegative}}6.1%
|{{increaseNegative}}25.1%
|{{increaseNegative}}43.3%
|-
|2015
|{{Increase}}758.9
|{{Increase}}13,697
|{{Decrease}}346.7
|{{Decrease}}6,257
|{{Increase}}1.3%
|{{increase}}4.6%
|{{increaseNegative}}25.4%
|{{increaseNegative}}45.2%
|-
|2016
|{{Increase}}772.8
|{{Increase}}13,738
|{{Decrease}}323.5
|{{Decrease}}5,751
|{{Increase}}0.7%
|{{increaseNegative}}6.3%
|{{increaseNegative}}26.7%
|{{increaseNegative}}47.1%
|-
|2017
|{{Increase}}790.2
|{{Increase}}13,839
|{{Increase}}381.3
|{{Increase}}6,678
|{{Increase}}1.2%
|{{increaseNegative}}5.3%
|{{increaseNegative}}27.5%
|{{increaseNegative}}48.6%
|-
|2018
|{{Increase}}821.4
|{{Increase}}14,178
|{{Increase}}404
|{{Increase}}6,973
|{{Increase}}1.5%
|{{increase}}4.6%
|{{increaseNegative}}27.1%
|{{increaseNegative}}51.7%
|-
|2019
|{{Increase}}838.6
|{{Increase}}14,271
|{{Decrease}}388.4
|{{Decrease}}6,609
|{{Increase}}0.3%
|{{increase}}4.1%
|{{increaseNegative}}28.7%
|{{increaseNegative}}56.2%
|-
|2020
|{{Decrease}}794.9
|{{Decrease}}13,332
|{{Decrease}}337.5
|{{Decrease}}5,661
|{{Decrease}}−6.3%
|{{increase}}3.3%
|{{increaseNegative}}29.2%
|{{increaseNegative}}69.0%
|-
|2021
|{{Increase}}868.6
|{{Increase}}14,442
|{{Increase}}418.9
|{{Increase}}6,965
|{{Increase}}4.9%
|{{increase}}4.6%
|{{increaseNegative}}34.3%
|{{Steady}}69.0%
|-
|2022
|{{Increase}}949.8
|{{Increase}}15,556
|{{Decrease}}405.7
|{{Decrease}}6,694
|{{Increase}}2.1%
|{{increaseNegative}}6.7%
|{{increaseNegative}}34.6%
|{{decreasePositive}}68.0%
|}
This is a chart of the trend of South Africa's gross domestic product (GDP) at market prices estimated by the [[International Monetary Fund]]:<ref>{{cite web|url=http://www.imf.org/external/pubs/ft/weo/2011/02/weodata/weorept.aspx?pr.x=35&pr.y=18&sy=1980&ey=2010&scsm=1&ssd=1&sort=country&ds=.&br=1&c=199%2C111&s=NGDPD%2CNGDPDPC%2CLUR&grp=0&a=|title=Report for Selected Countries and Subjects|access-date=11 June 2015}}</ref>
{{static row numbers}} 
{| class="wikitable sortable static-row-numbers static-row-header-text"
|-
! Year || GDP, US$ bln || US dollar exchange in early January || Unemployment rate ||Per capita income, in US$
|-
| 1980 || 80.547 || 0.8267 Rand<ref name="exchangerate">{{cite web |url=http://www.resbank.co.za/economics/histdownload/Download/DOLLAR.csv |title=Historical exchange rates – South African Reserve Bank |access-date=2014-08-09 |url-status=bot: unknown |archive-url=https://web.archive.org/web/20060331201533/http://www.resbank.co.za/economics/histdownload/Download/DOLLAR.csv |archive-date=31 March 2006}}</ref> || 9.2 || 2764
|-
| 1985 || 57.273 || 2.0052 Rand<ref name="exchangerate"/> || 15.5 || 1736
|-
| 1990 || 111.998 || 2.5419 Rand<ref name="exchangerate"/> || 16.0 || 3039
|-
| 1995 || 151.117 || 3.5486 Rand<ref name="exchangerate"/> || 16.7 || 3684
|-
| 2000 || 132.964 || 6.1188 Rand<ref name="exchangerate"/> || 25.6 || 2986
|-
| 2005 || 246.956 || 5.6497 Rand<ref name="exchangerate"/> || 26.7 || 5267
|-
| 2010 || 363.655 || 7.462 Rand<ref>{{cite web|url=http://www.x-rates.com/d/ZAR/USD/hist2010.html|title=Exchange Rate Average (South African Rand, US Dollar) – X-Rates|access-date=11 June 2015}}</ref> || 24.9 || 7274
|-
| 2015 || 346.660 || 15.52 Rand<ref>{{cite web|url=http://www.xe.com/currencytables/?from=ZAR&date=2015-12-31|title=XE Currency Table: ZAR – South African Rand|access-date=24 April 2018}}</ref> || 22.8 || 5744<ref>{{Cite web|url=https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?end=2015&locations=ZA&start=1960|title=GDP per capita (current US$) {{!}} Data|website=data.worldbank.org|language=en-us|access-date=2018-05-18}}</ref>
|-
|2020
|337.880
|14.65 Rand<ref>{{Cite web |title=Historical Rates Tables - ZAR {{!}} Xe |url=https://www.xe.com/currencytables/?from=ZAR&date=2020-12-31#table-section |access-date=2024-10-28 |website=www.xe.com}}</ref>
|29.2
|5638
|}

==Sectors==
South Africa has a comparative advantage in the production of [[agriculture]], [[mining]] and [[manufacturing]] products relating to these sectors.<ref>{{cite web|title=Competitiveness of selected South African agricultural products in the European union market |url=http://www.nda.agric.za/docs/Economic_analysis/2011_ER.pdf |publisher=Department of Agriculture, Forestry and Fisheries |archive-url=https://web.archive.org/web/20131211112102/http://www.nda.agric.za/docs/Economic_analysis/2011_ER.pdf |archive-date=11 December 2013 |page=3}}</ref> South Africa has shifted from a [[primary sector of the economy|primary]] and [[secondary sector of the economy|secondary]] economy in the mid-twentieth century to an economy driven primarily by the tertiary sector in the present day which accounts for an estimated 65% of GDP or $230 billion in nominal GDP terms. The country's economy is reasonably diversified with key economic sectors including mining, agriculture and fisheries, vehicle manufacturing and assembly, food processing, clothing and textiles, telecommunication, energy, [[financial services|financial and business services]], real estate, tourism, manufacturing, IT, transportation, and wholesale and retail trade.<ref>{{cite web|last=South Africa's Economy|title=Key Sectors|url=http://www.mediaclub.co.za/economy/37-economy/economy-bg/111-sa-economy-key-sectors|publisher=Media Club South Africa|access-date=1 March 2012|archive-date=6 April 2016|archive-url=https://web.archive.org/web/20160406152638/http://mediaclub.co.za/economy/37-economy/economy-bg/111-sa-economy-key-sectors}}</ref>

{| class="wikitable sortable"
|-
|+Seasonally adjusted and annualised quarterly value added (Q1 2013)<ref>{{cite news|title=Gross Domestic Product, First Quarter 2013|url=http://www.statssa.gov.za/publications/P0441/P04411stQuarter2013.pdf|work=StatsSA|date=28 May 2013}}</ref>
|-
!Industry || Value added<br />(R billion, 2004 prices)
|-
|Agriculture, forestry and fishing || 43.382
|-
|Mining and quarrying || 97.096
|-
|Manufacturing (incl Space industry) || 296.586
|-
|Electricity, gas and water || 33.951
|-
|Construction || 59.943
|-
|Wholesale and retail trade, hotels and restaurants || 246.584
|-
|Transport, storage and communication || 178.591
|-
|Finance, real estate and business services || 422.850
|-
|General government services || 271.209
|-
|Personal services || 107.690
|-
|Taxes less subsidies on products || 215.668
|-
!GDP at market prices || 1,973.552
|}

===Natural resources===
{{See also|Mining industry of South Africa}}
In 2019, the country was the world's largest producer of [[platinum]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-platinum.pdf| title = USGS Platinum Production Statistics}}</ref> the world's largest producer of [[chromium]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-chromium.pdf| title = USGS Chromium Production Statistics}}</ref> the world's largest producer of [[manganese]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-manganese.pdf| title = USGS Manganese Production Statistics}}</ref> the 2nd largest world producer of [[titanium]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-titanium-minerals.pdf| title = USGS Titanium Production Statistics}}</ref> the world's 11th largest producer of [[gold]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-gold.pdf| title = USGS Gold Production Statistics}}</ref> the 3rd worldwide producer of [[vanadium]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-vanadium.pdf| title = USGS Vanadinum Production Statistics}}</ref> the 6th largest world producer of [[iron ore]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-iron-ore.pdf| title = USGS Iron Ore Production Statistics}}</ref> the 11th largest world producer of [[cobalt]];<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-cobalt.pdf| title = USGS Cobalt Production Statistics}}</ref> and the 15th largest world producer of [[phosphate]].<ref>{{cite web| url = https://pubs.usgs.gov/periodicals/mcs2021/mcs2021-phosphate.pdf| title = USGS Phosphate Production Statistics}}</ref> It was the world's 12th largest producer of [[uranium]] in 2018.<ref>{{cite web| url = http://www.world-nuclear.org/info/inf23.html| title = World Uranium Mining| access-date = 28 April 2021| archive-date = 26 December 2018| archive-url = https://web.archive.org/web/20181226012424/http://www.world-nuclear.org/information-library/nuclear-fuel-cycle/mining-of-uranium/world-uranium-mining-production.aspx}}</ref>

Mining has been the main driving force behind the history and development of Africa's most advanced economy. Large-scale and profitable mining started with the discovery of a diamond on the banks of the [[Orange River]] in 1867 by Erasmus Jacobs and the subsequent discovery and exploitation of the [[Kimberley, Northern Cape|Kimberley]] pipes a few years later. Gold rushes to [[Pilgrim's Rest, Mpumalanga|Pilgrim's Rest]] and [[Barberton, Mpumalanga|Barberton]] were precursors to the biggest discovery of all, the Main Reef/Main Reef Leader on Gerhardus Oosthuizen's farm Langlaagte, Portion C, in 1886, the [[Witwatersrand Gold Rush]] and the subsequent rapid development of the goldfield there, the biggest of them all.

South Africa is one of the world's leading mining and mineral-processing countries.<ref name=usgs>{{cite web|last=Yager |first=Thomas R. |title=The Mineral Industry of South Africa |url=http://minerals.usgs.gov/minerals/pubs/country/2008/myb3-2008-sf.pdf |publisher=US Geological Survey |archive-url=https://web.archive.org/web/20120407233811/http://minerals.usgs.gov/minerals/pubs/country/2008/myb3-2008-sf.pdf |archive-date=7 April 2012 |page=37.1 |date=September 2010}}</ref> Though mining's contribution to the national GDP has fallen from 21% in 1970 to 6% in 2011, it still represents almost 60% of exports.<ref>{{cite news|title=Nationalisation in South Africa: A debate that will persist|url=http://www.economist.com/node/21541040|newspaper=The Economist|date=3 December 2011}}</ref> The mining sector accounts for up to 9% of value added.<ref name=adb-csp>{{cite web|title=Results-Based Country Strategy Paper, 2008–2012 |url=http://www.afdb.org/fileadmin/uploads/afdb/Documents/Project-and-Operations/South%20Africa%20Country%20Strategy%20Paper%202008-2010%20Mid%20Term%20Review%20and%20Update____05.pdf |publisher=African Development Bank |archive-url=https://web.archive.org/web/20120325011033/http://www.afdb.org/fileadmin/uploads/afdb/Documents/Project-and-Operations/South%20Africa%20Country%20Strategy%20Paper%202008-2010%20Mid%20Term%20Review%20and%20Update____05.pdf |archive-date=25 March 2012 |page=10 |date=October 2009}}</ref>

In 2008, South Africa's estimated share of world platinum production amounted to 77%; [[kyanite]] and other materials, 55%; chromium, 45%; [[palladium]], 39%; [[vermiculite]], 39%; [[vanadium]], 38%; [[zirconium]], 30%; [[manganese]], 21%; [[rutile]], 20%; [[ilmenite]], 19%; gold, 11%; [[fluorspar]], 6%; aluminium, 2%; [[antimony]], 2%; iron ore, 2%; nickel, 2%; and [[phosphate rock]], 1%.<ref name=usgs/> South Africa also accounted for nearly 5% of the world's polished diamond production by value.<ref name=usgs/> The country's estimated share of world reserves of [[platinum group metals]] amounted to 89%; [[hafnium]], 46%; [[zirconium]], 27%; [[vanadium]], 23%; [[manganese]], 19%; [[rutile]], 18%; [[fluorspar]], 18%; gold, 13%; [[phosphate rock]], 10%; [[ilmenite]], 9%; and nickel, 5%.<ref name=usgs/> It is also the world's third largest coal exporter.<ref>{{cite web| url = http://www.platts.com/Coal/highlights/2006/coalp_ee_091106.xml| title = South Africa's coal future looks bright}}</ref>

The mining sector has a mix of privately owned and state-controlled mines, the latter including [[African Exploration Mining and Finance Corporation]].<ref>{{cite news|url=http://www.miningmx.com/page/news/energy/1433254-AEMFC-readies-for-second-mine-as-losses-mount#.UQvAVr9yGE0|title=AEMFC readies for second mine as losses mount|date=18 October 2012|work=Mining MX|access-date=1 February 2013}}</ref>

===Agriculture and food processing===
{{Main|Agriculture in South Africa}}
[[Image:Farm in Mpumalanga.jpg|thumb|Workers planting on a farm in the central area of Mpumalanga]]
[[Image:SouthAfricaFieldwork21989.jpg|thumb|Farm workers]]
In 2018, South Africa produced 19.3 million tonnes of [[sugarcane]] (14th largest producer in the world), 12.5 million tonnes of [[maize]] (12th largest producer in the world) 1.9 million tons of [[grape]] (11th largest producer in the world), 1.7 million tons of [[Orange (fruit)|orange]] (11th largest producer in the world) and 397 thousand tons of [[pear]] (7th largest producer in the world).

In addition, in the same year, it produced 2.4 million tons of [[potato]], 1.8 million tons of [[wheat]], 1.5 million tons of [[soy]], 862 thousand tons of [[sunflower seed]], 829 thousand tons of [[apple]], 726 thousand tons of [[onion]], 537 thousand tons of [[tomato]], 474 thousand tons of [[lemon]], 445 thousand tons of [[grapefruit]], 444 thousand tons of [[banana]], 421 thousand tons of [[barley]], in addition to smaller productions of other agricultural products, such as [[avocado]], [[pineapple]], [[peach]], [[tangerine]], [[pumpkin]], [[cabbage]], [[carrot]], [[rapeseed]], [[sorghum]] etc.<ref>{{cite web| url = http://www.fao.org/faostat/en/#data/QC/| title = South Africa production in 2018, by FAO}}</ref>

The agricultural industry contributes around 5% of formal employment, relatively low compared to other parts of Africa, as well as providing work for casual labourers and contributing around 2.8% of GDP for the nation.<ref name="CIA World Fact Book - South Africa">{{cite web|url=https://www.cia.gov/the-world-factbook/countries/south-africa/ |title=The World Factbook- South Africa |publisher=Central Intelligence Agency |access-date=16 May 2018}}</ref><ref name="HRW">Human Rights Watch, 2001. [https://www.hrw.org/reports/2001/safrica2/ Unequal Protection]: The State Response to Violent Crime on South African Farms, {{ISBN|1-56432-263-7}}.</ref> However, due to the [[arid]]ity of the land, only 13.5% can be used for crop production, and only 3% is considered high potential land.<ref>Mohamed, Najma. 2000. "Greening Land and Agrarian Reform: A Case for Sustainable Agriculture", in ''At the Crossroads: Land and Agrarian Reform in [[South Africa]] into the 21st century'', ed. Cousins, Ben. Bellville, School of Government, University of the Western Cape. {{ISBN|1-86808-467-1}}.</ref>

The sector continues to face problems, with increased foreign competition and crime being two of the major challenges for the industry. The government has been accused of either putting in too much effort,<ref>{{cite book |author=Bronwen Manby |title=Unequal Protection – The State Response to Violent Crime on South African Farms |publisher=[[Human Rights Watch]] |date=August 2001 |url=https://www.hrw.org/reports/2001/safrica2/ |access-date=28 October 2006 |isbn=978-1-56432-263-0}}</ref> or not enough effort,<ref name="Times">[https://web.archive.org/web/20070210173426/http://www.timesonline.co.uk/tol/life_and_style/article694534.ece Farms of Fear], The Sunday Times Magazine.</ref> to tackle the problem of [[South African farm attacks|farm attacks]] as opposed to other forms of violent crime.

Maize production, which contributes to a 36% majority of the gross value of South Africa's field crops, has also experienced negative effects due to climate change.<ref>{{Cite web |title=AGRICULTURE, FORESTRY AND FISHERIES |url=https://www.gcis.gov.za/sites/default/files/docs/resourcecentre/pocketguide/013_agriculture.pdf |access-date=2024-07-19}}</ref> The estimated value of loss, which takes into consideration scenarios with and without the carbon dioxide fertilization effect,<ref>[http://www.fao.org/docrep/w5183e/w5183e06.htm The CO2 fertilization effect: higher carbohydrate production and retention as biomass and seed yield]. Retrieved 11 January 2010.</ref> ranges between tens and hundreds of millions of Rands.<ref>{{cite web |url=http://climsec.prio.no/papers/Economic%20Impacts%20of%20Climate%20Change%20on%20Agriculture%20and%20Implications%20for%20Food%20Security%20in%20Southern%20Africa.pdf |title=Economic Impacts of Climate Changeon Agriculture and Implications for Food Security in Southern Africa |access-date=2015-04-19 |archive-date=13 August 2011 |archive-url=https://web.archive.org/web/20110813034555/http://climsec.prio.no/papers/Economic%20Impacts%20of%20Climate%20Change%20on%20Agriculture%20and%20Implications%20for%20Food%20Security%20in%20Southern%20Africa.pdf}}</ref>

According to [[FAOSTAT]], South Africa is one of world's largest producers of: [[chicory root]]s (4th); [[grapefruit]] (4th); [[cereals]] (5th); [[green maize]] and maize (7th); [[castor oil seed]] (9th); pears (9th); [[sisal]] (10th); [[fibre crop]]s (10th).<ref name="FAOSTAT Production statistics 2008">{{cite web |url=http://faostat.fao.org/site/339/default.aspx |title=FAOSTAT 2008 by Production |publisher=faostat.fao.org |access-date=6 June 2008 |archive-date=13 July 2011 |archive-url=https://web.archive.org/web/20110713020710/http://faostat.fao.org/site/339/default.aspx |url-status=dead}}</ref> In the first quarter of 2010, the agricultural sector earned export revenues for R10.1 billion and used R8.4 billion to pay for imported agricultural products, therefore earning a positive trade balance of R1.7 billion.<ref name="daff2011">{{cite web|title=Competitiveness of selected South African agricultural products in the European union market |url=http://www.nda.agric.za/docs/Economic_analysis/2011_ER.pdf |publisher=Department of Agriculture, Forestry and Fisheries |archive-url=https://web.archive.org/web/20131211112102/http://www.nda.agric.za/docs/Economic_analysis/2011_ER.pdf |archive-date=11 December 2013 |page=4}}</ref>

The most important agricultural exports of South Africa include: edible fruit and nuts, beverages, preserved food, tobacco, [[cereals]], [[wool]] not carded or combed, miscellaneous food, sugar, meat, milling products, malt and starch.<ref name="daff2011"/> These products accounted for over 80% of agricultural export revenue in the first quarter of 2010.<ref name="daff2011"/> The most important agricultural imports, which accounted for over 60% of agricultural import value during the same period, include: cereals, meat, soya-bean oil cake, beverages, soya-bean oil and its fractions, tobacco, palm oil and its fractions, miscellaneous food, spices, coffee, tea, and preserved food.<ref name="daff2011"/>

The dairy industry consists of around 4,300 milk producers providing employment for 60,000 farm workers and contributing to the livelihoods of around 40,000 others.<ref>{{cite web|url=http://www.southafrica.co.za/agriculture_29.html|work=South Africa Online|title=Agriculture|access-date=17 July 2006|archive-url=https://web.archive.org/web/20060923070755/http://www.southafrica.co.za/agriculture_29.html|archive-date=23 September 2006}}</ref>

The food sub-sector is the largest employer within the agro-processing sector – contributing 1.4% to total employment, and 11.5% within the manufacturing sector.<ref name="agropro5"/> In 2006, the agro-processing sector represented 24.7% of the total manufacturing output.<ref name="agropro5"/> Although the economy as a whole gained 975,941 jobs between 1995 and 2006, the agro-processing sector lost 45,977 jobs.<ref name="agropro5"/> The competitive pressures from abroad, particularly from China and India, played a role in the decline of exports for the food, textiles and paper sub-sectors, as firms in these sectors increasingly compete with lower cost producers.<ref name="agropro5"/> Increased exports from the beverages, tobacco, wood and leather sub-sectors over the period are probably due to the presence of large dominant firms within these sectors in South Africa, that have managed to remain competitive.<ref name=agropro5>{{cite web|title=Asgisa And Economic Growth: Implications For Skills Development |url=http://www.labour.gov.za/downloads/documents/research-documents/asgisa_economicgrowth.pdf |publisher=Department of Labour, South Africa |page=5 |date=March 2008 |archive-url=https://web.archive.org/web/20140713055141/http://www.labour.gov.za/downloads/documents/research-documents/asgisa_economicgrowth.pdf |archive-date=13 July 2014}}</ref>

===Manufacturing===
The manufacturing industry's contribution to the [[economy]] is relatively small, providing just 13.3% of jobs and 15% of GDP. There are growing sectors of manufacturing, however, such as in the Space industry. Labour costs are low, but not nearly as low as in most other emerging markets, and the cost of the transport, communications and general living is much higher.<ref name="econ-jobless">{{cite news| url=http://www.economist.com/node/16248641 |title = South Africa, Jobless growth – The Economist| newspaper = [[The Economist]]}}</ref>

The [[Automotive industry in South Africa|South African automotive industry]] accounts for about 10% of South Africa's manufacturing exports, contributes 7.5% to the country's GDP and employs around 36,000 people. Annual production in 2007 was 535,000 vehicles, out of a global production of 73 million units in the same year. Vehicle exports were in the region of 170,000 units in 2007, exported mainly to Japan (about 29% of the value of total exports), Australia (20%), the UK (12%) and the US (11%). South Africa also exported ZAR 30.3&nbsp;billion worth of auto components in 2006.<ref name="auto-industry">{{cite web|url=http://www.mbendi.com/indy/motr/af/sa/p0005.htm|title=Automotive in South Africa – Key information on the South African motor industry|work=MBendi.com|access-date=11 June 2015|archive-url=https://web.archive.org/web/20081202072824/http://www.mbendi.com/indy/motr/af/sa/p0005.htm|archive-date=2 December 2008}}</ref>

[[BMW]], [[Ford Motor Company|Ford]], [[Volkswagen]], [[Daimler-Chrysler]], [[General Motors]], [[Nissan]] and [[Toyota]] all have production plants in South Africa. Large component manufacturers with bases in the country are Arvin Exhaust, Bloxwitch, Corning and Senior Flexonics. There are also about 200 automotive component manufacturers in South Africa, and more than 150 others that supply the industry on a non-exclusive basis. The industry is concentrated in two provinces, the [[Eastern Cape]] and [[Gauteng]].<ref name="auto-industry"/> Companies producing in South Africa can take advantage of the low production costs and the access to new markets as a result of trade agreements with the European Union and the [[Southern African Development Community]].<ref name="auto-industry" />

After a steep decline of 10.4% in 2009, the manufacturing sector performed well in 2010, growing by 5%, though this rebound was primarily limited to the automotive, basic chemicals, iron and steel and food and beverages industries.<ref name="dti-report">{{cite web|title=Annual report 2010–2011 |url=http://www.info.gov.za/view/DownloadFileAction?id=158493 |publisher=Department of Trade and Industry |archive-url=https://web.archive.org/web/20130130201043/http://www.info.gov.za/view/DownloadFileAction?id=158493 |archive-date=30 January 2013 |page=26}}</ref> The performance of this sector remains curtailed by the low demand in South Africa's main export markets in the developed world.<ref name=dti-report/> There is growth in some areas, such as the Space industry in South Africa, which is expected to see an increase in Space industry jobs, and jobs in supporting technology and manufacturing sectors.

===Service industry===
{{See also|Telecommunications in South Africa|Tourism in South Africa}}
[[File:Canal walk cpt.jpg|thumb|[[Canal Walk]] shopping centre in Cape Town]]

==== Tourism ====
{{Empty section|date=April 2023}}

==== Telecommunications ====
The domestic telecommunications infrastructure provides modern and efficient service to urban and rural areas. This includes cellular and internet services from 5G to Gigabit Broadband.

In 1997, [[Telkom (South Africa)|Telkom]], the South African telecommunications [[parastatal]], was partly privatised and entered into a strategic equity partnership with a consortium of SBC (AT&T), in exchange for a monopoly to provide certain services for 5 years. Telkom assumed an obligation to facilitate network modernization and expansion into the unserved areas.{{citation needed|date=May 2020}} A Second Network Operator, Neotel was to be licensed to compete with Telkom across its spectrum of services in 2002. Licensing officially began in late 2005.{{citation needed|date=May 2020}}

Five mobile-phone companies provide service to over 50 million subscribers, with South Africa considered to have the 4th most advanced mobile telecommunications network worldwide.{{citation needed|date=May 2020}} The five major cellular providers are [[Vodacom]], [[MTN Group|MTN]], [[Cell C]](Vodacom), Telkom Mobile(8.ta) and Rain, with Neotel owned by Liquid Telecoms not offering mobile service anymore.

South African companies which provide services related to the Space industry, also increasing, and with the correct government legislation and support, this sector is expected to grow in South Africa.

===Business process outsourcing===
Over the last few decades, South Africa and particularly the [[Cape Town]] region has established itself as a successful [[call centre]] and [[business process outsourcing]] destination. With a highly talented pool of productive labour and with Cape Town sharing cultural affinity with Britain, large overseas firms such as Lufthansa, Amazon.com, ASDA, The Carphone Warehouse, Delta Airlines and many more have established inbound call centres within Cape Town as a means of utilising Cape Town's low labour costs and talented labour force.<ref>{{Cite web |last=Accelerator |first=Outsource |title=Outsourcing to South Africa |url=https://www.outsourceaccelerator.com/articles/outsourcing-to-south-africa/ |access-date=2023-02-24 |website=Outsource Accelerator |language=en-US}}</ref>

===Tourism===
South Africa is a popular tourist destination, with around 860,000 arrivals per month (March 2008) of which around 210,000 is from outside the African continent.<ref name="SATStats-20080603">{{cite web |url=http://www.southafrica.net/satourism/research/viewResearchDetail.cfm?Action=Download&FileID=29993&ReportTypeCategoryID=65 |title=Monthly tourism statistics June 2008 |access-date=23 June 2008 |date=3 June 2008 |format=PDF |publisher=South African Tourism}}</ref> In 2012 South Africa received 9.2 million international arrivals.<ref name="UNWTO Hightlights 2013">{{cite web |url=http://dtxtq4w60xqpw.cloudfront.net/sites/all/files/pdf/unwto_highlights13_en_lr_0.pdf |title=UNWTO Tourism Highlights 2013 edition |access-date=20 November 2013 |publisher=UNWTO |archive-url=https://web.archive.org/web/20131127174556/http://dtxtq4w60xqpw.cloudfront.net/sites/all/files/pdf/unwto_highlights13_en_lr_0.pdf |archive-date=27 November 2013}}</ref> In August 2017 3.5 million travellers came to South Africa.<ref name="SA Stats-10637">{{cite web |url=http://www.statssa.gov.za/?p=10637 |title=Monthly tourism statistics August 2017 |access-date=4 February 2018 |publisher=Statistics South Africa}}</ref> According to the World Travel & Tourism Council, travel and tourism directly contributed ZAR102 billion to South African GDP in 2012 and supports 10.3% of jobs in the country.<ref>{{cite web |url=http://wttc.org/site_media/uploads/downloads/south_africa2013_2.pdf |title=Travel & Tourism Economic Impact 2013 South Africa |access-date=20 November 2013 |date=March 2013 |publisher=WTTC |archive-url=https://web.archive.org/web/20140309024152/http://www.wttc.org/site_media/uploads/downloads/south_africa2013_2.pdf |archive-date=9 March 2014}}</ref> Among the main attractions are the diverse and picturesque landscape, the game reserves and the highly regarded local wines.

The country's borders were reopened on 1 October 2020, with some exceptions to tourists travelling from specific European countries and the US, due to high levels of COVID-19 activity taking place there.

===Financial services===
{{update section|date=May 2022}}
[[Image:Ponte City (3464450399).jpg|thumb|Johannesburg]]
South Africa has a sophisticated financial structure, with the JSE Limited, the largest [[stock exchange]] on the African continent, ranking 17th in the world in terms of total [[market capitalisation]], which is $1,005 Trillion as of August 2020.<ref name="JSE 2020">{{cite web | title=JSE Markets' Weekly Statistics 20200821 | website=Market Statistics; JSE | date=28 August 2018 | url=https://www.jse.co.za/content/JSEEquityMarketWeeklyStatisticsItems/JSE%20Markets'%20Weekly%20Statistics%2020200821.xlsx |archive-url=https://web.archive.org/web/20200828112906/https://www.jse.co.za/content/JSEEquityMarketWeeklyStatisticsItems/JSE%20Markets%27%20Weekly%20Statistics%2020200821.xlsx |archive-date=28 August 2020 |format=XLSX |access-date=28 August 2020}}</ref><ref name="USD/ZAR Exchange Rate at Market Open (2020-08-28)">{{cite web |title=USD to ZAR Exchange Rate |website=Bloomberg |date=28 August 2020 |url=https://www.bloomberg.com/quote/USDZAR:CUR |archive-url=https://web.archive.org/web/20200828113455/https://www.bloomberg.com/quote/USDZAR:CUR |archive-date=28 August 2020 |access-date=28 August 2020}}</ref>

The [[Banking in South Africa|banking industry]], overseen by the [[South African Reserve Bank]], is dominated by four local players: [[Nedbank]], [[Absa Group|ABSA]], [[Standard Bank]] and [[First Rand]].<ref name="treasury">{{cite web|title=Doing business in South Africa |url=http://www.transactionservices.citigroup.com/transactionservices/home/about_us/articles/archive/2009/docs/Citi_CountryProfile_SouthAfrica.pdf |publisher=Treasury Today |archive-url=https://web.archive.org/web/20140430092119/http://www.transactionservices.citigroup.com/transactionservices/home/about_us/articles/archive/2009/docs/Citi_CountryProfile_SouthAfrica.pdf |archive-date=30 April 2014 |page=17}}</ref> These banks provide both retail and investment banking services as the sector has become highly competitive with the re-entry of many experienced foreign banks, which returned to the market in the mid-1990s, having left in the late 1980s.<ref name="treasury"/> Banks operating in South Africa, when left short of liquidity, need to borrow from the SARB at a fluctuating [[repo rate]], which, in turn, allows the central bank to monitor liquidity positions.<ref name="treasury"/>

=== Informal sector ===
South Africa's informal sector contributes 8% of the country's GDP and supports 27% of all working people. The South African Local Economic Development Network values the informal economy at 28% of SA's GDP.<ref>{{Cite news|url=http://www.fin24.com/Finweek/Business-and-economy/vital-part-of-sa-economy-still-being-ignored-20170426|title=Vital part of SA economy still being ignored|last=Greve|first=Natalie|date=2017-04-26|work=Fin24|access-date=2017-05-06|archive-date=29 April 2017|archive-url=https://web.archive.org/web/20170429234154/http://www.fin24.com/finweek/business-and-economy/vital-part-of-sa-economy-still-being-ignored-20170426}}</ref> Given the relevance of this input, there is a constant interest in developing actions on an inclusive urban planning for the working poor.<ref>{{Cite web|url=http://sior.ub.edu/jspui/cris/socialimpact/socialimpact00431|title=Graduate Training. [Social Impact]. ICP. Inclusive Cities Project (2008–2014).|website=SIOR, Social Impact Open Repository|access-date=5 September 2017|archive-date=5 September 2017|archive-url=https://web.archive.org/web/20170905143316/http://sior.ub.edu/jspui/cris/socialimpact/socialimpact00431}}</ref>

==Trade and investment==
{{Main|Foreign trade of South Africa}}
[[File:South African trade balance 1992-2011.svg|thumb|South African exports and imports between 1992 and 2011. Top graph illustrates exports (dark blue) and imports (light blue). The bottom graph illustrates South Africa's balance of trade.]]
Principal international trading partners of South Africa—besides other African countries—include Germany, the United States, China, Japan, the United Kingdom, Bangladesh and Spain.<ref name=factbook>{{cite web|url=https://www.cia.gov/the-world-factbook/countries/south-africa/|title=South Africa|work=The World Factbook|date=31 May 2022 |publisher=CIA}}</ref> Chief exports include [[maize|corn]], diamonds, fruits, gold, metals and minerals, sugar, and wool. Machinery and transportation equipment make up more than one-third of the value of the country's imports. Other imports include chemicals, manufactured goods, and petroleum.

As a result of a November 1993 bilateral agreement, the [[Overseas Private Investment Corporation]] (OPIC) can assist US investors in the South African market with services such as political risk insurance and loans and loan guarantees. In July 1996, the US and South Africa signed an investment fund protocol for a $120&nbsp;million OPIC fund to make equity investments in South and Southern Africa.

OPIC is establishing an additional fund – the Sub-Saharan Africa Infrastructure Fund, capitalised at $350&nbsp;million – to investment in infrastructure projects. The Trade and Development Agency also has been actively involved in funding feasibility studies and identifying investment opportunities in South Africa for U.S. businesses.

Despite the numerous positive economic achievements since 1994, South Africa has struggled to attract significant [[foreign direct investment]]. The situation may have started to change however, with 2005 seeing the largest single FDI into South Africa when [[Barclays]] bought a majority share in local bank [[Absa Group Limited]]. Deals between the British-based [[Vodafone]] and South Africa's [[Vodacom]] have taken place in 2006. In 2010, two multibillion-dollar deals, one by HSBC to acquire Nedbank and one by Walmart to acquire Massmart Holdings, fell through. (Walmart did buy Massmart in 2011.)

== Land reform and property rights ==
=== Nationalisation of mines debate ===
South Africa has been riven by arguments over whether the state should take over mineral resources.<ref name="minenat"/> A study commissioned by the African National Congress recommended against the policy, saying nationalisation would be an "economic disaster."<ref name="minenat">{{cite news|title=Anglo Says South Africa Must End Debate Over Nationalization |url=http://mobile.bloomberg.com/news/2012-02-07/anglo-says-south-africa-must-end-debate-over-nationalization-1- |publisher=Bloomberg |author1=Vernon Wessels |author2=Carli Lourens |archive-url=https://web.archive.org/web/20140810094334/http://mobile.bloomberg.com/news/2012-02-07/anglo-says-south-africa-must-end-debate-over-nationalization-1- |archive-date=10 August 2014 |date=7 February 2012}}</ref> However, the ANC Youth Employment supporters disagree and state that it will give the government direct control over the mining sector which is also in alignment with the '''Freedom Charter''' signed in 1995.<ref>{{Cite journal |last1=Nattrass |first1=Nicoli |last2=Nattrass |first2=Jill |date=October 1990 |title=South Africa, the homelands and rural development |journal=Development Southern Africa |volume=7 |issue=sup1 |pages=517–534 |doi=10.1080/03768359008439560 |issn=0376-835X}}</ref>

=== Land redistribution ===
The government aimed to transfer 30% of the 82 million hectares estimated to be in the hands of white farmers by [[Gugile Nkwinti]], Minister of Rural Development and Land Reform, amounting to 24.5 million hectares, to black farmers by 2014. 6.7 million hectares had been transferred by early 2012 via redistribution and restitution.<ref>{{cite web |last=Davies |first=Richard |title=Minister dissects government's land-reform target |url=http://www.businessday.co.za/articles/Content.aspx?id=166399 |publisher=BusinessDay |archive-url=https://web.archive.org/web/20120304133406/http://www.businessday.co.za/Articles/Content.aspx?id=166399 |archive-date=4 March 2012 |date=1 March 2012}}</ref>

The land reform program has been criticised both by farmers' groups and by landless workers, the latter alleging that the pace of change has not been fast enough, and the former alleging anti white racist treatment with threats of genocide, voiced openly on multiple occasions by the ANC, including the former president Zuma, and expressing concerns that a similar situation to [[Land reform in Zimbabwe|Zimbabwe's land reform policy]] may develop,<ref>[https://archive.today/20070220234020/http://www.timesonline.co.uk/article/0,,1052-2352011,00.html South Africa's bitter harvest].</ref> a fear exacerbated by comments made by former deputy president [[Phumzile Mlambo-Ngcuka]].<ref>[http://news.bbc.co.uk/1/hi/world/africa/4718707.stm South Africans' long wait for land], BBC News.</ref><ref>[http://news.bbc.co.uk/1/hi/world/africa/4140990.stm SA 'to learn from' land seizures], BBC News.</ref>

==Labour market==
South Africa has an extreme and persistent high unemployment rate of over 30%, which interacts with other socioeconomic problems such as: inadequate education, poor health and high levels of crime.<ref>{{cite web |title=Economic Survey of South Africa 2010 |url=http://www.oecd.org/document/21/0,3343,en_2649_33733_45637781_1_1_1_1,00.html |url-status=dead |archive-url=https://web.archive.org/web/20100720213622/http://www.oecd.org/document/21/0,3343,en_2649_33733_45637781_1_1_1_1,00.html |archive-date=2010-07-20 |access-date=11 June 2015 |website=Organisation for Economic Co-operation and Development}}</ref> The poorest have limited access to economic opportunities and basic services.<ref name=wbcb/>  According to a 2013 Goldman Sachs report, that number increases to 35% when including people who have given up looking for work.<ref name="cnn.com"/> A quarter of South Africans live on less than US$1.25 a day.<ref>{{cite web|url=http://hdr.undp.org/en/media/HDI_2008_EN_Tables.pdf%7ctitle=HDI%7cpublisher=UNDP|title=- Human Development Reports|access-date=11 June 2015}}</ref>

South Africa's mass unemployment dates back to the 1970s, and continued to rise throughout the 1980s and 1990s.<ref name=lametal>{{cite web|title=Education and Youth Unemployment in South Africa|url=http://www.saldru.uct.ac.za/home/index.php?/component/option,com_docman/Itemid,32/gid,250/task,doc_download/|publisher=Southern Africa Labour and Development Research Unit|author1=David Lam|author2=[[Murray Leibbrandt]]|author3=Cecil Mlatsheni|archive-url=https://www.webcitation.org/65yEonSxJ?url=http://www.saldru.uct.ac.za/home/index.php?%2Fcomponent%2Foption%2Ccom_docman%2FItemid%2C32%2Fgid%2C250%2Ftask%2Cdoc_download%2F|archive-date=6 March 2012|page=2|year=2008}}</ref> Unemployment has increased substantially since the [[African National Congress]] came to power in 1994, increasing from 15.6% in 1995 to 30.3% in 2001.<ref name=uninsa>{{cite journal |first1=Abhijit |last1=Banerjee |first2=Sebastian |last2=Galiani |first3=Jim |last3=Levinsohn |first4=Zoë |last4=McLaren |first5=Ingrid |last5=Woolard |title=Why has unemployment risen in the New South Africa? |journal=Economics of Transition |volume=16 |issue=4 |year=2008 |pages=715–740 |doi=10.1111/j.1468-0351.2008.00340.x |citeseerx=10.1.1.514.4342 |s2cid=33437467}}</ref> In the second quarter of 2010, the jobless rate increased to 25.3%, and the number of people with work fell by 61,000 to 12,700,000. The biggest decline in employment was recorded in the manufacturing industry, which lost 53,000 jobs. Agriculture lost 32,000 jobs, employment in the construction industry fell by 15,000.<ref>{{cite web|url=https://www.bloomberg.com/news/2010-07-27/south-african-jobless-rate-rises-to-25-3-undermining-economic-recovery.html|title=South Africa Sheds Jobs, Denting Economic Recovery|author=Nasreen Seria|date=27 July 2010|work=Bloomberg.com|access-date=11 June 2015}}</ref> In the third quarter of 2010, 29.80% of blacks were recorded as unemployed, compared with 22.30% of Coloureds, 8.60% of Asians and 5.10% of Whites.<ref>[https://web.archive.org/web/20230609210448/http://www.statssa.gov.za/timeseriesdata/pxweb2006/Dialog/varval.asp?ma=Key_indicator_time_series&ti=Economic+Indicators+for+2009-2010+by+year%2Ckey+indicator+and+month&path=../Database/South%20Africa/Key%20Indicators/&lang=1 Statistics South Africa – Economic Indicators for 2009–2010 by Year, Key Indicators and month] </ref>

The official unemployment rate, though very high by international standards, understates its magnitude because it includes only adults who are actively looking for work. Therefore, excluding those who have given up looking for employment.<ref name=cde-fresh>{{cite web|title=A Fresh Look at Unemployment|url=http://www.cde.org.za/attachment_view.php?aa_id=397|publisher=Centre for Development and Enterprise|archive-url=https://www.webcitation.org/65yFcwa32?url=http://www.cde.org.za/attachment_view.php?aa_id=397|archive-date=6 March 2012|page=2|date=July 2011}}</ref> Only 41% of the population of working age have any kind of job (formal or informal).<ref name="cde-fresh" /> This rate is 30% points lower than that of China, and about 25% lower than that of Brazil or Indonesia.<ref name="cde-fresh" /> The relatively generous social grants reduces the political cost of unemployment.<ref name="ecopuzzle">{{cite web |last=Rodrik |first=Dani |title=Understanding South Africa's Economic Puzzles |url=http://www.hks.harvard.edu/fs/drodrik/Research%20papers/Understanding%20South%20Africa.pdf |publisher=John F. Kennedy School of Government |archive-url=https://web.archive.org/web/20120312112729/http://www.hks.harvard.edu/fs/drodrik/Research%20papers/Understanding%20South%20Africa.pdf |archive-date=12 March 2012 |page=11 |date=September 2006}}</ref> There is some evidence that households view paid employment and social grants as substitutes at the margin: households that lose a pension-eligible member subsequently report increased labour force participation.<ref name="ecopuzzle" />

The unemployment problem is characterised by its lengthy duration. In the mid-1990s, nearly two-thirds of unemployed people had never worked for a salary.<ref name="lametal" /> The 2005 Labour Force Survey found that 40% of unemployed individuals have been unemployed for more than three years, while 59% had never had a job at all.<ref name="lametal" /> The unemployment rate has fuelled crime, inequality and social unrest. The [[Late-2000s recession|global economic downturn]] made the problem worse, wiping out more than one million jobs. In September 2010, over one-third of South Africa's workforce were out of work, and so were more than half of blacks aged 15–34, three times the level than Whites.<ref name="nyt0910">{{cite news |url=https://www.nytimes.com/2010/09/27/world/africa/27safrica.html |title=Wage Laws Squeeze South Africa's Poor – NYTimes.com |newspaper=The New York Times |date=27 September 2010 |last1=Dugger |first1=Celia W.}}</ref>

Some experts contend that higher wages negotiated by politically powerful [[Trade unions in South Africa|trade unions]] have suppressed job growth.<ref name="nyt0910"/> According to a study by [[Dani Rodrik]], the shrinkage of the non-mineral [[tradable sector]] since the early-1990s and the weakness of the export-oriented manufacturing were more to blame for the low level of employment.<ref name="Rodrik">{{cite web|url=http://www.hks.harvard.edu/fs/drodrik/Research%20papers/Understanding%20South%20Africa.pdf|title=Understanding South Africa|access-date=5 September 2011|archive-url=https://web.archive.org/web/20120312112729/http://www.hks.harvard.edu/fs/drodrik/Research%20papers/Understanding%20South%20Africa.pdf|archive-date=12 March 2012}}</ref>

===Knowledge===
There has been a large degree of [[brain drain|human capital flight]] from South Africa in recent years.<ref name=ndulu>Human Capital Flight: Stratification, Globalization, and the Challenges to Tertiary Education in Africa; ''Benno J. Ndulu''; JHEA/RESA Vol. 2, No. 1, 2004, pp. 57–91</ref><ref name="mig_study">{{cite web|url=http://www.ilo.int/public/english/protection/migrant/download/imp/imp52e.pdf|title=Labour migration|access-date=11 June 2015|archive-date=16 June 2012|archive-url=https://web.archive.org/web/20120616165604/http://www.ilo.int/public/english/protection/migrant/download/imp/imp52e.pdf}}</ref> South Africa's Bureau of Statistics estimates that between 1 million and 1.6&nbsp;million people in skilled, professional, and managerial occupations have emigrated overseas between 1994 and 2004 and that, for every emigrant, 10 unskilled people lose their jobs.<ref name="ndulu"/> There are a range of causes cited for the migration of skilled South Africans.

In mid-1998, the Southern African Migration Project (SAMP) undertook a study to examine and assess the range of factors that contribute to skilled South Africans' desire to leave the country: over two-thirds of the sample said that they had given the idea of emigration some thought while 38% said they had given it a "great deal of thought".

Among the reasons cited for wishing to leave the country was the declining quality of life and high levels of crime. Furthermore, the government's [[Affirmative action#South Africa|affirmative action]] policy was identified as another factor influencing the emigration of skilled White South Africans. The results of the survey indicate that skilled Whites are strongly opposed to this policy and the arguments advanced in support of it, due to the negative impact it has had on South Africa.<ref name="mig_study" />

However, flight of human capital in South Africa should not be attributed solely to regional factors. For example, the demand for skilled labourers in the UK, US, Canada, New Zealand, and Australia has led to active recruitment programs by those countries in South Africa. These countries accounted for 75% (by volume) of recent skilled emigration with the UK receiving approximately half of annual skilled South African emigration from 1990 to 1996.<ref name="mig_study" /> It has been suggested that the role of domestic socio-political variables may be negligible.<ref name="mig_study" /> The health sector has been hit particularly hard.<ref>[http://www.equinetafrica.org/bibl/docs/healthpersonnel.pdf Health Personnel in Southern Africa: Confronting maldistribution and brain drain] {{webarchive|url=https://web.archive.org/web/20110430024959/http://www.equinetafrica.org/bibl/docs/healthpersonnel.pdf |date=30 April 2011}}</ref>

A widespread skills drain in South Africa and in the developing world in general is generally considered to be a cause for concern.<ref>{{cite journal|url=http://jae.oxfordjournals.org/cgi/content/abstract/13/suppl_2/ii15|archive-url=https://web.archive.org/web/20060927143525/http://jae.oxfordjournals.org/cgi/content/abstract/13/suppl_2/ii15|archive-date=27 September 2006|title=Africa's Exodus: Capital Flight and the Brain Drain as Portfolio Decisions|author=Paul Collier|journal=Journal of African Economies |date=2004 |volume=13 |pages=ii15–ii54 |doi=10.1093/jae/ejh042 |access-date=11 June 2015|url-access=subscription}}</ref>

For the medical sector, the loss of returns from investment for all doctors emigrating is $1.41bn for South Africa. The benefit to destination countries is huge: $2.7bn for the United Kingdom alone.<ref>Mills EJ et coll.: ''The financial cost of doctors emigrating from sub-Saharan Africa: human capital analysis''. British Medical Journal 2011.343.</ref>

In a case of [[reverse brain drain]] a net 359,000 high-skilled South Africans have returned to South Africa from foreign work assignments over a five-year period from 2008 to 2013. This was catalysed by the [[2008 financial crisis]] and perceptions of higher quality of life in South Africa relative to the countries from which they first emigrated to.  It is estimated that around 37% of those returning are professionals such as lawyers, doctors, engineers and accountants.<ref name="bdlive1">{{cite web |url=http://www.bdlive.co.za/national/labour/2014/01/14/expertise-flows-back-into-sa-as-brain-drain-is-reversed |title=Expertise flows back into SA as brain drain is reversed |publisher=Business Day |date=14 January 2014 |access-date=14 January 2014 |author=Hedley, Nick |archive-date=18 January 2014 |archive-url=https://web.archive.org/web/20140118081039/http://www.bdlive.co.za/national/labour/2014/01/14/expertise-flows-back-into-sa-as-brain-drain-is-reversed |url-status=dead}}</ref>

===Immigration===
{{See also|Immigration to South Africa|Xenophobia in South Africa}}
Refugees from poorer neighbouring countries include many immigrants from the Democratic Republic of the Congo, Mozambique, Zimbabwe, Malawi and others, representing a large portion of the [[informal sector]].

With high unemployment levels amongst poorer South Africans, xenophobia is prevalent and many South Africans feel resentful of immigrants who are seen to be depriving the native population of jobs, a feeling which has been given credibility by the fact that many South African employers have employed migrants from other countries for lower pay than South African citizens, especially in the construction, tourism, agriculture and [[domestic service]] industries. Illegal immigrants are also heavily involved in informal trading.<ref>{{cite web |url=http://www.iss.co.za/pubs/ASR/5No4/StrategigPerspectives.html |title=African Security Review Vol&nbsp;5 No&nbsp;4, 1996: Strategic Perspectives on Illegal Immigration into South Africa |archive-url=https://web.archive.org/web/20051019134404/http://www.iss.co.za/Pubs/ASR/5No4/StrategigPerspectives.html |archive-date=19 October 2005}}</ref> However, many immigrants to South Africa continue to live in poor conditions, and the South African immigration policy has become increasingly restrictive since 1994.<ref>{{cite web|url=http://www.queensu.ca/samp/sampresources/samppublications/policyseries/policy20.htm|title=Queens College: The Brain Gain: Skilled Migrants and Immigration Policy in Post-Apartheid South Africa|archive-url=https://web.archive.org/web/20051125214008/http://www.queensu.ca/samp/sampresources/samppublications/policyseries/policy20.htm|archive-date=25 November 2005}}</ref>

===Trade unions===
{{main|Trade unions in South Africa}}
[[2007 South African public servants' strike|Since 2007]] the South African unions representing public sector workers recurrently went on strike, demanding pay rises significantly above inflation, in a practice that some experts argue is suppressing job growth, harming millions of South Africans who are out of a job.<ref name="nyt0910"/>

In August and September 2010, South African unions organised a crippling four-week national strike involving 1.3&nbsp;million public sector workers, demanding an 8.6% wage increase. The strike ended after the government had raised its 5.2% wage increase to 7.5%. The deal swelled state spending by about 1%.<ref name="guard-strike">{{cite web|url=https://www.theguardian.com/world/2010/sep/06/south-africa-strike-suspended|title=South African unions suspend public sector strike|author=David Smith|work=the Guardian|date=6 September 2010 |access-date=11 June 2015}}</ref>

Protesters sought to block hospitals, and South African media have reported numerous acts of violence against health and education staff who insisted on going to work. Volunteers and army medics were called in to help at hospitals, and some patients were moved to private medical facilities.<ref name="guard-strike"/>

There is a persistent wage differential between unionised and non-unionised workers in South Africa, suggesting that unions are keeping wages higher for their members, thereby posing additional challenges to the unemployment problem.<ref name=uninsa/>

In July 2014, amidst a national strike by 220,000 metalworkers, [[General Motors]] temporarily shut down its vehicle assembly plant, frustrating its plans to build 50,000 cars a year in the country. "The ongoing labour disruptions are harming the South African economy and are affecting the country's image around the globe," the company said in a statement at the time.<ref name="GMsouthafrica">{{cite news|title=South Africa arm of General Motors hit by wage strike shuts plant|url=http://www.southafricanews.net/index.php/sid/223524973/scat/371b1b8643d479c1/ht/South-Africa-arm-of-General-Motors-hit-by-wage-strike-shuts-plant|access-date=5 July 2014|publisher=South Africa News.Net|archive-url=https://web.archive.org/web/20140714213434/http://www.southafricanews.net/index.php/sid/223524973/scat/371b1b8643d479c1/ht/South-Africa-arm-of-General-Motors-hit-by-wage-strike-shuts-plant|archive-date=14 July 2014}}</ref>

===Black Economic Empowerment===
The end of apartheid in 1994 left behind a skewed racial economic hierarchy that placed minority whites at the top. Since then, the African National Congress government created the [[Black Economic Empowerment]] (BEE) policy, designed to increase the participation of blacks, Coloreds, and Indians in the economy.

However, BEE has faced criticism for not doing enough to accomplish this goal and only benefiting a small number of people to a great extent. This was acknowledged in 2010 by Deputy President [[Kgalema Motlanthe]], at the first meeting of the BEE Advisory Council, when he said, "The story of black economic empowerment in the last 15 years has been a story dominated by a few individuals benefiting a lot." A 2010 report from the [[OECD]] concluded that the "relative improvement in poverty levels," since the end of apartheid, has actually been driven by social assistance grants and not the labour market.<ref>{{cite web|url=http://www.afrika.no/Detailed/19324.html|title=South Africa: Inequality not so black and white|access-date=11 June 2015|archive-url=https://web.archive.org/web/20151208174506/http://www.afrika.no/Detailed/19324.html|archive-date=8 December 2015}}</ref>

As of 2014, roughly ten percent of the Top 100 companies on the Johannesburg Stock Exchange were directly held by black investors through Black Economic Empowerment schemes.  Black Economic Empowerment policies have been credited with creating a class of Black South Africans with a level of wealth on the same order of magnitude as very rich White South Africans.<ref name="JeffreyGreg" />{{rp|2}}

Black Economic Empowerment—its purpose the "economic empowerment of all black people, including women, workers, youth, people with disabilities and people living in rural areas"—requires the Minister of Trade and Industry to develop and publish Codes of Good Practice, aimed at setting guidelines for the process of BEE in the whole economy.<ref name=crise-labour>{{cite web |title=Affirmative action in South Africa: an empirical assessment of the impact on labour market outcomes |url=http://www.crise.ox.ac.uk/pubs/workingpaper76.pdf |publisher=Centre for Research on Inequality, Human Security and Ethnicity |author1=Rulof Burger |author2=Rachel Jafta |archive-url=https://wayback.archive-it.org/all/20110401052454/http://www.crise.ox.ac.uk/pubs/workingpaper76.pdf |archive-date=1 April 2011 |page=7 |date=March 2010 |access-date=7 March 2012}}</ref> A [[QSE Scorecard|scorecard]] is used by the department to measure compliance with the BEE requirements, and is used for public procurement, public-private partnerships, sale of state-owned enterprises, when licenses are applied for, and for any other relevant economic activity.<ref name=crise-labour/>

The government's Black Economic Empowerment policies have drawn criticism from the Development Bank of Southern Africa for focusing "almost exclusively on promoting individual ownership by black people (which) does little to address broader economic disparities, though the rich may become more diverse." The System has also been criticised for placing lesser educated people in more important positions in the workplace and their failure to perform to the standards required has had an immense impact on the economy.

Another criticism also includes that the system goes against the constitution's preaching of equality by having preference over people, not on merit, but for their skin colour and is considered the opposite of what many people fought for during the Apartheid era.<ref>Neva Makgetla, [http://www.businessday.co.za/articles/Content.aspx?id=105049 Inequality on scale found in SA bites like acid], Business Day, 31 March 2010</ref> Official [[affirmative action]] policies have seen a rise in black economic wealth and an emerging black middle class.<ref>{{cite web|url=http://mg.co.za/article/2006-01-15-black-middle-class-boosts-car-sales-in-south-africa |title=Black middle class boosts car sales in South Africa – Business – Mail & Guardian Online |publisher=Mg.co.za |date=15 January 2006 |access-date=30 October 2011}}</ref>

An increasing number of black candidates who are supposed to be beneficiaries of affirmative action are dissociating themselves from it, largely because of the perception that the appointments are not based on merit.<ref name=transfo-booklet>{{cite web|title=Transformation Booklet |url=http://www.nedbankgroup.co.za/pdfs/transformationBooklet/transformationChapter04.pdf |publisher=Nedbank Group |archive-url=https://web.archive.org/web/20130603041522/http://www.nedbankgroup.co.za/pdfs/transformationBooklet/transformationChapter04.pdf |archive-date=3 June 2013 |page=77}}</ref>  The policy has also been criticised for having a negative impact on employment levels as it is viewed as being more of an additional burden for employees than as a transformative agent for the unemployed.<ref name="JeffreyGreg" />{{rp|2}}  Particularity in an economy where a major cause of inequality has been a growing disparity of income within the majority black population divided along lines of employment.<ref name="JeffreyGreg" />{{rp|12}}

=== Gender Equality ===
South Africans in general, regardless of race, hold what would be considered "traditional" stances on gender roles for men and women. The majority of the workforce is composed of males, while the majority of women do not participate.<ref>{{Cite web|url=https://data.worldbank.org/indicator/SL.TLF.ACTI.FE.ZS|title=Labor force participation rate, female (% of female population ages 15–64) (modeled ILO estimate)|website=data.worldbank.org|language=en-us|access-date=2017-12-09}}</ref> This viewpoint on males as "breadwinners" is very much in line with traditional African values across the continent. Additionally, females face a problem in terms of earnings, with 77% of women earning the same as their male counterparts.<ref>{{Cite web|url=https://mg.co.za/article/2015-05-04-south-africa-falling-short-in-gender-equality-standards|title=South Africa falling short in gender equality standards|date=4 May 2015 |access-date=2017-12-09}}</ref> However, more women are becoming part of the agricultural workforce (55%) as of 2012, marking a move towards modernisation for women's participation in the economy.<ref>{{Cite web|url=http://www.statssa.gov.za/?cat=25|title=Social welfare {{!}} Statistics South Africa|last=Africa|first=Statistics South|website=statssa.gov.za|language=en-US|access-date=2017-12-09}}</ref>

South African legislation is strongly geared to promoting gender equality in the workplace. This is characterised by several comprehensive government programs and organisations that provide resources and services to females, both adult and adolescent. Such initiatives include the Employment Equity Act, No. 55 of 1988 (aimed at promoting women's participation in mainly private sector jobs).<ref>{{Cite web|url=https://www.cbeinternational.org/resources/article/other/status-gender-equality-south-africa|title=The Status of Gender Equality in South Africa|website=CBE International|access-date=2017-12-09}}</ref> UNFPA South Africa is one such promoter of these policies and programs.<ref>{{Cite web|url=http://southafrica.unfpa.org/en/topics/gender-equality-3|title=UNFPA South Africa {{!}} Gender Equality|website=southafrica.unfpa.org|language=en|access-date=2017-12-09|archive-date=9 December 2017|archive-url=https://web.archive.org/web/20171209153524/http://southafrica.unfpa.org/en/topics/gender-equality-3}}</ref> Internally, the South African government has founded the Commission for Gender Equality.<ref>{{Cite news|url=http://theconversation.com/south-africas-social-welfare-system-faces-deepening-challenges-55962|title=South Africa's social welfare system faces deepening challenges|last=Patel|first=Leila|work=The Conversation|access-date=2017-12-09|language=en}}</ref> The commissions main focus is on securing adequate education and job training for women who are disenfranchised or otherwise at a disadvantage when attempting to enter the workforce.

Not uncommon in Africa, gender equality seems to be a very cogent problem in the South African workforce. According to Bain & Company, around 31% of companies have no form of female leadership, either in management or executive positions.<ref>{{Cite web|url=http://www.bain.com/publications/articles/gender-disparity-in-south-africa.aspx|title=Gender (Dis)parity in South Africa|date=24 May 2017 |access-date=2017-12-09}}</ref> 22% of board directors are women, however, only 7% were designated as "executives", lower than the global average of 12%.<ref>{{Cite news|url=https://northglennews.co.za/115437/stats-show-gender-inequality-power-positions-sa/|title=Stats show gender inequality power positions in SA {{!}} Northglen News|date=2017-08-29|work=Northglen News|access-date=2017-12-09|language=en-US}}</ref> Additionally, the eNPE (Employee Net Promoter Score) for women is a net negative (- 4) as compared to men (8), according to a survey conducted of 1000 participants.<ref>{{Cite news|url=https://www.one.org/africa/policy/status-of-women-and-girls-in-south-africa/|title=Join the fight against extreme poverty|date=2015-08-26|work=ONE|access-date=2017-12-09|language=en-US|archive-date=9 December 2017|archive-url=https://web.archive.org/web/20171209152423/https://www.one.org/africa/policy/status-of-women-and-girls-in-south-africa/}}</ref> This indicated a low level of actual economic promotion for women, despite public and international initiative towards the contrary.

==Infrastructure==
===Energy===
{{main|Energy in South Africa}}
Scheduled rolling blackouts are a part of daily life. Electricity theft is widespread. [http://www.capetown.gov.za/Media-and-news/Vandalism,%20attacks%20on%20City%20staff%20impact%20service%20to%20residents]
After years of sub-standard maintenance and the South African government's inability to manage strategic resources, the state-owned power supplier [[Eskom]] started experiencing deficiency in capacity in the electrical generating and reticulation infrastructure in 2007. Such lack led to inability to meet the routine demands of industry and consumers, resulting in countrywide [[Rolling blackout#South Africa|rolling blackout]]s.

Initially, the lack of capacity was triggered by a failure at [[Koeberg nuclear power station]], but a general lack of capacity due to increased demand and lack of government planning soon came to light. The supplier and the South African government has been widely criticised for failing to adequately plan for and construct sufficient electrical generating capacity,<ref>[https://www.nytimes.com/2008/01/31/world/africa/31safrica.html "Power Failures Outrage South Africa"] article by [[Barry Bearak]] and [[Celia W. Dugger]] in ''[[The New York Times]]'' 31 January 2008</ref> although ultimately the government has admitted that it was at fault for refusing to approve funding for investment in infrastructure.<ref>{{cite news|url=http://news.bbc.co.uk/2/hi/africa/7199814.stm|title=S Africa cuts power to neighbours|work=BBC News |date=21 January 2008|access-date=20 April 2008}}</ref>

The margin between national demand and available capacity is still low or negative (particularly in peak hours), and power stations are under strain, such that surges in demand, which are common during winter, or drops in supply, often a result of a lack of coal for power plants, result in another phase of rolling blackouts.<ref>{{cite web |title=Why South Africa's electricity blackouts are set to continue for the next five years |url=https://theconversation.com/why-south-africas-electricity-blackouts-are-set-to-continue-for-the-next-five-years-155233 |website=The Conversation |date=30 March 2021}}</ref> The government and Eskom are currently planning new power stations, at cost to the South African consumer. The power utility plans to have 20,000 megawatts of nuclear power in its grid by 2025.<ref>{{cite news|url=http://www.news24.com/News24/South_Africa/Power_Crisis/0,,2-7-2335_2270747,00.html|archive-url=https://web.archive.org/web/20080619083035/http://www.news24.com/News24/South_Africa/Power_Crisis/0,,2-7-2335_2270747,00.html|archive-date=19 June 2008|title=Eskom reopens 3 power stations|work=[[News24 (website)|News24]]|date=14 February 2008|access-date=14 May 2009}}</ref><ref>{{cite news|url=http://www.fin24.com/articles/default/display_article.aspx?Nav=ns&ArticleID=1518-24_2395323|title=Eskom mulls new power stations|publisher=Fin24|date=18 September 2008|access-date=14 May 2009|archive-url=https://web.archive.org/web/20080921021110/http://www.fin24.com/articles/default/display_article.aspx?Nav=ns&ArticleID=1518-24_2395323|archive-date=21 September 2008}}</ref>

{| class="wikitable"
|+Total energy consumption in [[Terrawatt-hour|Terrawatt-hours]] (TWh) <ref>{{Cite web |title=Primary energy consumption |url=https://ourworldindata.org/grapher/primary-energy-cons?tab=chart&country=~GHA |website=Our World in Data}}</ref>
!1970
!1980
!1990
!2000
!2010
!2020
!2023
|-
|421 
|{{Increase}}646 
|{{Increase}}1,030 
|{{Increase}}1,185 
|{{Increase}}1,464 
|{{Decrease}}1,393 
|{{Decrease}}1,348 
|-
!
! colspan="6" |Per capita consumption in [[Kilowatt-hour|Kilowatt-hours]] (KWh)<ref>{{Cite web |date= |title=Energy use per person |url=https://ourworldindata.org/grapher/per-capita-energy-use?showSelectionOnlyInTable=1&country=~KEN |website=Our World in Data}}</ref>
|-
|18,843 
|{{Increase}}21,921 
|{{Increase}}25,821 
|{{Decrease}}25,322 
|{{Increase}}28,271 
|{{Decrease}}23,688 
|{{Decrease}}22,314 
|}

=== Water ===
{{main|Water supply and sanitation in South Africa}}
Some predictions show surface water supply could decrease by 60% by the year 2070 in parts of the [[Western Cape]].<ref>[http://www.alertnet.org/thefacts/reliefresources/114303555233.htm Climate change to create African 'water refugees' – scientists] {{Webarchive|url=https://web.archive.org/web/20101025171036/http://www.alertnet.org/thefacts/reliefresources/114303555233.htm |date=25 October 2010}}, Reuters Alertnet. Retrieved 21 September 2006.</ref>

The South African government planned to spend R69 billion on water infrastructure between 2008 and 2015.<ref name=mg-water>{{cite web|last=Geyde |first=Lloyd |title=How to keep SA's head above water |url=http://mg.co.za/article/2012-03-02-how-to-keep-sas-head-above-water |publisher=Mail & Guardian Online |archive-url=https://web.archive.org/web/20120501092253/http://mg.co.za/article/2012-03-02-how-to-keep-sas-head-above-water |archive-date=1 May 2012 |date=2 March 2012}}</ref> This involves building new dams and ancillary infrastructure, and repairing existing infrastructure.<ref name=mg-water/> South Africa has an estimated total water capacity of 38 billion cubic metres, but will need 65 billion by 2025 if the economy is to keep on growing.<ref name=mg-water/> The massive urban migration has placed further strain on the country's ageing water infrastructure and created a large backlog.<ref name=mg-water/>

=== Developments and Maintenance ===
As part of an international attempt to modernize infrastructure, South Africa has faced increasing pressure to invest government funds into its water and electricity sectors. At current, these sectors are underfunded by approximately US$464 billion (This is according to the G20 GI Hub).

==Income levels==
{| class="wikitable" style="float: right;"
|+ Annual per capita personal income by race group relative to white levels<ref name="oecd-inequality"/>
|-
! Year || [[White South African|White]] || [[Coloured]] || [[Asian South African|Asian]] || Black
|-
| 1917 || 100 || 22.0 || 22.1 || 9.1
|-
| 1924 || 100 || 20.0 || 19.4 || 7.9
|-
| 1936 || 100 || 15.6 || 23.1 || 7.6
|-
| 1946 || 100 || 16.3 || 23.0 || 8.9
|-
| 1956 || 100 || 16.9 || 21.9 || 8.6
|-
| 1960 || 100 || 15.9 || 17.1 || 8.1
|-
| 1970 || 100 || 17.3 || 20.2 || 6.8
|-
| 1975 || 100 || 19.4 || 25.4 || 8.6
|-
| 1980 || 100 || 19.1 || 25.5 || 8.5
|-
| 1987 || 100 || 20.9 || 30.2 || 8.5
|-
| 1993 || 100 || 19.3 || 42.0 || 10.9
|-
| 1995 || 100 || 20.0 || 48.4 || 13.5
|-
| 2000 || 100 || 23.0 || 41.0 || 15.9
|-
| 2008 || 100 || 22.0 || 60.0 || 13.0
|}

{| class="wikitable" style="float: right;"
|+ [[Gini coefficient]] by race in 2004<ref name="GiniRace">{{cite web |url=http://www.npconline.co.za/MediaLib/Downloads/Home/Tabs/Diagnostic/Economy2/Trends%20in%20South%20African%20Income%20Distribution%20and%20Poverty%20since%20the%20Fall%20of%20Apartheid.pdf |title=Trends in South African Income Distribution and Poverty since the Fall of Apartheid |publisher=OECD Publishing |work=OECD Social, Employment and Migration Working Papers No. 101 |date=20 January 2010 |access-date=22 April 2012 |author1=[[Murray Leibbrandt]] |author2=Ingrid Woolard |author3=Arden Finn |author4=Jonathan Argent |page=16 |archive-url=https://web.archive.org/web/20120612051018/http://www.npconline.co.za/MediaLib/Downloads/Home/Tabs/Diagnostic/Economy2/Trends%20in%20South%20African%20Income%20Distribution%20and%20Poverty%20since%20the%20Fall%20of%20Apartheid.pdf | archive-date=12 June 2012}}</ref>
|-
!  || [[White South African|White]] || [[Coloured]] || [[Asian South African|Asian]] || Black || Total
|-
| Rural || 0.37 || 0.38 || – || 0.43 || 0.51
|-
| Urban || 0.36 || 0.45 || 0.43 || 0.53 || 0.56
|-
| Overall || 0.36 || 0.47 || 0.43 || 0.51 || 0.59
|}
South Africa has extreme differences in incomes and wealth.<ref name="wbcb">{{cite web |title=South Africa: Country Brief |url=http://go.worldbank.org/GSBYF92330 |publisher=World Bank |archive-url=https://web.archive.org/web/20120404115719/http://web.worldbank.org/WBSITE/EXTERNAL/COUNTRIES/AFRICAEXT/SOUTHAFRICAEXTN/0,,menuPK:368086~pagePK:141132~piPK:141107~theSitePK:368057,00.html |archive-date=4 April 2012}}</ref> The good level of economic growth in the post-apartheid period has led to a measurable decline in income poverty, but [[Inequality in post-apartheid South Africa|inequality]] has increased.<ref name=wbcb/>

The high level of overall income inequality has further accentuated: the country's [[Gini coefficient]] increased by four percentage points, from 0.66 to 0.70, between 1993 and 2008, and income has become increasingly concentrated in the top decile.<ref name="oecd-inequality">{{cite journal |url=http://www.oecd-ilibrary.org/social-issues-migration-health/trends-in-south-african-income-distribution-and-poverty-since-the-fall-of-apartheid_5kmms0t7p1ms-en|title=Trends in South African Income Distribution and Poverty since the Fall of Apartheid|series=OECD Social, Employment and Migration Working Papers |year=2010 |doi=10.1787/5kmms0t7p1ms-en |access-date=11 June 2015|last1=Leibbrandt |first1=Murray |last2=Woolard |first2=Ingrid |last3=Finn |first3=Arden |last4=Argent |first4=Jonathan |doi-access=free |website=Organisation for Economic Cooperation and Development}}</ref> Inequality between urban and rural areas is changing: while rural poverty rates remain substantially higher than those in urban areas, urban poverty rates are rising and rural rates seem to be falling.<ref name="oecd-inequality" />

While between-race inequality is slowly falling, an increase in intra-race inequality is preventing the aggregate measures from declining. Despite that, between-race inequality remains a central issue: real incomes have been rising for all groups, but many blacks in the country still live in poverty. At any poverty line, blacks are very much poorer than coloureds, who are very much poorer than Indians, who are poorer than whites.<ref name="oecd-inequality"/><ref>[http://cgs.illinois.edu/content/wealth-and-poverty Income Inequality in South Africa: Center for Global Studies at the University of Illinois] {{webarchive|url=https://web.archive.org/web/20130508130928/http://cgs.illinois.edu/content/wealth-and-poverty |date=8 May 2013}}</ref>  In 2002, according to one estimate, 62% of Black Africans, 29% of Coloureds, 11% of Asians, and 4% of Whites lived in poverty.<ref>{{cite book|url=https://books.google.com/books?id=TXP78beGTpcC&q=Apartheid+poor+whites&pg=PA385|title=Race and Ethnic Relations: American and Global Perspectives|access-date=11 June 2015|isbn=978-0-495-50436-8|last1=Marger|first1=Martin N.|date=2008-04-22|publisher=Cengage Learning}}</ref><ref>{{cite news|url=https://www.bloomberg.com/apps/news?pid=20601116&sid=aoB7RbcZCRfU |title=South Africa's Unemployment Rate Increases to 23.5% |publisher=Bloomberg |date=5 May 2009 |access-date=30 May 2010}}</ref>

The mean per-capita income has risen from R10,741 in 1993 to R24,409 in 2008, but these figures hide large differences in household welfare, both within and across population groups: the average Black income increased from R6,018 in 1993 to R9,718 in 2008; for Coloured households, the increase was from R7,498 to R25,269; for Whites, the increase was from R29,372 to R110,195.<ref name=houseincome>{{cite web|title=Fifteen Years On: Household Incomes in South Africa |url=http://levinsohn.commons.yale.edu/files/2010/10/15_years_51.pdf |publisher=University of Cape Town; Yale University; NBER |author1=[[Murray Leibbrandt]] |author2=James Levinsohn |archive-url=https://web.archive.org/web/20130510202938/http://levinsohn.commons.yale.edu/files/2010/10/15_years_51.pdf |archive-date=10 May 2013 |page=7}}</ref>

While mean income rose about 130% from 1993 to 2008, the median income rose just 15% over the same period, from R4,444 to R5,096, indicating that the increases are being driven by a small number of very large incomes, especially for Whites.<ref name="houseincome" />

In 2000 the average white household was earning six times more than the average black household.<ref>[http://www.sarpn.org.za/documents/d0000164/page1.php SARPN – South Africa] {{Webarchive|url=https://web.archive.org/web/20110719024325/http://www.sarpn.org.za/documents/d0000164/page1.php |date=19 July 2011}} at sarpn.org.za</ref> In 2004, 29.8% of all households had an income (at constant 2001 prices) of less than R9,600 per annum, while 10.3% of all households enjoyed an annual income (at constant 2001 prices) of more than R153,601 per annum.<ref>South African Institute for Race Relations, South Africa Survey 2006/2007</ref>

One study using calculations based on National Income Dynamics Study (NIDS) data suggests that 47% of South Africans live below the poverty line: 56% of blacks live in poverty compared to 2% of whites, using an arbitrary income poverty line of R502 per capita.<ref name="gumede1">{{cite web|last=Gumede|first=Vusi|title=Poverty, Inequality and Human Development in a Post-Apartheid SouthAfrica|url=http://www.plaas.org.za/newsevents/povcon2010/1gumede.pdf|work=Conference paper presented at 'Overcoming inequality and structural poverty in South Africa: Towards inclusive growth and development', Johannesburg, 20–22 September 2010|publisher=Institute for Poverty, Land and Agrarian Studies|access-date=17 October 2011}} {{dead link|date=September 2017 |bot=InternetArchiveBot |fix-attempted=yes}}</ref> Although, it should also be noted that black South Africans make up the majority of the population at 79.2% while white South Africans make up only 8.9% of the population according to the Statistics South Africa census released in 2011.

The [[United Nations Development Program]]'s [[Human Development Index]] (HDI) ranked South Africa 110 out of 169 countries in 2010. The report notes, however, that the region's assessment has improved slowly since 1980. The HDI includes a Human Poverty Index (HPI-1), which ranked South Africa 85 out of 135 countries.

The number of South Africans living below the poverty line, identified according to Apartheid-era social categories, was calculated in one study as 56% "black", 27% "coloured", 9% "Indian", and 2% "white".<ref name="gumede1"/> In the past inequality in South Africa was largely defined along race lines, but it has become increasingly defined by inequality within population groups as the gap between rich and poor within each group has increased substantially.<ref>{{cite web|url=http://www.sarpn.org/documents/d0000990/|title=SARPN – South Africa|access-date=11 June 2015}}</ref>

The [[Organisation for Economic Co-operation and Development]] proposals for addressing income inequality included: encouraging more saving and investment; a liberalisation of product-market regulation; easier access to credit for small businesses; greater co-ordination in wage bargaining; and measures to tackle the high level of youth unemployment. Some proposals have included wage subsidies for people being trained, a minimum wage differentiated by age, and extended periods of probation for young workers.<ref name="economist1">{{cite news|title=South Africa's economy: How it could do even better.|url=http://www.economist.com/node/16647365|newspaper=The Economist|access-date=17 October 2011|date=22 July 2010}}</ref> In post-Apartheid South Africa, only Asians have made significant strides in closing the income gap with Whites; while Coloured and Black South Africans have had much more muted progress.<ref>{{cite web |url=https://lmi-research.org.za/publication/highest-level-of-education-attainment-in-south-africa/ |title=Highest Level of Education Attainment in South Africa &#124; LMI}}</ref>

A 2011 study published by the [[University of Cape Town]] about the richest 10% found that nearly 40% are black, where this group had once been almost exclusively white.<ref name="globemail1"/> While only 29% of the absolute wealthiest{{vague|date=November 2011}} South Africans are black, this jumps to 50% among the "entry-level" rich (defined as earning more than $4,000 per month).<ref name="globemail1"/> Factors that were found to be common among those in the entry-level rich group include being young, entrepreneurial and having some post-secondary education.<ref name="globemail1">{{cite news|last=Conway-Smith|first=Erin|title=Black South Africans moving up the wealth ladder|url=https://www.theglobeandmail.com/report-on-business/economy/economy-lab/daily-mix/black-south-africans-moving-up-the-wealth-ladder/article2203192/|work=Globe and Mail|location=Toronto|access-date=17 October 2011|date=17 October 2011|archive-date=20 October 2011|archive-url=https://web.archive.org/web/20111020121058/http://www.theglobeandmail.com/report-on-business/economy/economy-lab/daily-mix/black-south-africans-moving-up-the-wealth-ladder/article2203192/}}</ref>

According to one estimate, 10.4% of South Africans belonged to the "higher middle class" in 2004, defined as having a per capita income of over R40,000 (in 2000 Rand).<ref>[http://www.npconline.co.za/MediaLib/Downloads/Home/Tabs/Diagnostic/Economy2/Trends%20in%20poverty%20and%20inequality%20since%20the%20political%20transition.pdf Trends in poverty and inequality since the political transition – Stellenbosch Economic Working Papers – 1/2005] {{webarchive|url=https://web.archive.org/web/20120319090819/http://www.npconline.co.za/MediaLib/Downloads/Home/Tabs/Diagnostic/Economy2/Trends%20in%20poverty%20and%20inequality%20since%20the%20political%20transition.pdf |date=19 March 2012}}</ref>

==Taxes and transfers==
===Taxation===
{{main|Taxation in South Africa}}
The top rate of personal income tax rate in South Africa is 45%; the [[corporate tax]] rate is 27%.<ref name=freedom>{{cite web|title=South Africa Economy: Facts, Data, & Analysis on Economic Freedom |url=http://www.heritage.org/index/country/southafrica |publisher=Heritage Foundation |url-status=unfit |archive-url=https://web.archive.org/web/20120305170800/http://www.heritage.org/index/country/southafrica |archive-date=5 March 2012}}</ref> Other taxes include a [[value-added tax]] and a [[capital gains tax]], with the overall tax burden amounting to 23.4% of total domestic income.<ref name=freedom/>

===Social benefits===
South Africa has about three times as many recipients of social benefits as it has income tax-payers, an extremely high ratio by international standards.<ref name="OECDsurvey38"/> After 1994 resources have been rapidly reallocated to black households: while approximately 40% of aggregate social spending was directed to whites and 43% to blacks in the mid-1980s, by the late 1990s fully 80% of total social spending was assigned to blacks and less than 10% to whites.<ref name=cape-cornell>{{cite web|last1=Kanbur |first1=Ravi |last2=Bhorat |first2=Haroon |author-link1=Ravi Kanbur |title=Poverty and Well-being in Post-Apartheid South Africa: An Overview of Data, Outcomes and Policy |url=http://www.arts.cornell.edu/poverty/kanbur/BhoratKanbur.pdf |publisher=University of Cape Town; Cornell University |archive-url=https://web.archive.org/web/20120616144602/http://www.arts.cornell.edu/poverty/kanbur/BhoratKanbur.pdf |archive-date=16 June 2012 |page=6 |date=September 2005}}</ref> At present, blacks contribute some 50% of total government transfers, while receiving roughly 80%.<ref>{{Cite web|date=2019-09-16|title=Racial inequality and demographic change in South Africa|url=https://www.wider.unu.edu/publication/racial-inequality-and-demographic-change-south-africa|access-date=2020-10-16|website=UNU-WIDER}}</ref>

The Unemployment Insurance Fund is financed out of premiums, contributions and benefits depend on earnings, and focuses on insuring workers against the risk of income loss.<ref name=poverty-oecd>{{cite web|title=Trends in South African Income Distribution and Poverty since the Fall of Apartheid |series=OECD Social, Employment and Migration Working Papers |url=http://www.oecd-ilibrary.org/social-issues-migration-health/trends-in-south-african-income-distribution-and-poverty-since-the-fall-of-apartheid_5kmms0t7p1ms-en |publisher=OECD |archive-url=https://web.archive.org/web/20120312074111/http://www.oecd-ilibrary.org/social-issues-migration-health/trends-in-south-african-income-distribution-and-poverty-since-the-fall-of-apartheid_5kmms0t7p1ms-en |archive-date=12 March 2012 |page=47 |date=28 May 2010 |doi=10.1787/5kmms0t7p1ms-en |last1=Leibbrandt |first1=Murray |last2=Woolard |first2=Ingrid |last3=Finn |first3=Arden |last4=Argent |first4=Jonathan}}</ref>

====Social assistance grants====
Social assistance grants are non-contributory, income-tested benefits provided by the state to the poor, and are financed out of general tax revenues without any links between contributions and benefits.<ref name=poverty-oecd/> They are provided in the form of: grants for older persons; disability grants; war veterans grants; care dependency grants; foster child grants; child support grants; grant-in-aid; social relief of distress.<ref name=sassa>{{cite web|title=You and Your Grants 2011/12 |url=https://sassa.help/ |publisher=South African Social Security Agency |archive-url=https://web.archive.org/web/20111216024951/http://www.sassa.gov.za/Portals/1/Documents/d54e383b-7e3d-4c96-8aa2-4cc7d32bc78f.pdf |archive-date=16 December 2011}}</ref>

The state old age pension, received by over 80% of the elderly,<ref name=houseincome17>{{cite web|title=Fifteen Years On: Household Incomes in South Africa |url=http://levinsohn.commons.yale.edu/files/2010/10/15_years_51.pdf |publisher=University of Cape Town; Yale University; NBER |author1=[[Murray Leibbrandt]] |author2=James Levinsohn |archive-url=https://web.archive.org/web/20130510202938/http://levinsohn.commons.yale.edu/files/2010/10/15_years_51.pdf |archive-date=10 May 2013 |page=17}}</ref> is a non-contributory pension and pays more than twice median per capita Black income, thus representing an important source of income for a third of all Black households in the country.<ref name=transfers-nber>{{cite journal |first1=Cally |last1=Ardington |first2=Anne |last2=Case |first3=Victoria |last3=Hosegood |year=2009 |title=Labor Supply Responses to Large Social Transfers: Longitudinal Evidence from South Africa |journal=American Economic Journal: Applied Economics |volume=1 |issue=1 |pages=22–48 |doi=10.1257/app.1.1.22 |pmid=19750139 |pmc=2742429}}</ref> It pays a maximum of R1,780 (as of July 2019)<ref>{{Cite web|url=https://www.gov.za/services/social-benefits-retirement-and-old-age/old-age-pension|title=Old age pension {{!}} South African Government|website=gov.za|access-date=2019-07-20}}</ref> to people who reach pension age without access to private pensions.<ref name=transfers-nber/>

The child support grant provides R420 per month, per child (as of July 2019)<ref name=":1">{{cite web|url=https://www.gov.za/services/child-care-social-benefits/child-support-grant|title=Child support grant|publisher=South Africa Government Services}}</ref> for every child in the household younger than 18,<ref name=":1" /> and benefited 9.1 million children by April 2009.<ref name=houseincome17/>

The war veterans grant is provided to former soldiers who fought in the Second World War or the Korean War, and pays a maximum amount of R1,800 per month (as of July 2019).<ref>{{cite web|url=https://www.gov.za/services/social-benefits-retirement-and-old-age/war-veterans-grant|title=War veterans grant|website=War veterans grant|publisher=South Africa Government Services}}</ref>

==Comparison with other emerging markets==
According to a December 2010 article by the South African [[Government Communication and Information System]]'s now-defunct BuaNews news service, South Africa was said to compare well to other [[emerging market]]s on affordability and availability of capital, [[financial market]] sophistication, business tax rates and infrastructure, but to fare poorly on the cost and availability of labour, education, and the use of technology and innovation.<ref name="brazilian-study">{{cite web|url=http://www.southafrica.info/business/economy/cnisurvey-141210.htm|title=SA fares well in emerging markets study|access-date=11 June 2015|archive-url=https://web.archive.org/web/20150924115742/http://www.southafrica.info/business/economy/cnisurvey-141210.htm|archive-date=24 September 2015}}</ref> South Africa does have expertise in the Space industry, and students learning more through the South African [[SEDS]]. With 
the correct government support, South Africa can increase the jobs in the manufacturing, testing, and analysis sectors of the growing Space industry.

Released in early December 2010 and no longer available online, the survey by Brazil's National Confederation of Industry, "Competitividade Brasil 2010: Comparaçao com Paises Selecionados", (Competition Brazil: A comparison with selected countries), found South Africa to have the second most sophisticated financial market and the second-lowest effective [[business tax]] rate (business taxes as a percentage of company profits), out of 14 surveyed countries.

The country was also ranked fourth for ease of accessing capital, fourth for cost of capital, sixth for its [[Transport in South Africa|transport infrastructure]] (at the time considered better than that of China, India, Mexico, Brazil and Poland, but behind that of Korea and Chile), and seventh for [[foreign direct investment]] as a percentage of GDP: in 2008 it was over 3% of the GDP.<ref name="brazilian-study"/>

Nevertheless, South Africa is falling behind other emerging markets, such as India and China, owing to several factors: the country is relatively small, without the advantage of a huge domestic customer base; it has had for decades an unusually low rate of saving and investment, partly because of low disposable income; an inadequate education system results in an acute shortage of skilled manpower; a strong and volatile currency deters investors and makes its exports less competitive; the infrastructure, though far better than in the rest of Africa, suffers from severe bottlenecks, including scheduled power shortages, and urgently needs upgrading.<ref name="econ-jobless"/>

In 2011, after a year of observer status, South Africa officially joined the [[BRICS]] group of now-five emerging-market nations at the [[2011 BRICS summit|summit]] held in [[Sanya]], Hainan, China.<ref>Blanchard, Ben and Zhou Xin, reporting; Ken Wills, editing, [https://web.archive.org/web/20110415002432/http://af.reuters.com/article/southAfricaNews/idAFL3E7FE13B20110414 "UPDATE 1-BRICS discussed global monetary reform, not yuan"], ''Reuters Africa'', 14 April 2011 9:03&nbsp;am GMT. Retrieved 14 April 2011.</ref>

== See also ==
{{Portal|South Africa|Economics}}
* [[United Nations Economic Commission for Africa]]
* [[National Budget of South Africa]]

==References==
{{Reflist|30em}}

==External links==
*[https://web.archive.org/web/20181104112610/http://taxlibrary.co.za/ South African Tax Resources]
*[http://www.reservebank.co.za/internet/Live%20SDDSAppl.nsf/sddsdata?openagent South African Reserve Bank – Economic and Financial Data] {{Webarchive|url=https://web.archive.org/web/20060109215417/http://www.reservebank.co.za/internet/Live%20SDDSAppl.nsf/sddsdata?openagent |date=9 January 2006}}
*[http://www.statssa.gov.za Statistics South Africa – Official Government Statistics]
*[https://russiagosloto7x49.com Gosloto 7/49 National Lottery] {{Webarchive|url=https://web.archive.org/web/20240127142615/https://russiagosloto7x49.com/ |date=27 January 2024 }}
*[https://www.oecd.org/economy/south-africa-economic-forecast-summary.htm OECD Economic Forecast Summary for South Africa]
*[http://wits.worldbank.org/CountryProfile/Country/ZAF/Year/2012/Summary World Bank Summary Trade Statistics South Africa]
*Tariffs applied by South Africa as provided by ITC's [http://www.macmap.org/QuickSearch/FindTariff/FindTariff.aspx?subsite=open_access&country=710&source=1 ITC Market Access Map] {{dead link|date=January 2021 |bot=InternetArchiveBot |fix-attempted=yes}}, an online database of customs tariffs and market requirements

{{Economy of South Africa}}
{{South Africa topics}}
{{SACU}}
{{Africa in topic|Economy of}}

{{DEFAULTSORT:Economy Of South Africa}}
[[Category:Economy of South Africa| ]]
[[Category:African Union member economies|South Africa]]
[[Category:World Trade Organization member economies|South Africa]]