You are here: HomeAfrica2020 01 30Article 340354

Africa Business News of Thursday, 30 January 2020

Source: www.mynigeria.com

South Africa to expect low economic growth in 2020

Kristalina Georgieva, IMF president Kristalina Georgieva, IMF president

The International Monetary Fund, IMF, has predicted a minimal growth rate of 0.8% for the South African economy in 2020, largely flat from 2019.

Following Thursday's statement by the IMF, the BBC reported that weak performance of state firms and subsequent government bailouts have contributed to a growing deficit.

"Weaknesses in public enterprises are resulting in poor service delivery and weighing on the fiscus through bailouts or administrative interventions," said the IMF in a statement.

Heavy rains battered parts of the country last month, submerging whole neighbourhoods and flooding coal mines and power stations in a nation already hit by electricity blackouts.

BBC