Despite attractive exchange rates, foreign participation has been relatively muted in recent years, largely due to declining sentiment towards South Africa (SA). However, the recent formation of the Government of National Unity (GNU) has led to a surge in optimism. Could this positive sentiment, combined with favourable exchange rates, attract foreign buyers and expatriates back to the domestic market? This report provides an update on the level of foreign participation in the domestic market, using findings from the FNB Estate Agents Survey.
The domestic automotive industry, a cornerstone of the South African economy, accounts for an estimated 5.3% of GDP, with 3.2% coming from manufacturing and 2.1% from retail. The manufacturing segment alone employs approximately 125 222 workers, and when considering the entire value chain, the industry supports over 400 000 jobs. The automotive sales and production landscape is a crucial indicator of economic health. However, the industry has recently faced challenges due to energy constraints and weakened demand arising from the cost-of-living crisis. In this report, we provide insights into the industry's trends.
The latest United Nations (UN) Sustainable Development Goals (SDGs) Summit highlighted the significant shortfall in progress made to achieve these goals by 2030. Specifically, indicators tracking the goal of gender equality remain distant from the targets set. The UN estimates that $6.4 trillion is required each year to empower women and achieve gender equality across 48 developing countries, including ending poverty and hunger as well as increasing women's participation. To address these shortcomings, the UN proposes gender equality accelerators, which include political and economic participation, transforming care systems, and enhancing the safety of women and girls - both from social aggression and the impact of climate change.
Following significant electricity shortages that hampered economic activity last year, the economy has experienced a notable reprieve. Since late March 2024, there has been no load-shedding. While caution remains regarding grid stability, especially with demand and production activity being subdued, this development underscores the positive impact of infrastructure maintenance as well as recent reforms, aligning with our view that load-shedding intensity peaked in 2023.
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