20.04.2025
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Treasury expects GDP to grow by 1.9% in 2025

2 mins



  • Minister Enoch Godongwana delivers the budget speech in the National Assembly.

2 minutes

National Treasury expects the country’s economy to grow by 1.9% in 2025 and to average 1.8% over the next three years.

Finance Minister Enoch Godongwana revealed this while tabling the National Budget in Parliament.

The government says it expects a growth recovery to be supported by improved investor confidence, stable electricity supply, lower interest rates and a declining risk premium.

He says Treasury attributes the lower-than-expected growth of 0.6% last year to weaknesses in the agriculture and transport sector during the third quarter.

“But the truth is that our economy has stagnated for over a decade. In that time, GDP growth has averaged less than 2%, far below the level required to meet our expanding list of needs. In 2024, the economy grew by only 0.6%. Over the medium term, GDP growth is projected to average 1.8%. To meet our goals of redistribution, redress and structural transformation, the economy needs to grow much faster and in an inclusive manner.”

VIDEO | Minister Enoch Godongwana says investor confidence will lead to GDP growth:

 

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