All data is delayed
See More

US paper sounds alarm over SA economy

Oct 16 2012 08:30

Johannesburg - The Wall Street Journal has published an article painting a bleak picture of South Africa's economy, saying labour unrest has caused its economic growth to fall behind other African states.

"The unrest is exposing a stark reality - South Africa is falling behind, even in Africa," read the Wall Street Journal article, published on its website on Friday.

The article said Rwanda, which had 800 000 people killed in the same year the ANC took power, had managed to achieve annual economic growth near 8% since 2004, more than double South Africa's 3.7% growth rate during the same period.

It said that when Zambia held its democratic elections in 1991, it scrapped nationalisation, but South Africa "is debating nationalisation and other ways to intervene in the mining sector".

Countrywide strikes coupled with unemployment and income disparity were posing a grave challenge to the ruling party, read the Wall Street Journal article.

Brazil's economy had grown around the same pace as South Africa's but its income disparity had diminished, it added.

mining unrest  |  sa economy  |  transport strike  |  gdp



Read Fin24’s Comments Policy publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


With infrastructure spending having been identified as one of the key focus areas of the National Development Plan, tradesmen will continue to play a critical role in growing the South African economy through their skills.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

A 30% a month return on investment is:

Previous results · Suggest a vote