Country Overview
South Africa’s economic outlook is cautiously optimistic, as economic growth rebounded in 2024 following the significant slowdown in 2023 caused by electricity shortages. As one of Africa's largest economies, growth is expected to accelerate from 2025 to 2028, driven by improved energy supply and structural reforms under Operation Vulindlela. Key opportunities exist in consumer-driven sectors, such as manufacturing, mining, and agriculture. Declining inflation and interest rates are expected to boost consumer demand and foster a stable investment climate. Although the rand retains some volatility, robust economic fundamentals and investor confidence support a favourable environment for export-oriented businesses. The overall investment environment is favourable, offering significant growth potential across various sectors.
Key Developments in 2024
Private Capital Activity
South Africa’s private capital landscape in 2024 showcased resilience and growth, with 84 deals across high-growth sectors, including industrials (18 deals), financial services (12 deals), energy (11 deals), and technology (10 deals). Unsurprisingly, given South Africa’s position as Africa’s largest
