According to the South African National Treasury, the country's economic growth is expected to rise steadily, achieving a forecast growth rate of 2% by the year 2028. This positive outlook follows a notable recovery in 2022, where the economy expanded by approximately 2.1%. The growth is largely attributed to the aftermath and recovery from the Covid-19 pandemic, which had significantly impacted economic performance in previous years. The forecast highlights an encouraging sign for South Africa's economy, which has faced numerous challenges in recent years.

In the context of South Africa's high unemployment rate, which currently stands above 31%, achieving sustained growth figures similar to that of 2022 would bring considerable relief. Finance Minister Enoch Godongwana emphasized the importance of this economic forecast during the recent National Budget Review. He pointed to a stabilizing global economy as a contributing factor to the improving domestic outlook, even amidst ongoing geopolitical tensions that have influenced global trade dynamics.

The National Treasury projects a real economic growth rate of 1.6% in 2026, which is an increase from earlier estimates of 1.4%. This gradual improvement suggests that the South African economy is on a path of recovery and could potentially enhance opportunities for job creation and economic stability if these growth projections are realized.