Cape Town, Feb. 21 (Xinhua) -- South Africa's economy is expected to grow by 06%, lower than previously expected.
In his speech on the 2024 budget in the South African Parliament on the same day, Godonguana said that although the global economic outlook for 2024 has improved, the South African economy is still affected by factors such as commodities and structural problems in the near future. South Africa's Ministry of Finance expects South Africa's real gross domestic product (GDP) growth rate to be 0 in 20236%, down from 08% due to weaker-than-expected economic data for the third quarter of last year.
South Africa's economic outlook still faces some risks, including restrictions in the areas of electricity and logistics, Godonguana said. However, the power crunch is expected to ease as new energy projects come online, while lower inflation will boost household consumption and credit expansion, which will support the country's economic growth. South Africa's real GDP is expected to grow at an average annual rate of 16%。
South Africa's budget deficit as a percentage of GDP is expected to rise in the new fiscal year compared to the previous fiscal year,** and a wide range of structural reforms will continue to be implemented to address the challenges to economic growth, Godonguana said.