Geopolitical risk is now a more important factor than it has been at any point in his career, central bank governor, Lesetja Kganyago, has said.
South Africa's economy delivered an unexpectedly strong start to 2026, with growth accelerating in the first quarter as agriculture rebounded, financial services expanded and nine of the country's 10 major industries recorded growth.
Gross domestic product (GDP) increased by 0.5% in the three months to March, up from 0.4% in the final quarter of 2025 and ahead of most economists' expectations. The year-on-year figure was 1.9%.
"The first quarter data, which largely predates the escalation of the Iran conflict and the associated oil price spike, showed relative resilience," said Shireen Darmalingam, economist at Standard Bank.
Ahead of the release of the numbers, Vishal Rama, Portfolio Manager at Prescient Investment Management, expected a modest expansion of around 0.2% to 0.4% quarter on quarter.
