South Africa’s economy is growing, the rand is resilient and load shedding has eased – but unemployment is at a four-year high and business confidence remains deeply subdued.

South Africa’s economy is growing, the rand is resilient and load shedding has eased – but unemployment is at a four-year high and business confidence remains deeply subdued.

South Africa's economy contracted 0.2% in the second quarter, with economists pointing to the global energy shock, weak investment and pressure on key productive sectors.

South Africa’s economy contracted by 0.2% in the second quarter of 2026, while employment fell and the official unemployment rate rose to 33.6%, according to Stats SA.