South Africa Economy Profile 2009

Economy - overview

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors; a stock exchange that is 17th largest in the world; and modern infrastructure supporting an efficient distribution of goods to major urban centers throughout the region. Growth was robust from 2004 to 2008 as South Africa reaped the benefits of macroeconomic stability and a global commodities boom, but began to slow in the second half of 2008 due to the global financial crisis' impact on commodity prices and demand. However, unemployment remains high and outdated infrastructure has constrained growth. At the end of 2007, South Africa began to experience an electricity crisis because state power supplier Eskom suffered supply problems with aged plants, necessitating "load-shedding" cuts to residents and businesses in the major cities. Daunting economic problems remain from the apartheid era - especially poverty, lack of economic empowerment among the disadvantaged groups, and a shortage of public transportation. South African economic policy is fiscally conservative but pragmatic, focusing on controlling inflation, maintaining a budget surplus, and using state-owned enterprises to deliver basic services to low-income areas as a means to increase job growth and household income.

GDP (purchasing power parity)

$491 billion (2008 est.)
$476.2 billion (2007 est.)
$453.1 billion (2006 est.)
note: data are in 2008 US dollars

GDP (official exchange rate)

$277.2 billion (2008 est.)

GDP - real growth rate

3.1% (2008 est.)
5.1% (2007 est.)
5.3% (2006 est.)

GDP - per capita (PPP)

$10,100 (2008 est.)
$9,800 (2007 est.)
$9,500 (2006 est.)
note: data are in 2008 US dollars

GDP - composition by sector

agriculture: 3.3%
industry: 33.7%
services: 63% (2008 est.)

Population below poverty line

50% (2000 est.)

Labor force

17.79 million economically active (2008 est.)

Labor force - by occupation

agriculture: 9%
industry: 26%
services: 65% (2007 est.)

Unemployment rate

22.9% (2008 est.)
24.3% (2007 est.)

Household income or consumption by percentage share

lowest 10%: 1.3%
highest 10%: 44.7% (2000)

Distribution of family income - Gini index

65 (2005)
59.3 (1994)

Investment (gross fixed)

23.2% of GDP (2008 est.)

Budget

revenues: $77.43 billion
expenditures: $79.9 billion (2008 est.)

Public debt

31.6% of GDP (2008 est.)
45.9% of GDP (2004 est.)

Inflation rate (consumer prices)

11.3% (2008 est.)
6.5% (2007 est.)

Central bank discount rate

11.5% (31 December 2008)
11% (31 December 2007)

Commercial bank prime lending rate

NA% (31 December 2008)
13.17% (31 December 2007)

Stock of money

$43.99 billion (31 December 2008)
$58.49 billion (31 December 2007)

Stock of quasi money

$124.4 billion (31 December 2008)
$141.9 billion (31 December 2007)

Stock of domestic credit

$215.6 billion (31 December 2008)
$254.9 billion (31 December 2007)

Industries

mining (world's largest producer of platinum, gold, chromium), automobile assembly, metalworking, machinery, textiles, iron and steel, chemicals, fertilizer, foodstuffs, commercial ship repair

Industrial production growth rate

1% (2008 est.)

Electricity - production

264 billion kWh (2007)

Electricity - production by source

fossil fuel: 93.5%
hydro: 1.1%
nuclear: 5.5%
other: 0% (2001)

Electricity - consumption

241.4 billion kWh (2007)

Electricity - exports

13.77 billion kWh (2006 est.)

Electricity - imports

11.32 billion kWh (2007)

Oil - production

199,100 bbl/day (2007 est.)

Oil - consumption

504,900 bbl/day (2006 est.)

Oil - imports

319,000 bbl/day (2006 est.)

Oil - exports

267,700 bbl/day (2005)

Oil - proved reserves

15 million bbl (1 January 2008 est.)

Natural gas - production

2.9 billion cu m (2006 est.)

Natural gas - consumption

3.1 billion cu m (2006 est.)

Natural gas - exports

0 cu m (2007 est.)

Natural gas - imports

0 cu m (2005)

Natural gas - proved reserves

27.16 million cu m (1 January 2006 est.)

Current Account Balance

-$20.98 billion (2008 est.)
-$20.78 billion (2007 est.)

Agriculture - products

corn, wheat, sugarcane, fruits, vegetables; beef, poultry, mutton, wool, dairy products

Exports

$86.12 billion (2008 est.)
$75.92 billion (2007 est.)

Exports - commodities

gold, diamonds, platinum, other metals and minerals, machinery and equipment

Exports - partners

US 11.1%, Japan 9.8%, UK 9.6%, China 8.7%, Germany 6.8%, Netherlands 4.1% (2008)

Imports

$90.57 billion (2008 est.)
$81.66 billion (2007 est.)

Imports - commodities

machinery and equipment, chemicals, petroleum products, scientific instruments, foodstuffs

Imports - partners

Germany 10.8%, China 10.3%, US 7%, Angola 6.8%, Saudi Arabia 5.7%, Japan 4.9%, UK 4.8%, Iran 4.4% (2008)

Reserves of foreign exchange and gold

$34.07 billion (31 December 2008 est.)
$32.94 billion (31 December 2007 est.)

Debt - external

$71.81 billion (31 December 2008)
$75.28 billion (31 December 2007)

Stock of direct foreign investment - at home

$120 billion (31 December 2008 est.)
$110.4 billion (31 December 2007 est.)

Stock of direct foreign investment - abroad

$63.57 billion (31 December 2008 est.)
$65.88 billion (31 December 2007 est.)

Market value of publicly traded shares

$491.3 billion (31 December 2008)
$833.5 billion (31 December 2007)
$715 billion (31 December 2006)

Economic aid - recipient

$700 million (2005)

Currency (code)

ZAR

Currency (code)

rand (ZAR)

Exchange rates

rand (ZAR) per US dollar - 7.9576 (2008 est.), 7.05 (2007), 6.7649 (2006), 6.3593 (2005), 6.4597 (2004)

Fiscal year

1 April - 31 March