S&P Global Ratings said it’s closely monitoring the outcome of South Africa’s elections next week and subsequent government policies to address issues from crime to energy supply that have deterred investment.
Foreign direct investment remains low, Gupta said, a troubling sign for a country with high development needs. A Bloomberg survey of fund managers conducted in May found that crime, fiscal risk and electricity supply were the biggest concerns they had with regard to South Africa in the long term. ADVERTISEMENT CONTINUE READING BELOW Infrastructure bottlenecks in particular, especially in railway capacity and port congestion, remain significant constraints on growth, S&P’s Gupta said. S&P projects South Africa’s economy to grow 1.1% in 2024, with a slight increase to between 1.3% and 1.