Answer to Question #238237 in Macroeconomics for Precilla

Question

Characteristics of South African economy

Answer 1

Characteristics of South Africa economy

1.South African has a highly developed economy and advanced infrastructure. It's one of the world's largest exporter of gold and platinum.

2. South Africa has a well established financial, legal, communications, energy and transport sector.

3.Rates of formal sector unemployment and crimes are also high.

4. Gross domestic product(GDP) growth is projected to be increasing from 1.3% in 2017 to 1.4% I'm 2018, 1.8% in 2019 and 1.9% in 2020

5. Due to covid 19 GDP contracted by 8.2% in 2020 due to decline in construction, transport and communication, manufacturing and mining.

6. Inflation was estimated to decline to 3.4% in 2020

7. Real private investment expanded by 33.2% in the third quarter of 2020.

8. Budget deficit was also estimated to widen to more than 14% of GDP.