Madiba's death: SA economy safe

Economists say Madiba’s passing will not affect the country’s economy in the long run.

Economists say Madiba’s passing will not affect the country’s economy in the long run.

CAPE TOWN - While many have wondered and even expressed some concern, experts say the country's economy will not be affected by Nelson Mandela's death in the long run.

The former president passed away on Thursday evening at the age of 95.

The rand fell to a four-and-a-half-year low to the US dollar last week.

But the currency has strengthened somewhat.

Economist Dawie Roodt says South Africa is in mourning, but was quick to add that despite the loss of Mandela, the rand is showing no signs of weakening any further.

On the contrary, he says it's bouncing back.

"The currency has gained something 20 cents in the last day or so against the US dollar. This is due to the outpouring of nationalism."

When Madiba became president, the country's economy was on its knees.

The National Employers Association's Gerhard Papenfus says the so-called 'Madiba Magic' helped save the rand and rejuvenate economic growth.

"When Mandela became president he built confidence and money started flowing back into the country. Our country's economy is now three times the size it was 20 years ago."

But immense economic challenges remain for the country.