Ramaphosa: Govt’s focus on economic reforms beginning to pay off

Replying to the debate on the Presidency’s budget vote in the National Assembly on Thursday afternoon, Ramaphosa cited a string of indicators that show signs of a rebound in the economy, which was already in trouble before being ravaged by the COVID-19 pandemic.

President Cyril Ramaphosa. Picture: @PresidencyZA/Twitter

CAPE TOWN - President Cyril Ramaphosa said his government’s focus on economic reforms was beginning to pay off, with the economy showing signs of recovery.

Replying to the debate on the Presidency’s budget vote in the National Assembly on Thursday afternoon, Ramaphosa cited a string of indicators that show signs of a rebound in the economy, which was already in trouble before being ravaged by the COVID-19 pandemic.

Ramaphosa said it was now important to make sure the green shoots of recovery led to a sustained acceleration in economic growth.

A strong rand, higher commodity prices, good agricultural export earnings, signs of life in manufacturing and household spending – President Ramaphosa said these were all signs that the economy was showing signs of improving health albeit from a low base after the damage wrought by COVID.

“We cannot yet say that we have extinguished the flames of this pandemic – but we will. What we can say is that we are now seeing some of the green shoots of recovery. We are now seeing signs that the focus, which this administration has placed on economic reform, which began before the pandemic, is steadily but surely paying off.”

Ramaphosa referred to the International Monetary Fund raising its growth projection for South Africa this year from 2.8% to 3.1%, and the Reserve Bank saying the economy continued to rebound from last year’s recession.

He cited a number of indicators that he said showed the economy was picking up: “We would like that everyone who has perceptive eyes should be able to look at these indicators and see precisely what is happening in our country – so that our negativity is, in some ways, softened and lessened by seeing the positives. Because these are not myths, these are positives. These are things that are happening in our economy.”

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