Moody’s cautiously optimistic about SA economy in 2025
Moody’s Ratings projects that Sub-Saharan Africa will achieve 4.2% growth in 2025, up from 3.8% in 2024.
According to a new report by the US-based credit ratings agency, this is supported by energy, infrastructure investments, and an expanding services sector.
South Africa and Nigeria are leading with reforms enhancing creditworthiness.
Despite regional challenges, fiscal consolidation is stabilising debt outlooks.
Key growth drivers include climate-critical commodity investments, with Angola and Congo benefiting from new oil and gas projects.
The report also warned that environmental and political risks persist.
“For South Africa, structural bottlenecks – particularly in logistics – will take time to ease. Improvements in economic growth will be gradual and difficult, notwithstanding a significant decrease in energy outages and load shedding,” said Mickaël Gondrand, AVP analyst at Moody’s.
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