Although it’s a constitutional responsibility of the state to ensure that the country is secure, the paradoxical reality of South African citizens staying on while things fall apart is to make sure that they are “state secure”, says Chris Hattingh from the Centre for Risk Analysis (CRA).
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But despite these utterances and desires, it is unclear how precisely expanding the central bank’s mandate – to, for example, dictate looser monetary policy and lower interest rates (in a higher inflation context) – will cure the myriad ideological and policy wounds the governing party has inflicted on the economy.
All in all a dynamic environment for the foreseeable future but with adversity comes opportunity and taking on these challenges is part of South Africa’s DNA, especially if businesses, communities, and civil society organisations can work together.
That SA is one of the countries cited as a potential drag on the Sub-Saharan African region’s growth prospects for 2023 stands to reason given the ideological and policy constraints imposed on the country’s potential by the government.
Little chance of a decent return if private companies get only two years to operate on SOE-controlled lines.
It is also vital to bear in mind that Eskom’s problems effectively act as a hard cap on South Africa’s growth potential.
Private sector investment, not a national shipping company, will solve the problems of dysfunctional rail network.
The US economy is headed for a recession in 2023. It could even be in a recession already. The US Federal Reserve has consistently hiked interest rates this year to control inflation. Senior Policy Analyst at the Centre for Risk Analysis, Chris Hattingh speaks to eNCA.