Economics

South Africa Heading for Lower-Middle-Income Status, Model Shows

  • Eunomix says country deteriorating along a range of indicators
  • Ruling party policies failed to ignite growth, Eunomix says

Shoppers walk through a market in Pretoria, South Africa.

Photographer: Waldo Swiegers/Bloomberg
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South Africa’s political and economic decline is accelerating and the country risks becoming a lower-middle-income nation by 2028, a model developed by Eunomix Business & Economics Ltd. shows.

The forecast, brought forward by two years from a 2020 assessment, highlights the failure of the ruling African National Congress’s policies to accelerate economic growth, the Johannesburg-based risk-advisory firm said in a report.