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Thabo Mbeki has been the best president for economic growth in democratic South Africa while acting president Cyril Ramaphosa has been the worst. <\/p>\n\n\n\n
Frans Cronje, the head of the Social Research Foundation, emphasised that the ANC’s first decade in power enhanced living standards and economic stability more than it is typically acknowledged for. <\/p>\n\n\n\n
Cronje also refuted claims of 30 years of service delivery failure under the ANC, stating that such assertions are factually incorrect.<\/p>\n\n\n\n
Cronje noted that the basic living standards of many South Africans improved significantly and rapidly during the first decade of ANC rule. <\/p>\n\n\n\n
Through Nelson Mandela and, subsequently, Thabo Mbeki’s presidency, South Africa’s economy thrived. The government consistently ran budget surpluses, and the economy grew at an annual rate of 4.1%.<\/p>\n\n\n\n
The percentage of households without electricity dropped sharply from 49% in 1996 to 19% in 2006, while the number of employed people almost doubled from 7.48 million to 14.5 million.<\/p>\n\n\n\n
In South Africa, the state’s welfare system saw significant growth, with the number of people receiving social grants increasing from 2.4 million in 1996 to 14.9 million in 2010. <\/p>\n\n\n\n
However, this trend slowed down when President Zuma took office in 2009, and by the end of his tenure in 2018, living standards had started to decline. <\/p>\n\n\n\n
This decline is closely linked to the country’s poor economic performance since the 2007\/2008 financial year.<\/p>\n\n\n\n
As a result, South Africa’s robust GDP growth during Mbeki’s tenure came to a halt, and the country’s debt escalated rapidly. <\/p>\n\n\n\n
Despite promises of fiscal discipline from the president and finance minister, this trend continued during Cyril Ramaphosa’s presidency.<\/p>\n\n\n\n
South Africa was very optimistic when Ramaphosa took over from former President Jacob Zuma on 15 February 2018.<\/p>\n\n\n\n
This period was referred to as \u2018Ramaphoria\u2019, and the public and business community had high hopes that Ramaphosa would bring about significant reforms.<\/p>\n\n\n\n
However, this optimism waned as the country experienced a rapid deterioration of infrastructure, state-owned enterprises, and government institutions.<\/p>\n\n\n\n
Load-shedding became a daily occurrence, Transnet collapsed, crime reached record levels, and trust in the state continued to drop amid other global crises, including the COVID-19 pandemic, geopolitical conflict, and high levels of inflation.<\/p>\n\n\n\n
The lack of significant economic growth and a rapidly increasing population caused South Africans to become much poorer in US dollar terms.<\/p>\n\n\n\n
The country’s fiscal deficit is expected to reach around 6% of GDP this year. As a result, South Africa’s debt-to-GDP ratio for the current financial year will exceed 75%. <\/p>\n\n\n\n
The main concern is the lack of economic growth in South Africa, with many economists suggesting that the country’s growth crisis is evolving into a fiscal crisis. <\/p>\n\n\n\n
Goolam Ballim, chief economist at Standard Bank, stated at the company’s Economy 2024 event that President Ramaphosa faces a substantial task ahead to address this situation and has not responded with the necessary urgency. <\/p>\n\n\n\n
While many of his policies are promising and, if implemented, could potentially resolve several of the country’s crises, urgent action is required.<\/p>\n\n\n\n