South African Economy and the Future

Living in a country with vast majority of the middle class on the verge of going bankrupt or even ending up on the street,its hard to see a beautiful country and its people fighting everyday to survive the National Lockdown that was implemented 55 Days ago.

It said that around 3 million jobs are at risk even if the pandemic is contained quickly, while a slow recovery could see 5 million job losses. A worst-case scenario would push the unemployment rate to over 50%, from its current rate of just under 30%. With that said Treasury recently stated that as many as 7 million South Africans could become unemployed if large chunks of the economy remained closed for the remainder of the year.

With that the government has received a total of 140 business rescue applications since the start of the financial year, with 37 of these applications received during the lockdown period alone (March and April).

Now at the end of May we are moving to level 3 of the phased out proses of the lockdown and the light at the end of the tunnel is looking far more dim, on level 3 we are suspected to start domestic flights around the country and slowly opening of businesses the great precautions.