CFI Data on South Africa

South Africa is the 32nd largest economy in the world by nominal GDP (2018) and is the second largest economy in Africa (after Nigeria). It is rich in minerals including diamonds, gold, and platinum metals (91 percent of global reserves). It has well-developed financial, legal, communications, energy, and transport sectors; and has the largest stock market in Africa. GDP per capita is $6,374 USD. It is the only African member of the G20. Services was the largest sector in 2018 (61 percent), followed by manufacturing (11.8 percent), and agriculture 2 percent. Its largest export sectors in 2017 were precious metals and stones (24 percent) minerals (19.4 percent), services (12.9 percent), agriculture (10.4 percent), metals (9.2 percent), and vehicles (8.7 percent). The largest individual exports were gold (14 percent), travel and tourism (7.2 percent), platinum (6 percent), cars (5.3 percent), coal (4.7 percent), and iron ore (4.4 percent). Its largest export partners were China (18.7 percent), USA (6.8 percent), Germany (6 percent), UK (5.6 percent), and India (5.3 percent). Its largest goods imports were crude oil (7.3 percent), refined oil (5 percent), cars (4.6 percent), and car parts (3.8 percent). The discovery of diamonds and gold in the late 1800s revolutionised the economy, in addition to income it brought international investment which furthered development. During the first half of the 20th century the economy grew as the government encouraged the development of manufacturing and farming through tariffs, incentives, and state corporations. But by the 1970s the economy was in decline as mining output reduced, marginal productivity gains from investment decreased, and population growth outstripped economic growth. Social tensions from apartheid and increasing international sanctions also had their toll. Post-apartheid, the government has sought to encourage private investment through deregulation, privatisation, and fiscal discipline. In 2013, the government began implementing the "National Development Plan 2030" with the aim of reducing poverty and inequality. While investment and growth have been slower than expected, the foundation for increased future growth has been laid through necessary structural reforms.