Finance · South Africa
Key Economic Issues Hitting South Africa’s Economy This Week
Moneyweb · 2026/02/20
Summary
South Africa's economy is facing serious challenges from several key issues. Food inflation continues to rise, making everyday groceries more expensive for many households. Illegal mining is disrupting industries and costing the government lost revenue. Youth unemployment remains high, limiting job opportunities and economic growth. Additionally, a massive procurement leak amounting to R700 billion has been uncovered, raising concerns about corruption and government spending. These problems are putting pressure on both consumers and the country's financial stability, affecting daily life and long-term economic prospects.
OnABudget takeaway: For consumers, rising food prices mean tighter household budgets, while investors and small business owners should stay alert to risks from economic instability and governance issues.