SA economy in crisis: ActionSA calls on GNU to break free from ‘ANC failed’ policies

The latest Gross Domestic Products (GDP) figures confirm what South Africans already know – sluggish economy, unemployment remains unacceptably high, poverty and inequality persist, says ActionSA.

ActionSA Member of Parliament, Alan Beesley, slammed Government of National Unity enabling African National Congress (ANC) economic failures, allowing it to double down on outdated and destructive policies that continue stifle growth.

Beesley highlighted South Africa anemic growth of just 0.6% in 2024, far below average for emerging markets and Sub-Saharan Africa.

The government expectation of 1.9% growth by 2025 appears overly optimistic without a solid plan to back it up, especially since unemployment remains unacceptably high at 41.9%.

Even more concerning is sharp rise in young people, neither engaged in work, education, nor training, now stands at staggering 43.2%.

“The recent announcement to close down ArcelorMittal, SA long steel operations, will put thousands of jobs at risk, further underlines crisis in local industry.”

Beesley cited report from Econometrix revealing how punitive tax policies and regulatory failures have devastate steel sector, leading to declining employment, falling exports, lost economic potential, and shrinking revenues.

South Africa’s manufacturing sector is also struggling, with Absa Purchasing Managers’ Index marking fourth consecutive month of contraction in February.

Beesley warned that without urgent intervention to revive key industries, attract investment, and stimulate job creation, the country will remain trapped in sluggish economic.

ActionSA is calling on Government of National Unity partners to stop enabling  ANC failed policies and demand a break from its destructive economic ideology.

“This includes an immediate overhaul of economic policy, tax reform, pro-growth industrial policy, and regulatory certainty to restore investor confidence and ensure long-term,” added Beesley.