GDP Decline: We need to get our country back at work

The latest release of the StatsSA report on GDP decline proves that politics as usual in our country can no longer sustain our livelihoods and get South Africans working.

This is the fourth consecutive quarterly Gross Domestic Product (GDP) decline since the second quarter of 2019.

StatsSA confirmed earlier today that the GDP of our country contracted by 51%. What this means is that our current economic policies and our weak ability to clamp down on corruption cannot stimulate a broken system.

The IFP believes that the development of an inclusive economy is an absolute priority. This is about human dignity.

We need to get our nation working, to alleviate poverty, redress inequality, empower families, and fulfil the rightful aspirations of all our people and future generations – and we cannot achieve this through politics as usual.

There is no coordinated and systematic approach to the economy. There is a lack of synergy between these sectors.  It appears as if government and the private sector are working in silos and are competing with each other.

Right now our country needs direction as we try to mitigate the effects and blows that our economy has taken as the world fights Covid-19.

We need the following policies to urgently address our needs and to grow our economy:

  • Urgent SMME development and local economic development, particularly in the rural areas;
  •  Inclusive economic growth, with a sectoral focus;
  •  Encouraging foreign direct investment that is needed in specific sectors;
  • Public private partnerships, with a focus on State-Owned Enterprises and government services; and
  •  Greater focus on our agricultural and food security needs.

We need to rethink how each and every citizen can become actively involved in our country’s economy, through the principles of self-help and self-reliance.


Inkosi Mzamo Buthelezi, MP
IFP Deputy President and Spokesperson on Finance
072 390 6112