SA economy grows 0.8% in second quarter of 2025

JOHANNESBURG — 9 September 2025

South Africa’s economy grew by 0.8% between April and June 2025, accelerating from 0.1% growth in the previous quarter, according to official data released by Statistics South Africa. Eight key industries drove the improvement, potentially signaling better job opportunities for citizens.

The manufacturing sector showed strongest performance at 1.8% growth, largely from petroleum products and vehicle production, adding 0.2 percentage points to GDP expansion (Stats SA). Retail trade and tourism-related services increased 1.7%, contributing another 0.2 percentage points as local spending rose.

Mining output surged 3.7%, mainly from platinum, gold and chromium operations, providing another 0.2 percentage point GDP boost. However, negative growth emerged in transport services, which declined 0.8% due to reduced road freight activity, pulling GDP down by 0.1 point (Stats SA).

Construction activity decreased by 0.3%, while household spending increased by 0.8% — becoming the largest economic driver by contributing 0.6 percentage points to overall growth through purchases including clothing and restaurant services (Stats SA).

Government spending rose 0.7%, but business investment declined 1.4%, indicating potential concerns for future economic expansion (Stats SA). The mixed results highlight persistent challenges despite recent improvement.