SA economy grows just 0.5% in 2024 with three provinces shrinking

South Africa recorded a sluggish 0.5% economic growth in 2024 as three provinces reported declines, according to new data from Statistics South Africa. The figures highlight stark regional differences.

The national growth masks sharp economic splits between provinces. The Eastern Cape economy shrank by -0.2%, while North West and Northern Cape both declined by -0.1% (Stats SA data).

This poses job risks where provinces heavily rely on vulnerable sectors – mining contributes 24% of North West’s economy, while personal services form 23% of the Eastern Cape’s output.

Gauteng remains the dominant economic force at 33.2% of national output despite mild 0.8% growth. The province leans on finance/real estate sectors (27% contribution) and manufacturing (16%).

KwaZulu-Natal, South Africa’s second-largest economy at 16.1% of GDP, grew by only 0.4%.

Limpopo emerged as the country’s top performer with 0.9% growth. Personal services (22%) and mining (19%) drove its GDP contribution from 7.7% to 7.8% nationally.

Western Cape grew 0.7% to maintain its position as the third-largest economy at 14.2% of national GDP.

The statistics reveal a divided economic landscape where provinces alternated between above-average and below-average growth rates throughout 2024.