South Africa's Economy to Almost Triple, Says Investec CEO

Eish, it's a promising picture for South Africa's economy, with Investec CEO Fani Titi predicting a growth rate almost triple that of the current decade.

Fani Titi, chief executive of Investec, made the upbeat forecast in the group's annual integrated report published on Tuesday. Titi said economic growth could approach 3% by 2030 as structural reforms gain traction and key bottlenecks are gradually removed.

According to Bloomberg, South Africa's economy expanded by just 1.1% in 2025 and has averaged less than 1% annual growth for more than a decade. Weighed down by persistent challenges including electricity shortages, failing logistics networks, weak municipal performance and infrastructure backlogs, the economy has been struggling to pick up pace.

However, Titi identified Operation Vulindlela as a key driver of future growth. Established by President Cyril Ramaphosa in 2020, the initiative was designed to accelerate economic reforms and remove obstacles to investment and job creation. Initially focused on energy, telecommunications, and logistics, Operation Vulindlela has since expanded its mandate to address water infrastructure, municipal governance, digital transformation, visa reforms, and spatial inequality.

According to Titi, progress in these areas should improve productivity, encourage investment, and support stronger economic growth over the coming years.

Ratings upgrades have provided additional reasons for optimism. South Africa has secured sovereign ratings upgrades from both Fitch Ratings and S&P Global Ratings, while also exiting the Financial Action Task Force's grey list after strengthening measures to combat money laundering and illicit financial flows.

The country has also recorded three consecutive primary budget surpluses, where government revenue exceeds non-interest expenditure, signalling improving fiscal discipline.

Titi believes lower interest rates could further support economic activity. He expects inflation to return to the South African Reserve Bank's preferred 3% target by next April, creating room for the interest-rate cutting cycle to resume.

Although annual inflation accelerated to 4.5% in May due largely to higher energy costs linked to tensions involving Iran and global oil markets, Titi said favourable base effects should help inflation moderate in the months ahead.

If inflation continues to ease and reforms maintain momentum, South Africa could enter a period of stronger growth, improved investor confidence, and increased economic opportunities by the end of the decade.