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Deputy President Paul Mashatile will on Thursday, 25 May 2023 respond to Oral Questions in the National Assembly. This is in line with a constitutional mandate for members of Cabinet to account to Parliament for the exercise of their powers and performance.

The questions asked to the Deputy President relate to progress on the land reform programme, stabilising coalition governments, and his role as the President's envoy on South Sudan, among others.

The Deputy President is expected to reassure Parliament of Government's commitment to the land reform process to ensure economic growth and inclusion while guaranteeing food security. 

On the question of stabilising coalition governments, the Deputy President will remind members of the framework for coalitions that has been drafted by the South African Local Government Association to guide political parties on structuring their coalitions for improved service delivery.

The Deputy President had also committed to the National Council of Provinces that he would convene a dialogue to deliberate on a consensus on how to better manage coalition governments so that they are responsive to the needs of communities.

In his capacity as the Special Envoy on South Sudan, Deputy President Mashatile will outline South Africa's plans to assist parties to the Transitional Government of National Unity in South Sudan with the implementation of the Revitalised Agreement on the Resolution of Conflict in South Sudan.

Distributed by APO Group on behalf of The Presidency: Republic of South Africa.

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The global economy faces a perfect storm of stubborn inflation, high interest rates in key economies, trade wars, supply chain difficulties and fallout from the Ukraine crisis which has heightened geopolitical risks. This is having a big impact on emerging and developing market economies, including African economies in the form of fuelling price rises, constrained trade volumes, reduced access to capital markets and food supply problems. African economies as a whole will slightly outperform the global economy this year, with most enjoying higher levels of growth than in 2022.

Published by African Export-Import Bank (Afreximbank) the Africa's 2023 Growth Prospects: Securing growth resilience in a ‘polycrisis' world report highlights the various factors that are currently plaguing the global economy: stubbornly high inflation, U.S. and Chinese trade and tech wars,  geopolitical tensions and supply chain problems. Following a strong economic recovery from the height of the Covid-19 pandemic, global growth of 3.4% in 2022 was far lower than the IMF forecast of 4.9%, in part reflecting the extremely difficult global economic environment and a dramatic shift towards price stability in the inflation and growth trade-off.

Efforts by key global central banks to rein in inflation must take priority but this is having a negative effect on Africa, with higher external debt servicing costs and a collapse in African sovereign debt issuance. Only three African nations, Angola, Nigeria and South Africa, successfully accessed capital markets in 2022, collectively raising US$6bn, down from the nine that raised almost US$20bn in 2021.

Inflation is proving difficult to tame, while the opening up of the Chinese economy from Covid lockdown measures could further fuel global inflation by releasing pent-up domestic demand. However, “heightened geopolitical tensions, besides preventing opportunities for international cooperation on global issues such as security, climate change and trade, have raised the risk of fragmentation”, the report says.

The Afreximbank report forecasts 4.1% GDP growth for Africa this year, above the global average, with growth shared around the continent, although power shortages and other infrastructural shortcomings will see South African growth slow. The continent has the potential to accelerate its economic prospects, including via increasing infrastructural investment; ongoing structural transformation; improving the macroeconomic environment; digitalisation; and the implementation of the African Continental Free Trade Agreement (AfCFTA).

Dr Hippolyte Fofack, Afreximbank chief economist and director of research and international cooperation, commented: “Inflation, which hit multi-decade highs and is raising the spectre of stagflation, is likely to emerge as the dominant macroeconomic story, eclipsing the short-lived globalisation of growth resilience post-pandemic...In the immediate term, restraining inflation in the most affected leading economies without provoking a hard landing or a full-blown financial crisis remains the most urgent challenge and risk to both global and African growth.”

The Afreximbank Africa's 2023 Growth Prospects: Securing growth resilience in a ‘polycrisis' world is available at here: https://apo-opa.info/43q8YdQ

Distributed by APO Group on behalf of Afreximbank.

Media Contact:
Amadou Labba Sall, 
asall@afreximbank.com

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About Afreximbank:
African Export-Import Bank (Afreximbank) is a Pan-African multilateral financial institution mandated to finance and promote intra-and extra-African trade. For 30 years, the Bank has been deploying innovative structures to deliver financing solutions that support the transformation of the structure of Africa's trade, accelerating industrialization and intra-regional trade, thereby boosting economic expansion in Africa. A stalwart supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank has launched a Pan-African Payment and Settlement System (PAPSS) that was adopted by the African Union (AU) as the payment and settlement platform to underpin the implementation of the AfCFTA. Working with the AfCFTA Secretariat and the AU, the Bank is setting up a US$10 billion Adjustment Fund to support countries to effectively participate in the AfCFTA. At the end of 2022, Afreximbank's total assets and guarantees stood at over US$31 billion, and its shareholder funds amounted to US$5.2 billion. The Bank disbursed more than US$86 billion between 2016 and 2022. Afreximbank has investment grade ratings assigned by GCR (international scale) (A), Moody's (Baa1), Japan Credit Rating Agency (JCR) (A-) and Fitch (BBB). Afreximbank has evolved into a group entity comprising the Bank, its impact fund subsidiary called the Fund for Export Development Africa (FEDA), and its insurance management subsidiary, AfrexInsure, (together, “the Group”).