# Minister of Finance Enoch Godongwana now estimates the economy to grow at 1.4-percent this year – lower than the 1.9 percent he projected in March. He presented his third budget in Cape Town today. Over the next two years, Godongwana projects real GDP growth to rise moderately, to 1.6-percent in 2026 and 1.8-percent in 2027. He says looking further ahead, the risks to the outlook remain elevated. These include the worsening global outlook, weaker-than-expected growth in the fourth quarter of 2024, the persistence of logistics constraints and higher borrowing costs.
BUDGET: Godongwana slashes economic growth forecast from 1.9% to 1.4%