Ten years after the ANC were voted into power, the question economists are asking is, has the Government delivered on its promise to transform the South African economy? In particular, is GEAR (the Growth, Employment and Redistribution strategy) delivering the goods?
- The South African economy is now the 23 rd largest in the world, compared to 35 th in 2002. It's growing at a rate of over 3% a year.
- Inflation was running at 14% in 1994. It's now below 5% and falling.
- Interest rates dropped from 16% to under 9% in the first ten years of the ANC Government. This is good news for businesses wanting to borrow and could mean more jobs are created.
- The budget deficit, which was 8% in 1997, fell to 1.5% in 2004. South Africa is balancing its books.
- 25% of goods produced in South Africa are for export, up from 10% in 1994.
- Black South Africans are spending ten times as much on cars as they were in 1994.