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Heather Flack, Celebrating South Africa's Economic Strengths and Resilient Spirit

Writer's picture: Heather FlackHeather Flack

Updated: 11 hours ago


The news mostly focuses on all that is wrong with our beloved country. And make no mistake, we have our challenges. Show me a country that doesn’t? However, there are always two sides to the proverbial coin, and both must be thoroughly considered.

So, for this short moment in time, why not look at some of the financial factors we get right.

Despite challenges, South Africa’s financial sector has several positive factors that make it a strong and dynamic player in the global economy.


Here are some of our key economic strengths:


A Well-Regulated and Sophisticated Banking Sector


South Africa has one of the most advanced banking systems in Africa, ranked among the top globally for stability and soundness. Several of our major banks like Standard Bank, FirstRand,

ABSA and Nedbank operate at international standards. The SA Reserve Bank maintains strict, independent monetary policies, which go a long way to ensuring financial stability.


The Johannesburg Stock Exchange (JSE)

The JSE remains Africa’s largest and most liquid stock market. It ranks among the top 20 globally by market capitalisation, and offers access to equities, bonds, derivatives and commodities markets.


Strong Fintech and Digital Banking Growth

We are a leader in fintech innovation in Africa with startups seeing growth in the branchless banking, SME lending and mobile payment solutions space. Mobile banking adoption is very high with banks offering digital-first services.


Competitive Interest Rates and Monetary Policy

The SA Reserve bank follows an inflation-targeting framework, keeping inflation relatively controlled. Foreign investors view the SA Reserve Bank’s policies as credible –

supporting long term economic stability. Our repo and lending rates are competitive compared to many emerging markets. (The repo rate is set by the Reserve Bank and is the rate at which money is lent to SA’s commercial banks.)


South Africa has a Strong Insurance and Financial Services Sector


We have one of the most developed insurance markets in the world with major firms like Sanlam, Old Mutual and Discovery. Our retirement and pension funds are well structured, which helps immensely with long term financial stability. Private investment opportunities are vast and diverse making us an attractive investment destination.


An Internationally Recognised Tax Administration Platform

SARS e-Filing is globally acclaimed as a leader in digital tax administration among developing countries. While not at the level of advanced economies like the United States or United Kingdom, it outperforms many tax systems in Africa and other LMICs (low to middle income countries).


We have an Open Economy with International Trade & Investment

South Africa is an attractive destination for foreign direct investment (FDI) due to its strong financial system, natural resources, and industrial base. Trade agreements (e.g., AGOA, BRICS, AfCFTA) make SA key player in global and African markets. The SA Rand is one of the most traded emerging market currencies, reflecting SA’s role in global finance.


Strong Corporate Governance and Compliance Standards

The King IV Report on Corporate Governance sets international best practices for transparency and accountability. Businesses in SA adhere to global financial reporting and auditing standards, ensuring investor confidence.


Most of all – South Africa has something that is truly our super power – South Africans

Institutions, policies and procedures are only as good as the people who believe in and implement them. The people of this country are a special kind, unlike any other in the world. Maybe because of all we have faced and continue to face. But its that drive, that determination that we show up with, the “make a plan” philosophy… that makes us truly South African.

We are adaptable, determined and resilient, and when we stand together, we are unstoppable.


All of this is best epitomised by those magical moments when our Springboks lifted the World Cup – not just once, but on all three occasions, and how this galvanised us as a nation.

So, when looking at the other side of our South African coin, and the temptation to become jaded creeps in, just remember what power we as a people have, individually and collectively. 




Heather Flack, Business Leader, Flair Accounting

T: +27 31 207 1572

M: +27 76 555 7529

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