JOHANNESBURG – On Tuesday, the International Monetary Fund (IMF), stated that staff are increasingly concerned about South Africa’s outlook on economic growth and how it will impact employment.

The most industrialized economy in Africa has seen a faster recovery from the COVID-19 epidemic than analysts predicted. Tuesday’s data showed that first quarter output was at pre-pandemic levels.

However, the recovery was uneven and inequal across the various sectors. The country has the highest inequality rate in the world.

The IMF released a statement pointing out a number of economic shocks that it claimed adversely affected South Africa’s economic trajectory.

The IMF stated that the flooding of Durban and uncertainty over the conflict in Ukraine as well as tightening global financial conditions and China’s slowdown, pose threats to price stability and growth.

“Policy must be focused on mitigating the effects of these shocks, while also addressing structural economic hurdles to long-term growth.”