Insights

The Budget offered something for everyone, including some relief for taxpayers, and a positive message for investors. South Africa is finally making progress on fiscal consolidation and faster economic growth, and markets are recognising this.

Where gaps open between variables that normally move together, we need to ask why. However, the most important gap for most investors is the one between expectations and reality.

For the first time in many years, the annual State of the Nation Address can point to tangible progress, even though significant challenges remain. The same is true of the upcoming Budget Speech. It remains a windy road ahead, but South Africa appears to be turning a corner.