South Africa’s ‘Everything Rally’ Hinges on Economic Promises

The searing rally across South African assets this year risks running out of steam unless economic growth picks up enough to make a dent in the nation’s sky-high unemployment rate.

Stocks, bonds and the currency have surged amid soaring commodity prices and government reforms. The benchmark equity index is up about 46% in dollar terms, local-currency government debt has returned more than double the emerging-market average, and the rand is on track for its strongest year against the dollar since 2022.