South Africa

The South African economy could be spared the effects of the Russian-Ukrainian conflict

Addressing a post-budget briefing earlier, the minister explained that instead, the country might even see positive economic activity as a result.

Enoch Godongwana on February 23, 2022. Photo: GCIS

CAPE TOWN – As the world continues to take in the horrific scenes in Ukraine on Thursday where Russia launched a military campaign, Finance Minister Enoch Godongwana said South Africa’s economy could be spared the effects of the conflict .

Addressing a post-budget briefing earlier, the minister explained that instead, the country might even see positive economic activity as a result.

As sanctions are now being imposed on Russia by some countries in Europe and the United States is trying to economically punish Moscow following its assault on Ukraine, everyone has been concerned about the possible devastating effects of the crisis in the Eastern European bloc on other economies.

Minister Godongwana said if events offset other reactions, South Africa stands to benefit economically.

“You have the price of crude oil going up and at the same time we have seen the price of coal and other raw materials going up. As exporters, we will probably benefit from this. It is therefore difficult at this stage to say which one is likely to have the most impact on us.

The concern he raised about fuel price pressures is due to Russia’s exports to South Africa, which include refined petroleum.

Last year, the main exports from Moscow to the country included mixed mineral or chemical fertilizers, nitrogen fertilizers.

Meanwhile, Pretoria exports cars, platinum, manganese ore and coal, among other products.



The South African economy could be spared the effects of the Russian-Ukrainian conflict

Source link The South African economy could be spared the effects of the Russian-Ukrainian conflict

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