Financial markets prove SA is fulfilling true potential, says ‘Bloomberg’ ex-editor

Financial markets show South Africa is making undeniable progress toward fulfilling its economic potential, driven by surging local bonds, a resilient rand, and a restored power grid.

In a Bloomberg Opinion analysis, Bloomberg News editor-in-chief emeritus Matthew Winkler says South Africa’s financial turnaround presents a stark contrast to hostile political rhetoric originating from Washington.

Following the formation of the Government of National Unity in June 2024, South African government bonds reaped a 70% return, while the rand appreciated 13% against the US dollar.

Equities on the FTSE/JSE All Share Index achieved their strongest three-year stretch since 2010, alongside a 100% surge in precious metal export values and declining violent crime.

Crucially, scheduled power outages ceased in March 2024, reaching 476 consecutive days without load shedding and securing a Fitch credit rating upgrade for Eskom.

“All of which goes to show that it’s better to watch what the market is saying and not what comes out of the Oval Office,” Winkler wrote.

How is South Africa navigating Washington’s diplomatic hostility?

This market-led rebound comes despite escalating friction with United States President Donald Trump’s administration.

Washington recently hit South African exports with a 12.5% tariff over forced labour, revoked visitor visas while trimming Durban consulate services, and terminated PEPFAR health funding.

The White House also faced intense backlash over its $100 million (R1.65 billion) Afrikaner refugee scheme and a proposed $1 million (R16.5 million) study into farmer victimisation.

US Senator Jeanne Shaheen slammed the refugee policy for ignoring truly endangered allies, while former ambassador Ebrahim Rasool warned that Washington’s MAGA agenda seeks to force a rollback of post-1994 transformation.

Why is international support growing despite the G20 snub?

Although Washington excluded Pretoria from the 2026 Miami G20 summit, global support for South Africa remains steadfast.

British High Commissioner Anthony Phillipson affirmed the UK would work closely with Pretoria, calling South Africa an essential voice for the Global South.

Meanwhile, Rasool urged Pretoria to deepen BRICS multilateral alliances to safeguard its economic future.