MZANSI'S economy has grown by a modest 0,1% in the first quarter of 2025, narrowly avoiding contraction.
This was revealed by Statistician-General, Risenga Maluleke, who released the Gross Domestic Product (GDP) figures of Quarter 1 of 2025 in Tshwane on Tuesday, 3 June.
He reported that the agriculture sector played a decisive role in bolstering growth amid weak performances in key industries.
"Agriculture increased by 15,8%, contributing 0,4 of a percentage point to GDP growth, without it, the economy would have shrunk by 0,3%," said Maluleke.
He noted that horticulture and animal production benefitted significantly from good rain, leading to the sector's strong performance.
"Good rain contributed to the industry's fortunes, with horticulture benefitting the most. Animal products also fared well," he said.
Maluleke said out of the 10 major industries tracked on the production side of the economy, only four posted positive growth.
He said agriculture led the way, followed by transport, storage and communication, as well as trade, catering and accommodation.
"We saw growth in land and air transport services and a slight lift in consumer activity, particularly in food and retail trade."
Maluleke also revealed that in contrast, mining and manufacturing were the biggest drags, together pulling down GDP growth by 0,4 of a percentage point.
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He said mining output dropped by 4,1%, weighed down by declines in platinum, coal, chromium and gold.
"Despite gains in iron ore and diamonds, the mining sector remained in the red," he said.
Manufacturing also stumbled, with production falling in key divisions such as food and beverages and motor vehicles.
He said only three manufacturing divisions, textiles, wood and paper, and electronics, saw growth.
The return of load shedding has also been a contributing factor to the low increase of the economy.
After a 310-day hiatus, load shedding returned in Q1, contributing to a 2,6% contraction in the electricity, gas and water sector.
Maluleke described this as the worst performance since Q3 2022.
"The return of load shedding and reduced water usage led to the largest decline in this sector in over two years," he said.
He emphasised that while growth remains fragile, agriculture continues to demonstrate resilience in the face of broader structural challenges.
"These results remind us of the vital role agriculture plays in our economy, especially when other sectors face significant headwinds."
