FX.co ★ South Africa Current Account Gap Shrinks Slightly in Q1

In the first quarter of 2025, South Africa's current account deficit reduced to ZAR 35.6 billion, down from a revised ZAR 39.3 billion in the last quarter. The surplus in goods slightly decreased to ZAR 221.2 billion, from ZAR 226.4 billion in the fourth quarter of 2024, as imports rose by 3.6%, outpacing the 2.9% growth in exports. Concurrently, the deficit in the services, income, and current transfer accounts narrowed to ZAR 256.8 billion, from ZAR 265.7 billion previously, owing to lower deficits in services and income, which offset the widening gap in current transfers. As a percentage of GDP, the current account deficit remained relatively stable at 0.5% in the first quarter, consistent with the prior quarter.