Photo taken on April 10, 2020 shows an empty street in Johannesburg, South Africa. (Xinhua/Yeshiel)
South Africa's economy might take a number of years to recover from COVID-19 lockdown devastation, an economist warns.
JOHANNESBURG, May 26 (Xinhua) -- With most economic sectors set to reopen next week, an economist on Monday said South Africa's economy might take a number of years to recover from COVID-19 lockdown devastation.
"The South African economy will likely remain in a recession for a prolonged time. The lost production in the past two months will be lost for many years," chief economist with Efficient Group Dawie Roodt told Xinhua on Monday.
He was reacting to the president's Sunday announcement that the majority of the economy would be opened on June 1 as lockdown measures were eased.
Roodt believed hardship would be on the rise.
"The economy was in a technical recession before, so this has worsened everything…hardship and poverty for a number of citizens would increase due to this," he said.
A citizen is seen on a street in Johannesburg, South Africa, May 22, 2020. (Xinhua/Chen Cheng)
The Reserve Bank Governor Lesetja Kganyago last week said macroeconomic policies to deal with the lockdown problems should be implemented. Finance Minister Tito Mboweni will deliver a new budget that would respond to COVID -19 challenges in June.
Labor federation Cosatu said the budget to be tabled must be "decisive and bold" to deal with the "economic depression". It said it must be aimed at kick-starting the economy and retaining jobs. ■