The South African (SA) Rand strengthened in early trade on Tuesday as investors awaited first-quarter Gross Domestic Product (GDP) data, with growth expected to remain modest.
The rand traded at 16.44 against the United States Dollar, up about 0.5% from its previous close.
Statistics SA is due to release GDP figures, offering fresh clues on the health of Africa’s most industrialized economy.
Economists polled by Reuters forecast GDP growth of 0.3% quarter on quarter, down from 0.4% in the fourth quarter of 2025, and 1.8% year on year.
Nedbank economists expect growth to slow to 0.2% quarter on quarter, with services leading gains alongside agriculture and mining, while manufacturing, electricity and construction remain under pressure.
“We still expect economic growth to improve slightly from 1.1% in 2025 to 1.2% in 2026, mainly driven by consumer demand, which should continue to benefit from earlier interest rate cuts. The war in Iran, however, poses significant downside risks”, Nedbank said in a note.
On the Johannesburg Stock Exchange, the Top 40 index was up 0.7% in early trade.
SA’s benchmark 2035 government bond was stronger in early deals, as the yield fell 4.5 basis points to
–Reuters–
