South Africa Current Account Gap Largest in 1-1/2-Years

South Africa's current account deficit shrank to ZAR 57 billion in Q3 2025, from a revised ZAR 72.2 billion in the previous three-month period. The primary income account shortfall narrowed to ZAR 137 billion from ZAR 173 billion in Q2 and the secondary income gap was little changed at ZAR 29 billion. Meanwhile, the trade surplus shrank further to ZAR 178.3 billion from ZAR 187.2 billion in Q2, as the value of imports increased more than exports, with higher crude oil and refined fuel purchases weighing. At the same time, the services surplus fell to ZAR 109 billion from ZAR 129 billion. The current account deficit as a ratio of gross domestic product (GDP) narrowed to 0.7% in Q3 from a downwardly revised 1% in Q2 and below analysts' expectations of 1.3%.

South Africa's current account deficit widened to ZAR 82.8 billion in Q2 2025, from a revised ZAR 47.8 billion in the previous three-month period. It was the largest current account shortfall since Q4 2023, as the trade surplus narrowed further to ZAR 177.1 billion from ZAR 211.0 billion in Q1. At the same time, the deficit on the services, income, and current transfer account widened slightly to ZAR 259.9 billion from ZAR 258.9 billion, driven by a larger income account deficit, even as the deficits in the services and current transfer accounts narrowed. The current account deficit as a ratio of gross domestic product (GDP) widened to 1.1% in Q2 from an upwardly revised 0.6% in the preceding quarter and above analysts' expectations of 0.7%.

South Africa's current account deficit narrowed to ZAR 35.6 billion in Q1 2025, from a revised ZAR 39.3 billion in the previous three-month period. The goods surplus fell slightly to ZAR 221.2 billion in the first quarter of 2025 from ZAR 226.4 billion in Q4 2024, as imports (+3.6%) increased more rapidly than exports (+2.9%). Meanwhile, the shortfall on the services, income, and current transfer account narrowed to ZAR 256.8 billion from ZAR 265.7 billion in Q4, driven by smaller services and income deficits that offset a wider current transfer gap. As a ratio of GDP, the current account gap remained broadly unchanged at 0.5% in Q1 compared to the preceding quarter.