Standard Bank’s Fuzile on why SA needs to go through lean times for the economy to turn around

Standard Bank Group CEO, Lungisa Fuzile, recently spoke to CNBC Africa about the economic stability and growth prospects in Africa, particularly in South Africa. Fuzile mentioned that despite occasional instances of instability, the overall trend in Africa is towards more political stability, sound macroeconomic management, and policy stability, which are attractive factors for investors. He highlighted the importance of economic and policy stability as the key drivers of growth on the continent, emphasizing that this stability is crucial for long-term success. Fuzile expressed confidence in the continent's future, citing the bank's presence in 20 countries and its successful business diversification strategy as evidence of sustainable growth. He also praised the partnership with ICBC and the positive impact it has had on the bank's operations across Africa. Furthermore, Fuzile commended the Finance Minister of South Africa, Tito Mboweni, for his proactive approach to growing the economy and creating inclusive opportunities for businesses and job seekers. He described Mboweni's plan as a positive step towards addressing the country's economic challenges and emphasized the importance of implementation over mere planning. Fuzile encouraged stakeholders to engage with the content of the plan and provide constructive feedback instead of focusing solely on the process. When discussing the current economic climate in South Africa, Fuzile acknowledged the need for painful adjustments to drive growth and build competitiveness. He emphasized the importance of making these adjustments to avoid prolonging downturns and deepen economic troughs. Fuzile expressed his belief that going through lean times and making difficult decisions now will ultimately lead to a quicker recovery and sustainable growth in the future. He underscored the necessity for South African firms to enhance their competitiveness not only domestically but also regionally and globally to remain resilient in the face of global competition. Fuzile's insights shed light on the challenges and opportunities facing the African economy and underscore the importance of proactive measures to drive economic growth and stability in the region.