By Nomonde Mnukwa
As South Africans prepare to listen and watch the State of the Nation Address (SoNa) on 12 February 2026 at 7pm, the country does so at a time marked by positive developments which include the strengthening of the rand, consecutive quarters of economic growth and having consistent power supply from Eskom.
Our immediate task now is to sustain these positive developments which are as a result of multistakeholder approach aimed at building an inclusive economy. One of the most significant indicators of renewed confidence has been reflected in our economy. South Africa’s sovereign credit rating upgrade from 'BB-' to ‘BB’, the first in nearly two decades, signals sound financial policies, advanced structural reforms, and a more stable political environment.
This development carries real benefits for the country and South Africans such as reduced borrowing costs, increased investor confidence and greater capacity for government to direct resources toward infrastructure and social development. This milestone stands as evidence that our reforms are beginning to deliver results.
Our progress is also reinforced by South Africa’s removal from the Financial Action Task Force greylist and the European Union’s list of High-Risk third-country jurisdictions. Achieved through enhanced oversight and tackling deficiencies, this outcome underscores a renewed national commitment to transparency, accountability, and the integrity of our financial system. It has fortified South Africa’s standing in global markets and reaffirmed our commitment to international standards of governance and compliance.
Moreover, the African Growth and Opportunity Act (AGOA) has been extended until the end of the year and will provide relief on South African products exported to the United States of America and also accelerate our nation’s economic outlook on the global front. AGOA restores certainty for exporters and investors alike through providing duty-free entry for more than 1800 South African products in the United States of America.
By supporting key sectors such as the automotive, agriculture and manufacturing industries, AGOA not only protects jobs and enhances competitiveness, but also supports government’s broader efforts to advancing inclusive economic growth and development.
Our economy is also starting to show growth which has also been evident across broader financial indicators. A strengthening rand, easing inflationary pressures, and consecutive quarter of economic growth points to an economy that is gaining momentum. These gains reflect not only government intervention, but also the resilience and contribution of workers, businesses, and communities who continue to invest in South Africa’s future, even amidst global uncertainty.
Furthermore, one of our biggest contributors to South Africa’s growing economy, our tourism sector welcomed 10 498 506 international arrivals between January and December 2025, a 17.6 percent (1 579 136) increase compared to the 8,919,370 international arrivals of 2024, which is our highest on record to date. This surge reaffirms our status as a premier global destination and the beating heart of tourism on the African continent.
We are also making progress in stabilising electricity power supply and in this financial year we experienced 238 consecutive days without an interrupted power supply, with only 26 hours of loadshedding recorded in April and May 2025. Our Energy Availability Factor stood at 64.55 percent at the end of January 2026, reflecting on the progress of Eskom’s intensive maintenance, operational improvements, and strategic interventions.
We have also classified Gender-Based Violence and Femicide as a national disaster to enable faster mobilisation of resources, strengthened coordination, and expanded support for survivors. These measures reflect a commitment to building a safer, more caring society.
As South Africans prepare for the State of the Nation Address, these developments offer renewed hope and provide motivation to continue building a better nation for everyone. Progress is possible when leadership, institutions, and citizens work together with shared purpose. While challenges remain, the highlights of the past year point to a country steadily regaining momentum and moving forward with resolve, responsibility, and confidence in its collective future.
*Mnukwa is the Acting Director-General at the the Government Communication and Information System (GCIS)
