Leading South African executives express cautious optimism for 2026, highlighting potential growth from rate cuts and AI advancements while noting persistent structural challenges.
South Africa begins 2026 with signs of economic stability, though recovery remains delicate. Business leaders from major firms shared their perspectives on the year ahead, focusing on growth drivers and hurdles.
Nedbank CEO Jason Quinn described himself as 'cautiously optimistic' about the economy and banking profits. He projected GDP growth at 1.4% for the year, averaging 1.5% thereafter, bolstered by reforms and public-private infrastructure partnerships. Quinn anticipated two interest rate cuts as inflation eases to a 3% target from 3.6%, aiding spending and investment. However, he warned of tight household budgets due to volatile food and fuel prices, plus rising utility costs. Banking faces fierce rivalry from digital and retail entrants, pushing a shift toward innovation and customer-focused digital models.
Investec South Africa CEO Cumesh Moodliar noted the economy ended 2025 stronger than anticipated, with four straight growth quarters after over a decade, supported by firm commodity prices, a stable rand, and a 30% JSE surge. He foresaw a 50 basis point rate reduction, easing pressures, yet stressed subdued investment, credit, and consumption. Moodliar emphasized data's role in competing against non-traditional financial players.
Telkom Group CEO Serame Taukobong viewed Africa as equal in technological progress, with fibre reaching 1.4 million homes and mobile upgrades underway. He urged shifting to innovation leadership, integrating African languages into AI to preserve cultural identity.
Samsung Mobile vice-president Justin Hume reported robust 2025 performance, with the S25 series making AI central to 73% of premium smartphones. He highlighted on-device AI processing and installment plans boosting adoption, expecting single-digit market growth. AI now ranks second in consumer priorities, enabling contract translations and quick report summaries.
Standard Bank insurance and asset management CEO Yuresh Maharaj highlighted recent wins: JSE above 100,000, greylist removal, a narrower 3% inflation band, and hosting G20/B20 events. He felt 'most optimistic,' predicting capital release if momentum holds two quarters, marking a positive tipping point.
