PRESS STATEMENT: CIAG responds to South Africa’s dismal Q1 2025 GDP growth

The CIAG expresses profound disappointment, though not surprise, at SA’s latest economic performance, with the GDP growing by a mere 0.1% in Q1 2025.

The CIAG expresses profound disappointment, though not surprise, at SA’s latest economic performance and believe the WC can do better

The Cape Independence Advocacy Group (CIAG) expresses profound disappointment, though not surprise, at South Africa’s latest economic performance, with the gross domestic product (GDP) growing by a mere 0.1% in the first quarter of 2025, according to Statistics South Africa’s latest release. This marginal increase, following a 0.4% rise in Q4 2024, underscores the ongoing failure of the ANC-led Government of National Unity (GNU) to address the nation’s deepening economic crisis.

South Africa’s unemployment rate, currently at a staggering 32.9%, demands bold and decisive action to reverse the spiral of economic stagnation. A GDP growth rate of at least 5% is essential to begin addressing this crisis, yet the government persists with outdated ideologies and policies that have proven destructive over the past three decades. The CIAG firmly believes that immediate, practical reforms—such as merit-based appointments, halting the creation of loss-making national entities, adopting trade-aligned foreign policies, and reducing bureaucratic red tape and restrictive labour regulations—could yield significant improvements within 3-6 months. These measures would reduce dependency on social assistance and bolster a shrinking tax base.

“The ANC-led GNU lacks the courage, vision, and self-awareness to enact the necessary changes or accept constructive criticism,” said Dr. Joan Swart, CIAG spokesperson. “South Africa’s economic trajectory is a sinking ship, and the Western Cape cannot afford to be dragged down with it. With our abundant human and financial resources, an independent Western Cape could achieve in 12 months what the national government has failed to deliver in decades—positioning our region as a global economic player while creating prosperity and opportunity for all its people.”

The CIAG calls for the Western Cape to decouple from a failing national framework and leverage its potential to drive transformative growth. By prioritizing economic freedom, innovation, and accountability, the Western Cape can chart a path to sustainable prosperity and take its rightful place on the global stage.

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