Counting the costs of COVID-19
A stringent lockdown in South Africa came into effect on 26 March 2020 and shut down most sectors of the economy. New SA-TIED research on the impact of COVID-19 on the South African economy estimates that the economy shrank by one third during the initial nationwide lockdown.
Researchers working under the banner of SA-TIED, a collaborative policy research programme between the National Treasury, UNU-WIDER, IFPRI, SARS, DPME, the dtic, and a number of local and international research organizations – calculate the economic cost and impact of the first 21 days of lockdown and illustrate post-lockdown scenarios. Over 2020, researchers estimate GDP could fall by between 5 and 16 per cent.
This research has informed debate among policy makers and the media. For more on how these findings have informed public statements made by the National Treasury Director General, Dondo Mogajane,