The size of South Africa's economy has been revised upwards by 5.3% to R8.044-trillion in 2025, according to the latest rebasing and benchmarking exercise by Statistics South Africa (Stats SA). This adjustment was made to reflect current economic conditions and to align with international best practices. The rebasing exercise involved updating the base year from 2015 to 2022, which led to a 4.9% revision in the size of the economy in 2022 to R6.99-trillion from the previously stated R6.667-trillion.
The rebasing exercise resulted in significant changes to the contribution of various industries to the country's Gross Domestic Product (GDP). The mining industry saw the largest change, with its size increasing by 12.5% due to the inclusion and better coverage of illegal mining. The finance, real estate, and business services sector was the second biggest gainer, with a 9.1% adjustment, primarily due to improved methodology for compiling owner-occupied housing estimates in real estate activities.
The rebasing exercise also led to revisions in the movements in real GDP since 2018. The 6.2% contraction previously stated for 2020, during the Covid-19 pandemic, has been revised to a shrinkage of 6.8%. Additionally, last year's GDP growth has been revised to 0.9% from 1.1%. These revisions were made to ensure that the national accounts accurately reflect the current state of the economy.
The latest exercise updated the source data and improved the methodology for the non-observed economy (NOE) and owner-occupied rent. The NOE refers to the extent of economic activity that is missing from statistical data collections and administrative sources. The revisions resulted in an increase in the contribution of the NOE to 8.7% from 8%. The finance, real estate, and business services sector remains the largest contributor to South Africa's economy, with its contribution to GDP edging up to 21.8%.
Three other industries have also seen their weighting increase, namely mining and quarrying, which rose by 0.5 percentage points, trade, catering, and accommodation, which increased by 0.3 percentage points, and transport, storage, and communication, which ticked up by 0.1 percentage points. On the other hand, the troubled manufacturing sector has retreated further, with its contribution easing to 11.9% from 12.4%, pushing its standing to the fourth largest GDP industry.
The manufacturing sector has deteriorated sharply since 1995, when it was South Africa's largest sector, accounting for 21.5% of GDP. The sector's decline is a concern for the country's economic growth and development. The rebasing exercise is conducted periodically to ensure that the national accounts remain accurate and reflective of the current economic landscape.
The Stats SA previously published benchmarked and rebased GDP estimates in 2021, with 2015 as the base year. However, the update from the 2015 base was delayed due to the pandemic, allowing for a return to normal economic activity. The recommendation is to benchmark and rebase every five years, and the latest exercise is a step towards maintaining the accuracy and reliability of South Africa's national accounts.
Key points
- The size of South Africa's economy has been adjusted 5.3% higher to R8.044-trillion in 2025.
- The mining industry saw the largest change, with its size increasing by 12.5% due to the inclusion and better coverage of illegal mining.
- The finance, real estate, and business services sector remains the largest contributor to South Africa's economy, with its contribution to GDP edging up to 21.8%.
