Page 43 - Demo

Overview of the Provincial Revenue and Expenditure (OPRE %u2013 2025/26)Eastern Cape Economy The growth trends of the provincial economy broadly follow the national trends. The province has experienced extended low growth periods during the decade prior to the onset of Covid 19 in 2020. Figure 1.16: Eastern Cape Economic Growth ProjectionsDespite the low growth of the past two years, the provincial economy is expected to marginally recover and grow by 1.6 per cent in 2025 and on average by 2 per cent per annum for 2026 and 2027.The size of the economic output of the Eastern Cape economy is estimated at R573 billion (current prices) which represents about 8 per cent of the total economic output for the country. According to the Trade and Industrial Policy Strategies (TIPS) and data from Quantec and Stats SA, real economic activity in the province remain to be dominated by auto and components manufacturing, food and agro-processing value add, wholesale and retail also linked to tourism, business services. However, in recent periods the province has witnessed the resurgence of agriculture and the expansion of the non-renewable electricity sector particularly in renewables wind electricity generation. 22- .0- .0- .0- .0 0.0 2.0 4.0 6.0 8.01996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027Economic Growth (%)South Africa Eastern CapeUpdated ProjectionsSource: PT projections derived from Stats SA, NT GDP data