THE CHAMBERS GLOBAL PRACTICE GUIDE ON CORPORATE M&A TRENDS AND DEVELOPMENTS, 2020 – SOUTH AFRICA CHAPTER
The South African economy has been largely stagnant for the last several years due to domestic as well as global factors, with recent growth forecasts for 2020 being below 1%, projected to rise only moderately to around 1.5% in the medium term.
On a global level, weak growth (forecast at approximately 2.9% for 2020) and downside risks to the global economy – the coronavirus outbreak, economic slowdowns in key markets (particularly China), natural disasters, rising protectionism, geopolitical uncertainty and trade disputes – are exacerbating the challenges faced by South Africa’s emerging market economy. It is not surprising, then, that 2019 was a relatively quiet year for M&A in South Africa.
However, despite the significant challenges that it faces, South Africa has undeniable economic potential, and there are reasons for cautious optimism that continuing improvement in governance and the implementation of reforms will generate a recovery of investment and lift business confidence.
Bowmans lawyers Ezra Davids, Charles Douglas and Ryan Kitcat wrote the South African chapter of the Chambers and Partners Global Practice Guide on Corporate M&A Trends and Developments 2020, which outlines some of the key M&A trends and developments in South Africa, and their expectations for 2020.Read further