Skip to main content
Invest Now
012 012 5270
Copyright © Aluma Capital (Pty) Ltd. All rights reserved.
Aluma Capital (Pty) Ltd is a registered Financial Services Provider (FSP 46449) in terms of The Financial Advisory and Intermediary Services Act (37 of 2002)
Frederick Mitchell, Chief Economist | Aluma Capital (Pty) Ltd
Frederick Mitchell
March 11, 2026

South African Gold and Foreign Exchange Reserves for February 2026

The South African International Liquidity Position, measured by Net Gold and Foreign Exchange Reserves, showed growth in USD terms but declined in Rand terms for February 2026. The Rand appreciated notably against the US Dollar from December to January 2026, according to official reports from the South African Reserve Bank. Reserves increased by nearly USD 960 million, following a USD 3.7 billion rise in January 2026. The sustained high gold price played a significant role in supporting reserves from January through to February, with gold prices remaining 81% higher than the same period in 2025 at this stage.

In USD terms, foreign reserves increased in February 2026 compared to the previous month. The Reserve Bank continued to purchase US Dollars in open market operations as the Rand gained value against the US Dollar throughout February, thereby impacting South Africa’s net international liquidity position at that time.

Key commodities such as gold, oil, platinum, and coal offer valuable insights into South Africa’s mining sector and inflation outlook. Monitoring these trends is vital for assessing inflation prospects, especially amid ongoing international developments and potential trade restrictions with the US following August’s tariff measures.

Tracking these movements is crucial, as inflation expectations will influence the South African Reserve Bank’s (SARB) interest rate decisions in the early stages of 2026, especially given the current conflict in the Middle East. A stable Rand for now and notably higher oil prices are conducive to expected higher inflation forecasts for now; this may, however, change quickly if the US-Iran conflict is not resolved speedily. However, global continued geopolitical tensions and possible changes to trade agreements, such as the African Growth and Opportunity Act (AGOA), which has been extended by one year by the US administration, could introduce increased market volatility as the 30% reciprocal tariffs remained intact on South African exports to the US market in general. With recent US tariffs and the Federal Reserve’s decision to cut interest rates in December 2025, the Rand may experience continued short-term fluctuations, which could impact both international markets and South Africa’s economic outlook for the remainder of the year.

Back to News

More Coverage

Mining Production and Sales for March 2026

In March 2026, South Africa’s mining sector showed promising growth, with activity up 2.5%, driven primarily by substantial increases in platinum group metals (PGM) and gold production. This article delves into the remarkable statistics, including a staggering 113.5% surge in platinum sales and a robust 30.2% increase in nominal mining sales, highlighting the industry’s crucial role in generating employment and foreign exchange for the economy. However, amid positive growth trends, the sector faces significant challenges, including geopolitical tensions, tariff measures, and the potential impacts of a changing global market. Discover how these dynamics affect one of the country’s key economic contributors and the overall outlook for the mining industry as South Africa navigates through a complex landscape of opportunities and hurdles. Read on for an in-depth analysis of the mining sector’s performance and its implications for South Africa’s economic future.

anufacturing Production – March 2026

Discover the surprising resilience of South Africa’s manufacturing sector in March 2026, where a remarkable 0.9% increase defied analysts’ expectations following a 2.3% slump in February. This unexpected growth, propelled by expansion in key sectors like food and beverages, petroleum, and electrical machinery, suggests a positive shift in business sentiment. Despite a quarterly downturn, manufacturing sales edged upward, signalling underlying strength amidst international trade tensions and tariffs. Uncover how South Africa’s industry navigates these choppy waters by maintaining robust cash reserves, hinting at strategic adaptations to the evolving economic landscape. Dive into this comprehensive analysis to understand the delicate interplay of growth factors and challenges shaping the future of South Africa’s manufacturing sector.

Employment Statistics in South Africa: 2026Q1

Delve into the latest employment statistics for the first quarter of 2026, revealing a challenging landscape for South Africa, with a rise in the unemployment rate to 32.7%, surpassing expectations. The report uncovers sectoral job losses, contrasting with a modest uptick in the manufacturing sector. Despite a marginal increase in total employment, the broader economic picture is overshadowed by an expanding unemployment pool of 8.1 million individuals. Explore regional employment trends, with KwaZulu-Natal as a rare positive outlier, against the backdrop of global economic uncertainties like US-China tariffs and Middle Eastern conflicts, shaping South Africa’s job market in the coming months.

Phalanomics:  Accountability vs. Stability while navigating South Africa’s New Political Crosswinds

South Africa’s Constitutional Court has reopened the Phala Phala impeachment process, creating renewed political uncertainty around President Cyril Ramaphosa and the GNU. While markets remain stable for now, concerns include weaker investor confidence, delayed reforms, and pressure on the Rand if political tensions escalate. At the same time, the ruling reinforces the strength of South Africa’s democratic institutions, showing that the Constitution and judiciary remain strong checks on political power.

The Velocity of Resilience: Why Speed is South Africa’s Newest Economic Buffer

Discover how South Africa is turning speed into a formidable economic shield against rising challenges such as fuel price hikes and cost-push inflation. Explore how the nation is battling “economic friction” by leveraging cutting-edge local fintech solutions, like PayShap, and groundbreaking international developments in blockchain technology to create a “velocity buffer.” This strategy empowers small businesses and larger firms alike to maintain agility and financial resilience through instant financial transactions. Witness the transformative impact of reducing exposure to currency volatility and unlocking 24/7 market access, as South Africa aims for a “T-Zero” economy where speed transforms into a strategic hedge against inflation, ensuring economic stability and growth even in tumultuous times.