South Africa Defined by ‘Stagnation and Exclusion,’ Harvard Says

  • Country has been hobbled by collapse of state capacity
  • Apartheid legacy of spatial exclusion has been exacerbated

Three decades into democracy the poor performance of South Africa’s economy can be attributed to the collapse of state capacity and the vast distances many citizens live from job opportunities, Harvard University’s Growth Lab said.

The potential of Africa’s most industrialized nation remains unrealized and its economy is deteriorating, the lab, headed by Professor Ricardo Hausmann, said in a 178-page report that involved two years of research.