South Africa posted a current account deficit of ZAR 205.5 billion (roughly $12.7 billion) in the second quarter of 2026, marking the widest shortfall since late 2015.
According to the South African Reserve Bank, this figure translates to a deficit of 2.6% of gross domestic product, reversing sharply from a 2.3% surplus recorded in the first quarter.
The dramatic turnaround was driven by geopolitical conflict in the Middle East that erupted in late February, significantly escalating international energy expenses and domestic import pressures.
Consequently, the quarterly trade surplus collapsed to ZAR 146.4 billion ($9 billion) from ZAR 428.8 billion ($26.5 billion), heavily impacted by an 82.1% surge in the value of crude oil imports.
Furthermore, the persistent deficit on the services, income, and current transfer account widened to ZAR 351.9 billion ($21.8 billion), compounding overall external sector imbalances.
This external shock compounds recent domestic downturns, coming immediately after Statistics South Africa reported a 0.2% economic contraction in Q2, ending a four-quarter growth streak.
