Understanding South Africa’s current account deficit: The role of foreign direct investment income

  title={Understanding South Africa’s current account deficit: The role of foreign direct investment income},
  author={Ilan Strauss},
This article highlights the prominence of net investment income payments made to foreign direct investors in South Africa’s current account deficit. After a brief history of South Africa’s balance of payments, we describe several factors driving the growth of South Africa’s direct investment assets and liabilities, including the roles of China and Africa as investment destinations and the relisting of major South African companies abroad. The slow accumulation of direct investment assets by… 
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