- There is no denying that South Africa was facing economic challenges long before Covid-19 arrived in the country
- This has proven immensely challenging for the nation's youth, who were already facing high levels of unemployment
- A recent study has found that a vast majority of young citizens are being forced to return home due to the pandemic
South African youths are faced with an unprecedented situation at a time when they should be eyeing advancing both in their careers and life in general.
Research carried out by Gumtree, a virtual classifieds community, suggests that 64% of citizens between the ages of 21 and 35 may need to return to their parent's home in the wake of the Covid-19 pandemic.
With Finance Minister Tito Mboweni warning that the economy may contract by another 7% later this year after already shrinking by 51% in the second quarter, the situation seems likely to worsen.
Around 3 million jobs are believed to have been lost between February and April according to a report by the National Income Dynamics Study.
The majority of these job losses were young people, who are now facing an unemployment rate of 59% according to Stats SA.
United States research found that most 18-34 year-olds were living at home in a historical first with a rate of 47% recorded in February and 52% recorded in July.
TimesLIVE spoke to Estelle Nagel, brand marketing manager at Gumtree, who confirmed their own study produced similar outcomes:
“We asked our Twitter followers – particularly those between the ages of 21 and 35 - if they or someone they knew had been forced to move home. The results were a resounding yes, with 64% of young South Africans in our target group of 2,400 responding that they had been directly impacted by the economic knock-on effects of Covid-19."
Nagel explained that the platform had seen a sudden spike in rental properties being listed during this time.
Earlier, Briefly.co.za reported that Eunomix has issued South Africa a warning that the nation may become a 'failed state', both politically and economically, is the current decline is not addressed soon.
A report issued by the group forecasts that unless the state adopts economic policies aimed at growth in the near future, this could happen as soon as 2030.
Chief executive Claude Baissac explained that the risk consultancy group has employed a range of measures to determine SA's development ranking which included governance, prosperity, security, welfare and fragility.
The agency is now 75% confident that South Africa will rank near the bottom of over 180 countries when in comes to governance and prosperity:
“From a peer group perspective, there currently are no countries where South Africa is forecast to be in 2030, underlining the a-typicality of its trajectory. Bar a meaningful change of trajectory, South Africa will be a failed state by 2030.”
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