Income inequality and unemployment in South Africa remains the highest in the world, the International Monetary Fund (IMF) has found.

South Africa faces significant challenges and needs decisive action to revive growth, the agency said in its latest economic review.

However, the report also acknowledges considerable economic and social progress made by Africa’s largest economy since the country’s first democratic elections in 1994.

Bruce Edwards asked Laura Papi the IMF Mission Chief for South Africa why the economy was so sluggish.

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