New CEO 'optimistic'

South Africa’s gross domestic product forecast to increase by 0.9%.

- Suren Naidoo

Jason Quinn the new Nedbank Group CEO is banking on a better South African economy in the second half of this year and over the medium-term on the back of the new government of national unity (GNU).

Quinn in his first results briefing as Nedbank boss, noted in the group's interim results release yesterday, that the bank is set to benefit from better local economic prospects.

"We remain cautiously optimistic around the potential benefits associated with SA's GNU and expect better macroeconomic conditions in the second half of 2024 and into the medium-to-long term," he said.

He added that Nedbank forecasts South Africa's gross domestic product to increase by 0.9% this year, while inflation is set "to continue to decline and the South African prime lending rate to decline by a cumulative 50 bps in 2024, to end the year at 11.25%".

"On the back of an improving operating environment, we continue to aspire to deliver ongoing improvements in ROE [return on equity] to increase shareholder value," said Quinn.