South Africa’s official unemployment rate surged to 33.6% in the second quarter of 2026, reaching its highest level in four years. According to Statistics South Africa, the number of unemployed individuals rose to 8.5 million as total employment declined by 16,000. The worsening labor market occurs amidst a backdrop of rising interest rates and increasing tension surrounding foreign-owned businesses, which analysts suggest may further stifle investment and local job creation.