South Africa's investor appeal is experiencing a robust recovery under the two-month old government of President Cyril Ramaphosa, the country's Reserve Bank Governor Lesetja Kganyago said on Thursday.

Since Ramaphosa took power, both business and consumer confidence have improved, Kganyago told CNBC's Joumanna Bercetche at the IMF and World Bank spring meetings in Washington.

The positive momentum is also reflected in financial markets. "We saw bond yields decline, the currency strengthen so there is positive investor sentiment in South Africa and that, of course, lays a basis for a cyclical recovery," Kganyago said.

Ramaphosa, the successor to embattled former leader Jacob Zuma, is widely regarded as a pro-business politician committed to fighting graft and boosting foreign investment. Once a top performing emerging market, the economy took a hit under Zuma, who was criticized for heavy government interference in business affairs.