Hyundai Motor’s Q3 profit tumbles African economic growth slows
HyundaiMotor, South Korea’s biggest automaker, sawits third-quarter operating profit post a double-digit decline as global economic slowdown and sagging domestic demand reduced car sales at home and abroad. Operating profit was 1.07 trillion won ($940 million) in the three months ending Sept 30, down 29 percent from the same period last year, the company said in a regulatory filing. Revenue declined 5.7 percent from a year earlier to 22.08 trillion won in the July-September period, and net income slumped 7.2 percent to 1.12 trillion won. Economic growth in Africa is set to drop to a 23 year low of 1.4 percent in 2016 due to the drop in oil prices, drought in southern Africa and the political crisis in eastern Africa, the InternationalMonetary Fund forecast on Tuesday. Abebe Selassie, IMF Director of the African Department, said the record dip in economic growth in Africa would be short-lived and it resulted from a major drop in commodity prices, including heavy metals and oil, affecting key African countries. “There are four reasons for this slowdown: the drought, low commodity prices, tighter financing conditions and the delayed policy response in the region,” Selassie said.