Less than thrilling path for recovery
JITTERS Numbers recently out from FNB and ABSA agree with SAPTG figures and show a less than thrilling path for property recovery.
While some growth in the first two quarters created the impression that the path to recovery was on track, albeit at a lukewarm rate, latest statistics point to additional difficulties, more threatening than previously envisaged. Our erstwhile optimism is being tempered more and more, with realism. While we are nowhere near the desperate position of the USA we nevertheless continue to feel the effects of their contagion. Continued macro-economic risks on the global front, and notably, in the USA as well as Eurozone countries are creating darker clouds and giving investors the jitters. Economic “meteorologists” are seeing more thunder and lighting than sunshine and roses. From a national perspective, our debt level, though off the high of 83% in 2008, remains high at over 78%.