South Africa exits recession as govt eyes 2019 polls
JOHANNESBURG: South Africa broke free of recession on Tuesday when it reported GDP growth of 2.2 per cent for the third quarter, the statistics authority said, marking a positive economic trajectory ahead of elections.
President Cyril Ramaphosa, who took power in February, has pledged to revive the listless economy ahead of polls due in May by attracting $100 billion in foreign investment and by fighting corruption.
The growth, which contrasted sharply with the second quarter’s 0.4 per cent contraction, was driven by a surge in the manufacturing, agriculture and transport sectors, Stats SA said in a statement.
The announcement follows a strong week for the local rand currency which has benefited from a detente in the United States’ trade war with China.
The Rand currency was the second strongest performing of all developing countries against the dollar since Friday, gaining 1.81 per cent.