SA emerges from recession but they’re still down, on the farm
SA emerged from its first recession in almost a decade in the third quarter as recoveries in manufacturing and agriculture contributed to an increase in economic growth. GDP rose by an annualised 2.2% in the three months through September compared with a revised 0.4% contraction in the prior quarter, Stats SA said.
THE Absa PMI, which gauges activity in the manufacturing sector, rose to 49.5 from 42.4 in October — the highest level the index has reached since July 2018. The survey tends to be a good predictor of the manufacturing production and sales figures Stats SA provides about two months later.
A SUBSTANTIAL drop in the price of fuel has brought relief to consumers gearing up for the festive season. Gauteng motorists are paying R1.84 less for 93 and 95 octane petrol per litre. The price of diesel has dropped by R1.45 and R1.47 respectively and paraffin by R1.78.
CONFIDENCE in the agricultural sector has fallen to the lowest level in nine years on the back of uncertainty about land reform. Following a decline from 54 to 48 points in the third quarter of 2018, the Agbiz/IDC agribusiness confidence index dropped to 42 in the fourth quarter.
A PROBE into accounting irregularities at Steinhoff International and the release of the retailer’s restated results have been delayed, it said. The company said it had to abandon plans to publish both its 2017 and 2018 financial statements by the end of January 2019, citing delays in a forensic investigation being conducted by auditors PWC.
BUSINESS confidence remained flat in November, with the South African Chamber of Commerce and Industry’s business confidence index increasing by 0.3 of an index point to 96.1. This is one point higher than in November last year.