Busi­ness con­fi­dence is flat

The Witness - - YOURMONEY -

SA’S busi­ness con­fi­dence in­dex was flat for Novem­ber, the South African Cham­ber of Com­merce and In­dus­try (Sacci) said yes­ter­day.

The BCI in­dex came in at 96,1 in­dex points for Novem­ber, an in­crease of 0,3 in­dex points month-on-month.

Lo­cal busi­ness con­fi­dence has been in­creas­ing since Septem­ber, after fall­ing to a low of

90,5 points in Au­gust.

“The up­ward mo­men­tum of the BCI since Septem­ber 2018 ap­pears to have flattened and it is the sec­ond time this year that the busi­ness cli­mate he­si­tated after en­cour­ag­ing steps to de­velop and en­hance busi­ness con­fi­dence,” said Sacci.

Novem­ber’s BCI print was sup­ported by im­prove­ments in mer­chan­dise ex­port and im­port vol­umes, the real value of build­ing plans passed and in­creased man­u­fac­tur­ing out­put.

A year-on-year de­cline in the JSE’s All-Share price in­dex, higher in­fla­tion, lower pre­cious me­tal prices and stag­nant real re­tail sales weighed the most neg­a­tively on the Novem­ber fig­ures, said Sacci. The busi­ness cham­ber said load shedding and the dire state of debt-laden Eskom “presents a key risk to real eco­nomic ac­tiv­ity”.

“In Novem­ber ... Eskom, as a case in point, again had to re­vert to load shedding, which presents a key risk to real eco­nomic ac­tiv­ity. As a cash­strapped state-owned en­ter­prise, debt-rid­den Eskom as a crit­i­cal power sup­plier is strug­gling to meet low de­mand for the econ­omy in re­ces­sion.” — Fin24.

“As a cash-strapped state-owned en­ter­prise, debt-rid­den Eskom as a crit­i­cal power sup­plier is strug­gling to meet low de­mand for the econ­omy in re­ces­sion.”

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.