“Latest GDP figures set a positive tone for SA’s economy”

Chief Economist at Investec Annabel Bishop says the latest gross domestic product (GDP) numbers sets a positive tone for the overall economic performance of the country this year.

Her comments come after data released by Statistics South Africa shows that the country’s economy grew by 0.4% in the second quarter from a revised 0% in the first quarter of 2024.

Seven of 10 industries recorded positive growth, while the transport, storage and communication industries contributed negatively to economic growth.

Bishop elaborates, “The transport industry was the main negative contributor decreasing by 2.2% contributing (a) 0.2% downward pull on the overall 0.4% outcome. Really the finance, trade, and manufacturing sectors were the strong performers. So, all in all, the data would not give the Reserve Bank any undue cause to reconsider interest rate cuts in September and the upcoming good CPI inflation South Africa seems to be on a firm footing for a better year.”

VIDEO | South African economy grows by 0.4% in second quarter: