South Africa Economic Outlook
December 16, 2021The economy fell back into contraction in quarter-on-quarter terms in the third quarter, amid social unrest and violent protests that broke out in mid-July. Consumer spending declined in the quarter, as a consequence of the unemployment rate climbing to a new record high. Moreover, the external sector contributed negatively to the overall reading. Turning to the final quarter of the year, activity should have picked up from Q3’s setback: The PMI averaged higher in October–November than in the prior quarter and business sentiment improved in the same two months, boding well for investment ahead. Additionally, both goods exports and imports continued to expand robustly in October. Meanwhile, the country’s discovery of the new Omicron variant of Covid-19 in late November will weigh on the tourism industry ahead, although it has helped encourage citizens to get vaccinated.
South Africa Economic GrowthEconomic growth will moderate in 2022 following this year’s projected strong bounce-back. That said, this will be partly due to a less favorable base of comparison, and healthier private consumption and export growth should support activity. The high unemployment rate and increasing public debt stocks pose key downside risks to the outlook. FocusEconomics panelists see the economy expanding 2.1% in 2022, which is down 0.2 percentage points from last month’s projection, and 2.0% in 2023.
South Africa Economy Data
5 years of South Africa economic forecasts for more than 30 economic indicators.
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South Africa Facts
|Bond Yield||8.26||0.29 %||Dec 31|
|Exchange Rate||13.98||-0.21 %||Dec 31|
|Stock Market||0.1||-0.44 %||Jan 06|
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South Africa Economic News
January 19, 2022
Consumer prices rose 0.57% over the previous month in December, picking up from the 0.49% increase seen in November.
January 11, 2022
Manufacturing output fell 0.7% in year-on-year terms in November, which was markedly softer than October's 8.5% decrease.
January 5, 2022
The IHS Markit Purchasing Managers’ Index (PMI) dropped to a five-month low of 48.4 in December from November’s six-month high of 51.7.
December 15, 2021
Consumer prices rose 0.49% in November over the previous month, accelerating from October's 0.24% increase.
December 9, 2021
Manufacturing output plunged 8.9% year-on-year in October (September: +0.7% yoy).