South Africa's business confidence index falls again in June

11 July 2018 | Economics

South Africa’s business confidence fell for a fifth month in a row in June, with activity mainly hit by a sharp decline in the currency as well as slower retail sales.

The South African Chamber of Commerce and Industry’s (SACCI) monthly business confidence index (BCI) fell to 93.7 in June from 94.0 in May, the business body said in a statement.

It was the lowest reading since September 2017, and short of last year’s average of 94.4.

Business confidence raced to a 2-1/2 year high in January after Cyril Ramaphosa’s election as leader of the ruling African National Congress in December, with the private sector anticipating business-friendly policy changes following years of uncertainty under former president Jacob Zuma.

The enthusiasm has since stalled following a raft of lukewarm economic data figures, most notably a wider-than-expected contraction in gross domestic product in the first quarter.

“Uncertainties surrounding economic policy direction and position should be clarified so that investor and business confidence can reaffirm itself,” SACCI said in a statement.

A sharp slide in the rand, triggered by rising lending rates in the United States and fears that a trade war between China and the United States would slow global growth, has also dented confidence.

The rand has fallen about 15% against the dollar since the beginning of April.

SACCI said seven of the thirteen sub-indices reflected negativity in the business environment, with the trade-weighted exchange rate recording the most notable decline.

“The risk of a global trade war has alerted certain industries in South Africa, and they have already indicated it would affect industries and employment negatively, while knock-on effects have been cited by complementary industries and their export performances,” SACCI said.

-Nampa/Reuters

Similar News

 

What is land reform all about, or what could...

1 day - 21 September 2018 | Economics

Over the past few months, these essays in Market Watch have attempted to shed light on features of Namibian livelihoods and land that are not...

Africa in brief

1 day - 21 September 2018 | Economics

South Africa's CPI slows to 4.9%South Africa's headline consumer inflation slowed unexpectedly in August, data showed onWednesday, with analysts saying the print could make the...

Recession clings, agriculture in trouble

2 days ago - 20 September 2018 | Economics

Namibia’s economy grew by -0.2% in the second quarter of this year, according to GDP data just released by the Namibia Statistics Agency (NSA).In the...

Africa in brief

2 days ago - 20 September 2018 | Economics

Donors halt aid to Zambian social-welfare schemeBritain and Finland have frozen funding to Zambia on suspicion that US$4 million they channelled into a social welfare...

Africa in brief

3 days ago - 19 September 2018 | Economics

Angolan Nov oil exports may fallAngola will export less crude oil in November than in October, based on a preliminary loading schedule on Monday that...

Slight uptick in new vehicle sales

4 days ago - 18 September 2018 | Economics

A total of 1 061 new vehicles were sold in Namibia in August, 1.7% more than August 2017, according to the latest stats released by...

Boom in copper exports

4 days ago - 18 September 2018 | Economics

Jo-Maré Duddy – An annual surge in the export of copper cathodes, as well as a once-off export of vessels boosted Namibia’s total exports in...

RFIN 2018 conference to focus on legislative changes...

4 days ago - 18 September 2018 | Economics

Retirement funds themselves contribute to Namibian revenue and make the collection of income tax more efficient- Gerson Kamatuka, acting chairperson, RFINThe conference will explore how...

Africa in brief

4 days ago - 18 September 2018 | Economics

Nigerian finance minister resignsNigerian President Muhammadu Buhari on Friday accepted the resignation of finance minister Kemi Adeosun, who said she stepped down over allegations of...

Boom in exports to China

5 days ago - 17 September 2018 | Economics

Namibia exported goods, mainly copper cathodes, worth nearly N$3.05 billion to China in the second quarter of this year. This is nearly N$2.68 billion or...

Latest News

Baby now four weeks on...

1 day - 21 September 2018 | Social Issues

Helao Nafidi mayor Eliaser Nghipangelwa has called on a homeless family, which includes a one-year-old baby girl, to visit him so he can “provide them...

Nationalise half of white farms

1 day - 21 September 2018 | Agriculture

Constitutional expert Nico Horn believes that half the land currently owned by white farmers can be nationalised in some way, with just compensation being paid.“Now...

Looking at the positive side

1 day - 21 September 2018 | People

Octavia Tsibes To be profitable in a highly competitive market and with the recession that is already in the eighth quarter, must not be...

Information is like money

1 day - 21 September 2018 | Columns

Llewellyn le HanéIn the modern world, the pursuit of money has become an obsessive activity for many. There’s nothing wrong with that; as long as...

Jobs: What is the strategy?

1 day - 21 September 2018 | Columns

We have lambasted government on numerous occasions for not actively coming up with tangible action plans insofar as fixing our ailing economy is concerned. For...

Kagola believes each achievement is...

1 day - 21 September 2018 | People

Justicia Shipena Leena Ndahafa Kagola is the learning and development practitioner responsible for marine training at Namport. Her role includes analysing learning and development needs,...

What is land reform all...

1 day - 21 September 2018 | Economics

Over the past few months, these essays in Market Watch have attempted to shed light on features of Namibian livelihoods and land that are not...

Sowing into the young generation

1 day - 21 September 2018 | People

Octavia Tsibes Museta hails from the Zambezi Region, where she completed her secondary schooling. She completed her tertiary education at Unam, where she...

161 govt vehicles unaccounted for

1 day - 21 September 2018 | Government

The department of transport within the ministry of works cannot account for 161 vehicles with a value of N$59 million.The anomaly was uncovered when the...

Load More