According to the latest survey from the Bureau for Economic Research (BER), the last quarter of 2016 will show only subdued growth.
In addition, the RMB/BER Business Confidence Index dropped by four points in Q4, down to 38, after improving to 42 index points in Q3. What this means is that people are generally unsatisfied with SA's present business conditions. According to the index, confidence dropped in the motor and retail trade sectors, declining only marginally for wholesalers.
The BER said:
"Growth is already projected to slow markedly in 2016 Q3 after a strong showing in Q2 and the latest surveys do not suggest that a significant acceleration is on the cards for the final quarter of 2016. The BER expects GDP growth to measure around 0.5% (quarter-on-quarter and annualised) in 2016 Q3. The latest survey results point to a 'muddle-through' scenario where growth continued to move broadly sideways at a low rate in 2016 Q4."
In October, SA registered a trade deficit of R4.4 billion compared to a surplus of R6.95 billion in September.
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