Homepage / Currency / Why South Africa’s economic outlook is looking bleak
8 Brands & Generics Human Growth Hormone HGH Injections Find local black hookups near you what’s ssbbw chat? About Japanese Dating society and also the west Guy who would like to Date a Japanese woman – MeetKing Blog 9 Guidelines On How To Hook-up On College Gameday (At Any College) Leading Live Casino Games Provider Leading Live Casino Games Provider Pin Up Slotlarýyla Eðlence ve Para Kazanma Bir Arada The core concept of digital entertainment hub AbeBet: signature points and groups Live-сессии с дилерами в онлайн-казино azino777 How Online Gambling Enterprises Operate Around the World Meet compatible single mothers and exchange ideas official site Play airplane online Ritalin: Jak legálně zakoupit bez receptu v České republice Connect with suitable asian singles in your area How-to Date A Pornstar While Making It Operate (The Ultimate Guide) Buy Bitcoin with Credit Card or Debit Card Instantly Buy Bitcoin How to buy BTC Finding trans girls near you – the simplest way to hookup Connect with like-minded singles on a mennonite dating website Assortment of in-demand games respected casino platform abe bet casino in cyberspace Connect with girls from round the world Alexander Gambling establishment: Dйcouvrez une Nouvelle Expйrience de Jeu en Ligne Le meilleur Extra casino en ligne pour jouer BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING The simplest way to get a local hookup what’s millionairess dating? Get prepared to connect to latinas whom share your interests Estonian Chat place – an ideal Place for Dating Estonian Singles Join our bisexual chat room now and commence connecting Discover the advantages of dating a mature mom latina How to discover the best bbw hookup app for you Title: Juega en 1Win Casino Argentina Bonos y Apuestas 5 Best BBW Lesbian Dating Apps/Sites In 2022 Online Gambling Review submissions dia govt.nz Разыгрываемые джекпоты в виртуальном клубе Вулкан казино 30 Of The Greatest Adult Sex Toys For Males | Men’s Room Health Mag Australian Continent Cazino 7 slots cyberspace: conditions and rules for betting with real cash 1Win: ¡el mejor lugar de casino y apuestas deportivas de Argentina! Aufcasino ????Mature Dating Evaluation 2023 – Whatever You Need To Know About It! ???? Take the first step towards fulfilling your ebony lesbian bbw match now Ideas on how to come-out: Tips to keep in mind > Taimi Meet your perfect match – granny hookup site Türkiye-Çin İşbirliği Derinleşiyor GuGi Mobil Yükleme Seçenekleri Hizmet İçi Eğitim Sona Erdi Dooball tv ดูบอล ออนไลน์ สด 66 ลิงค์ บนมือถือ ฟรี ภาพชัด HD ทั่วโลก Find your rich cougar date in the most useful dating site Find your dream fat girl hookup today Slot Thailand Daftar Link Situs Slot Gacor Maxwin x500 Terbaru Hari Ini Resmi Auto Jackpot! Konsultasi ke Dewan Pers, Komisi I DPRD Jambi Pertanyakan Indeks Kemerdekaan Pers Jambi yang Turun Akses News Cerita Korban Judol di Balikpapan yang Nekat Gelapkan Uang How to get local horney women in your area 3 Cara Hapus Akun Judi Online Slot : Okezone Economy SITUS TOTO > Sering Kalah Main Di Situs Slot Gacor Terbaru Mudah Maxwin Situs Slot Gacor Maxwin Main Tanpa Pola Modal 5ribu Terbaik Melhores cassinos online de Novembro 2024: Confira o top 10! Enjoy amazing gay sex experiences using the top sites on the web Make the absolute most of one’s big butt dating adventure here 9 circumstances this means when a person avoids eye contact with a lady – Hack Spirit Top Greatest M4M Personals Sites in 2022 ◉ BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING Лотерейные розыгрыши в kasino on-line Лев казино: условия осуществления и доступа Main features of playing in machines at online-club Karavan Connect with like-minded females making new friends Comment accéder à des jeux gratuits avec Space fortuna bonus ? PUCUK4D⭐ Bandar Toto Togel Online & Situs Toto 4d Terpercaya #1 Betting site Karavan bet Gates of Olympus internet-based: benefits of playing for real money Discover an environment of opportunities with lesbian and bisexual dating Aprovecha Los Códigos Promocionales De Bbrbet ¡más Bonos, Más Juegos 1xbet Giriş Yeni Adresi 2024 ⭐️ 1xbahis Güncel Adres » 1x Guess Mobil Casino How to get started with sext room BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING La Application De Bbrbet: Juegos Y Apuestas Approach Alcance De Tu Man Start your love story now – join our talk to gay strangers source today BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING Find regional bbw hookups inside area BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING BLACK SEO LINKS, BACKLINKS, SOFTWARE FOR MASS BACKLINKING Mobile Casinos: The Ultimate Guide When to Take Cranberry Tablets: Morning or Evening? Online Slots Best Payout: A Comprehensive Overview for Gamblers No Download Casinos: The Ultimate Guide to Instant Play Video Gaming The Carnivore Diet Plan: A Comprehensive Guide to a Questionable Eating Plan What is CBD Lotion Used For? What are Free Penny Slot Machines? What Do Water Tablets Do: A Comprehensive Overview Online Casinos PayPal: Just How to Wager Safely and Firmly

Currency, United States Finance

Why South Africa’s economic outlook is looking bleak

With the mounting problems facing South Africa, CNBC looks at the investment case for the country and whether its economic outlook is starting to look bleak.

Last Thursday, the South African Reserve Bank cut its benchmark interest rate for the first time in five years, dropping the rate by 25 basis points to 6.75 percent in an effort to avoid a recession.

“Domestic growth prospects have deteriorated further following the surprise GDP contraction in the first quarter of 2017. The economy has now recorded two successive quarters of negative growth, and although a near-term improvement is expected, the outlook remains challenging,” said the central bank’s Governor Lesetja Kganyago, according to a Reuters report.

The central bank revised down its growth forecasts for country; it estimates 2017 full year GDP growth of 0.5 percent, down from 1 percent. Kganyago warned that underlying demand in South Africa’s economy is extremely weak, adding that it is unclear whether any drivers of economic growth will emerge in the absence of structural initiatives that would reduce uncertainty and boost confidence.

“Policy uncertainty, a recent example being in the mining sector, is likely to constrain investment,” he added.

Meanwhile, the OECD reported on Monday that South African needs structural reforms to revive economic growth.

“Building stronger and more inclusive growth will require bold action from policymakers,” OECD Secretary-General Angel Gurría said in a press release.

“Ensuring a better future for all South Africans will require increased access to higher education, a stronger and fairer labour market, deeper participation in regional markets and a regulatory framework that fosters entrepreneurship and allows small businesses to thrive

The credit agency Fitch Ratings also weighed in on South Africa last Wednesday, criticizing the new economic growth plan unveiled by the government’s minister of finance, Malusi Gigaba, earlier in July.

“The South African government’s newly announced Inclusive Growth Action Plan is unlikely to significantly boost economic growth prospects,” the agency said in a press release.

“Most initiatives focus on state-owned enterprises governance, containing pressure on public finances, and boosting black economic empowerment and addressing inequality, which would only have an indirect impact on growth prospects.”

Fitch Ratings reduced its outlook for South Africa’s 2017 GDP growth to 0.6 percent from 1.2 percent in June. That was after cutting South Africa’s credit rating to junk in April following President Jacob Zuma’s surprise decision to fire the respected finance minister Pravin Gordhan.

However, some investors are still choosing to invest in the region. Renaissance Capital’s weekly report in equity fund flows found the South African MSCI index to be the top performer among global emerging markets. Assets under management grew by 5.9 percent in the week to July 19, compared to 2.9 percent from emerging markets as a whole. In fact, South African shares are doing very well; the iShares MSCI South Africa exchange traded fund has returned 9.74 percent over 1 year and closed on Friday with a net asset value of $60.70, not far off its 52-week high of $62.09. The broad recovery in commodities this year has boosted South African miners.

Despite this performance, risk analysis company Verisk Maplecroft warns the region is becoming less attractive as an investment destination and says the economic outlook for the next ten years is looking bleak, according to their core drivers report published earlier this month.

“Economic growth will remain sluggish, causing unemployment to rise and compounding problems associated with inequality. Meanwhile, pressure from unions to protect jobs will fuel strikes, reducing the productivity of key sectors,” the Verisk Maplecroft report said.

The key risk for investors, according to the report, is political instability. The ruling African National Congress will appoint its next leader in December this year. The choice of leader, who will likely take over as president once Zuma steps down, will determine whether the ANC continues to move towards the left or adopt a pro-business stance.

“Zuma’s administration has progressively reduced investors’ confidence in the government’s ability to manage the country’s structural problems and investment’s contribution to GDP will fall.”

Verisk Maplecroft warns the economy will continue to underperform and be stuck with a bad credit rating until a pro-business administration takes over.

Follow CNBC International on Twitter and Facebook.

Source: cnbc
Why South Africa’s economic outlook is looking bleak

Comments are closed.