Economist: Load shedding risk further decimation of SA’s GDP in 3rd quarter
Business Unity South Africa (Busa) and an economist have raised concerns that the ongoing power outages could lead to a further decrease in the country’s gross domestic product (GDP) in the third quarter of the year.
On Tuesday, Statistics South Africa (StatsSA) announced that the South African economy shrunk by 0.7% in the second quarter of 2022.
It cited load shedding, the floods in KwaZulu-Natal as well and the outbreak of foot and mouth disease among the causes.
Stats SA said at least seven key sectors of the country’s economy shrunk in the second quarter of this year.
Significant negative contributors to growth were recorded in manufacturing, agriculture, trade, and mining.
Economist Bonke Dumisa said continued power cuts were likely to worsen the situation: “The danger with having another negative economic growth is that if two successive quarters are negative, that would be described as a technical recession and South Africa can least afford that.”
Busa’s Cas Coovadia said the latest data highlighted the need for the government to fulfill its promise of resolving the country’s energy crisis.
-EWN
In other news – Kabza De Small allegedly gets married to his long-time girlfriend, Kamo
Self-proclaimed amapiono king Kabza De Small has allegedly put a ring on it. This after his long-time girlfriend, Kamogelo Gello Moropa, shared pictures wearing a diamond ring on her wedding finger.
Kamogelo posted one of her pictures on her social media page and captioned it “Mrs”. The couple got hitched in a private ceremony in September last year where Kabza De Small paid lobola. Learn More
