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Business activity in South Africa takes a hit as trucks come under fire

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Attacks on trucks in June likely had a significant knock-on effect on related business activity, the latest PMI shows.

The latest Absa purchasing managers index showed a flat start to the third quarter of the year – but the devil in the details points to significant pressures for businesses underneath the surface.

In a particularly stark move, the seasonally adjusted business activity index tanked by almost 11 points, the BER noted. “The deliveries index is inverted, implying that longer supplier delivery times boost the headline PMI,” the BER said. “The longer delivery times in July may well reflect delays associated with the torching of multiple trucks on the N3 transport corridor during the month.”

 

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