Business activity in South Africa falls to almost two-year low - TechCentral

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Business activity in South Africa falls to almost two-year low

economic activity contracted for a third consecutive month in May as rolling power cuts and inflationary pressures continued to weigh on business, a survey showed on Monday.

“After a promising, albeit slight, uplift in new business during April, customer demand was back in negative territory, adding to a steep and accelerated drop in output,” said David Owen, economist at S&P Global Market Intelligence.He added that firms continued to face severe inflation, driven by weakness in the rand, high electricity costs and elevated wage pressures.

 

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