South Africa: Growth Forecast Lower
27 July 2010
Pretoria — The Bureau for Economic Research (BER) estimates South Africa’s Gross Domestic Product (GDP) will be adjusted downwards to 3.1 percent for 2010.
“For 2010 as a whole we have made a downward adjustment (from 3.4 percent in April to 3.1 percent) in the GDP growth forecast,” said the Bureau for Economic Research (BER) in its economic prospects statement on Tuesday.
According to the BER, two thirds of the 2010 growth is forecast to be the result of an end to the huge inventory decline that was witnessed in 2009.
“One of the implications of this growth mix is that the underlying conditions in the economy may remain weaker than what would normally be characteristic of a 3.1% real GDP growth environment,” said BER senior economist Hugo Pienaar. As a result, no job growth is [continue reading]