Open letter to South Africa’s students‚ universities and government‚ represented by Minister in the .
THE improvement in July's manufacturing and mining production figures places the SA economy on track for a rebound in the third quarter's gross domestic product growth.
Standard Bank economist Danelee van Dyk said an improvement of between two and three percent was expected in the third quarter gross domestic product.
Year-on-year factory output fell for a 10th consecutive month in July, sliding 13,7percent, data showed yesterday, but production was up on the previous month, pointing to signs of a recovery.
Stats SA said the decline in manufacturing output slowed from a 17,2percent fall in June, and expanded by 3,3percent on a month-on-month basis.
Stats SA also said yesterday gold output fell 7,6percent in volume terms and total mineral production rose 4,8percent in July compared with the same month in the previous year. Production of non-gold minerals rose 6,7percent.
South Africa's economy contracted by 6,4percent in the first quarter and three percent in the second quarter, dragging the country into its first recession in 11 years. Stats SA will release third quarter GDP data on November 24.
The slower decline of manufacturing production was thanks to stronger vehicle and food and beverages sales.