The second quarter was also a heightened period during which the world experienced slow economic growth. It said SA, like many countries around the world, experienced increases in the prices of food, housing and fuel, which were events beyond its control.
Minister in the presidency Mondli Gungubele said the government was concerned about the latest GDP figures and admitted SA had experienced slow growth and rising unemployment.
“Nonetheless, in the midst of these difficulties, our public and economy has shown to be strong. There are signs that the economy is on the road to recuperate. The latest employment figures, specifically, bear testament that our plans are beginning to bear fruit,” Gungubele said.
Gungubele said according to the latest results published by Stats SA, 648,000 jobs were gained between the first quarter of 2022 and the second quarter of 2022.
“We also welcome the decrease of the fuel prices as announced by the department of mineral resources & energy and energy. This was because of lower oil prices and a stronger rand against the dollar. The news will make it slightly easier for consumers, on the cost of logistics in the country, and provides an opportunity to boost local tourism,” Gungubele said.
TimesLIVE
Economy on the mend, government says, as GDP declines 0.7% in Q2
Image: Sandile Ndlovu
The government says despite SA’s GDP falling by 0.7% in the second quarter of 2022, there are signs that the economy is on the road to recovery.
It made the comment after figures released by Stats SA showed that the decrease in the second quarter followed two consecutive quarters of growth.
“It is important to put the conditions of the second quarter into perspective, in that it was a period that was impacted by a number of factors that contributed to the contraction of the GDP.
“In SA, the second quarter was affected by load-shedding, the ravaging floods in KwaZulu-Natal and Eastern Cape, higher cost of living and inflation,” the government said in a statement. It added that, as indicated by Stats SA, manufacturing is the largest industry in KwaZulu-Natal and the damage caused to factories and plants, and disruptions to logistics and supply chains, decreased national manufacturing output by 5.9%.
SA economy not growing enough to boost employment: analyst
The second quarter was also a heightened period during which the world experienced slow economic growth. It said SA, like many countries around the world, experienced increases in the prices of food, housing and fuel, which were events beyond its control.
Minister in the presidency Mondli Gungubele said the government was concerned about the latest GDP figures and admitted SA had experienced slow growth and rising unemployment.
“Nonetheless, in the midst of these difficulties, our public and economy has shown to be strong. There are signs that the economy is on the road to recuperate. The latest employment figures, specifically, bear testament that our plans are beginning to bear fruit,” Gungubele said.
Gungubele said according to the latest results published by Stats SA, 648,000 jobs were gained between the first quarter of 2022 and the second quarter of 2022.
“We also welcome the decrease of the fuel prices as announced by the department of mineral resources & energy and energy. This was because of lower oil prices and a stronger rand against the dollar. The news will make it slightly easier for consumers, on the cost of logistics in the country, and provides an opportunity to boost local tourism,” Gungubele said.
TimesLIVE
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending
Related articles
Latest Videos