South Africa GDP Growth Beats Forecasts


The South African economy expanded an annualized 4.1 percent on quarter in the last three months of 2014, up from a revised 2.1 percent increase in the previous quarter and beating market expectations. While the manufacturing sector grew for the first time in three quarters, mining posted the highest gain in a year.

Manufacturing increased 9.5 percent, after shrinking 1 percent in the previous period, boosted by production of petroleum, chemical products, rubber and plastic, basic iron and steel, non-ferrous metal products, metal products and machinery division, motor vehicles, parts and accessories and other transport equipment.

The mining and quarrying sector surged 15.2 percent, up from a 3.9 percent increase in the previous quarter and driven by other metal ores including platinum and other mining and quarrying including diamonds.

The growth in finance, real estate and business services (3.5 percent from 2.4 percent in the previous quarter) was due to increases in activities in the financial markets and banking.

In contrast, the agriculture, forestry and fishing industry increased at a slower 7.5 percent (9.5 percent in the previous quarter) while wholesale, retail, catering and accommodation industry shrank 0.3 percent due to decreases in turnover in most trade divisions.

Year-on-year, the economy expanded 1.3 percent in the last three months of 2014, slowing from a revised 1.6 percent increase in the previous period.

Considering full 2014, the GDP expanded 1.5 percent, the lowest figure since a 1.5 percent contraction in 2009.

South Africa GDP Growth Beats Forecasts


Statistics South Africa | Joana Taborda | joana.taborda@tradingeconomics.com
2/24/2015 9:54:22 AM