South Africa Business Sentiment Improves Slightly in May: SACCI

The South African Chamber of Commerce and Industry (SACCI) business confidence index rose to 124.1 in May from a seven-month low of 123.6 in the prior month. The improvement was attributed to higher new vehicle sales and stronger merchandise exports, with imports contributing to a lesser extent, as companies tried to adjust to the oil price shock from the Middle East conflict. Conversely, the chamber noted that a decline in overseas tourist arrivals had a substantial negative impact on the index, while rising inflation remained a concern for businesses.

The South African Chamber of Commerce and Industry (SACCI) business confidence index fell to 131.3 in March 2026, the lowest since last October, from 134.6 in the prior month, largely reflecting external pressures linked to the ongoing Middle East conflict. SACCI noted businesses were particularly concerned about weaker foreign merchandise trade volumes and higher energy costs. A weaker and more volatile rand, lower JSE share prices, falling precious metal prices and reduced foreign trade volumes weighed on sentiment, partly offset by lower inflation, a steady improvement in new vehicle sales and increased tourist arrivals over the festive season. Meanwhile, the Chamber said the first quarter average for 2026 reached 132.4, compared to 123.1 in the same period last year, signaling an overall improvement in business sentiment over the longer term.

The South African Chamber of Commerce and Industry (SACCI) business confidence index edged down to 131.4 in January 2026 from 133.2 in the prior month, which was the highest since June 2011. Nevertheless, the business chamber emphasized that sentiment stayed elevated after a notable improvement in 2025, with the index hitting its highest level since 2013. The monthly decline was attributed to weakness in manufacturing, merchandise exports and vehicle sales.