NATIONAL NEWS - Stats SA has announced that South Africa’s gross domestic product (GDP) growth rate is at 1% on a year-on-year basis.
However, the 0.7% quarter-on-quarter decrease means the country has entered a technical recession.
South Africa last entered a technical recession in 2009.
The largest negative contributor to growth in GDP in the first quarter was the trade, catering and accommodation industry, which decreased by 5.9% and contributed -0.8 of a percentage point to GDP growth.
The manufacturing industry contracted by 3.7% and contributed -0.5 of a percentage point to GDP growth. Seven out of ten divisions reported negative growth rates in the first quarter. The largest contributor to the decrease was the petroleum, chemical products, rubber and plastic products division.
