Today’s business update — and why the SA economy didn’t shrink by 51%

1. South Africa’s economy shrank by more than 16% from the first quarter to the second quarter – and was 17% smaller than in the second quarter of 2019, worse than economists feared. The rand slumped in reaction, and was last trading at R16.93/$. The Reserve Bank may cut rates even further next week in reaction to the grim data.

dollaro-rand-sudafricano - MeritKapital

2. Load shedding was suspended yesterday, but is still planned from 16:00 this afternoon.

3. Growthpoint, South Africa’s biggest listed property group, saw a 10% jump in vacancies in the year to end-June.

4. Momentum Metropolitan has suffered a 58% fall in its headline profit in the year to end-June, amid more policy claims and lower investment returns.

5. The minibus taxi finance company Transaction Capital has bought a 49.9% stake in WeBuyCars, the used-car trader. Transaction will pay a maximum of R1.84 billion for its new share.

Business Insider SA

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