South Africa Strikes Negatively Affect Business Confidence Index

South Africa Strikes Negatively Affect Business Confidence Index

From Bloomberg

South African business confidence declined as accelerating inflation (SACPIYOY), a weakening currency and labor strikes hurt sentiment in Africa’s largest economy, two separate reports show.

The South African Chamber of Commerce and Industry’s business confidence index remained close to the lowest level in a decade, dropping to 90.5 in August from 90.7 a month earlier, the business group said in an e-mailed statement today. The RMB/BER business confidence index fell 6 points to 42 in the third quarter, which indicates that almost three fifths of respondents aren’t satisfied with prevailing business conditions, RMB said in an e-mailed statement.

“The continuing lack of economic momentum, on-going labor disruptions of the economy and the slowdown in growth in the Brics countries are important factors affecting business confidence,” the Johannesburg-based chamber said. “It is important that supportive conditions for economic growth and disruptions by militant labor conduct are addressed urgently.”

Read more at bloomberg.com