BUSINESS NEWS - While some economists say the poor 2016 Gross Domestic Product (GDP) figures are the result of government’s failure to implement the very basics to grow the economy, slight growth is expected this year.
The GDP estimates released by Statistic South Africa in Pretoria on Tuesday show that the economy grew by a meagre 0.3% in 2016.
The mining and agriculture sectors of the economy contributed significantly to the negative growth trend for the period.
Economist Iraj Abedian described South Africa’s growth as pedestrian.
“This is way below our potential and even lower than what we need to maintain a standard of living. This is a very disappointing result of years of not paying attention to the fundamentals of growing the economy.”
Argon Asset Management’s Thabi Leoka says the ratings agencies are watching closely.
