JOHANNESBURG– Finance Minister Nhlanhla Nene on Wednesday gave an assurance that the measures which are in place will make it possible for the South African economy to bounce back after statistics announced this week showed that the country has slipped into recession.
Statistics South Africa said Tuesday that the economy contracted by 0.7 per cent in the second quarter of this year, following a 2.2 decline in the first quarter of 2018, fulfilling the widely recognized indicator of recession of two (or more) consecutive quarters of negative growth..
Analysts have advised South Africans to cut down on spending in order to survive the economic recession.
This is the second recession in over a year. A technical recession is characterised by two consecutive quarters of negative growth.
The largest contributors to the slowown in growth came from the agriculture, transport and communication sectors.
Source: NAM NEWS NETWORK