The economy in South Africa declined by 1.4% in quarter 4 of 2019. These are the statistics released by Stats SA.
Between 2018 and 2019 the South African economy only grew by 1%.
Several South African companies – including Shoprite, Woolworths, Massmart, and Bidcorp – have warned in recent weeks that the virus is costing them and disrupting their business.
Independent real estate agent Karin Richards says on Twitter the most worrying figure is the 10% fall in fixed capital formation, thus investments in assets such as buildings, machinery and cars.
Gross Domestic Product (GDP) declined for two consecutive quarters, up 0.8% in the third quarter of 2019 and 1.4% in the fourth quarter.
For the full 2019 economic growth was only 0.2%, the lowest in a decade.
Moody’s Investors Service will decide on the country’s credit rating on March 27.