There is one in three chance of South Africa’s economy skidding into recession this year, a Reuters poll of economists has indicated.
This is against the backdrop of the country’s economy struggling to gain traction in the second quarter after shrinking at the start of 2018,
Around 30 economists polled expect Africa’s second-largest economy to grow by 1.4 percent this year and by 1.9 percent next, slightly lower than the median view last month.
The South African Reserve Bank was even more pessimistic at its last monetary policy meeting, in July. It forecast that the economy would expand by just 1.2 percent in 2018, sharply down from a 1.7 percent projection in May.
For the second quarter, the consensus view sees just 0.6 percent growth on a quarterly basis. That would be a very feeble recovery from the 2.2 percent contraction recorded for January-March.
“The risk is…
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