SA economy picking up speed

THE Reserve Bank painted an upbeat picture of SA’s economy yesterday, with figures showing spending by households and the government accelerated strongly in the fourth quarter of last year, with investment also picking up.

The economy gathered momentum in the fourth quarter, growing by 3,2% after expanding by 1,7% in the previous quarter, when there was a wave of industrial action.

“While part of this improvement reflects a recovery from activity levels which had been dampened by industrial action and other short-term forces, part of it also seems to indicate a more firmly grounded and sustainable performance,” the Bank’s chief economist Monde Mnyande said at a presentation of its March quarterly bulletin.

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