Ina Opperman
Business Journalist
2 minute read
9 Dec 2020
12:32 pm

Third-quarter GDP growth only the start of a long road to recovery – economists

Ina Opperman

While people could be somewhat optimistic about South Africa’s gross domestic product (GDP) growing by an estimated 13.5% in the third quarter, it is important to remember that the surge in economic activity comes off the very low base recorded in the second quarter.

Professor Jannie Rossouw, interim head of the Wits Business School, says we must remember that GDP fell by 51% in the second quarter, which means the economy must grow again by the same amount to cancel out this fall. “The third quarter only covered two thirds.” However, we could be a bit optimistic, he said. “It looks as if the economy is starting to recover. Almost all the sectors showed an increase and I am very happy to see signs of growth, but we will only know for sure after the fourth quarter.” Elna Moolman, head of SA macroeconomic, fixed...