South Africa’s growth accelerates in third quarter
South Africa's economy expanded 1.4 percent in the third quarter, the national data agency said Tuesday, as growth accelerated from three months earlier.
Growth was improved from the 0.5 percent posted for the three months ending June, but fell short of analysts’ expectations.
Manufacturing slumped 3.4 percent while the vital mining sector only managed to expand 1.6 percent.
Describing the data as disappointing, economist Razia Khan said: “Hopes had been resting on these sectors to create some sort of escape velocity for the economy.”
Last week, Reserve Bank governor Lesetja Kganyago said Africa’s second biggest economy would grow by just 1.4 percent this year, as the outlook for 2015 and 2016 were slashed.
The revised 2015 forecast was for 2.5 percent growth and 2.9 percent in 2016.
South Africa’s economy has been hard hit by a mining strike that halted platinum production for five months.
It had shrank in the first quarter of the year, before stumbling back to growth as the strike ended in June.