In tabling the Medium Term Budget Policy Statement (MTBPS), Finance Minister Pravin Gordhan revised South Africa’s economy growth for 2016 down to 0.5%, citing various reasons for his prediction. However, he said he expected it to rise to 1.7% next year.Brand South Africa reporterThe country’s economy had been revised to grow at a rate of 0.5% in 2016, said Finance Minister Pravin Gordhan in his Medium Term Budget Policy Statement (MTBPS), tabled on Wednesday in Cape Town.But Gordhan expected South Africa’s economic growth to rise to 1.7% in 2017. “If we do the right things to support investment and confidence, our economic recovery will be more rapid,” he said.Growth in different sectorsThe National Treasury said growth in real output remained moderate in the first six months of the year compared with the same period in 2015.Growth in the mining sector declined and the agricultural output weakened as a result of the drought.In addition, growth in transport and telecommunications, as well as in electricity, gas and water, fell on weak demand. However, manufacturing output strengthened following a contraction in 2015, while finance, real estate and business services remained buoyant.“To achieve the goal of economic transformation and build an equitable society, South Africa requires higher growth.“Without decisive action, a protracted period of low growth will set back the country’s ability to realise the constitutional vision to ‘improve the quality of life of all citizens and free the potential of each person.’”Global and regional conditionsThe National Treasury also said that the outlook for sub-Saharan Africa was marked by low commodity prices and falling export revenues, which had led to foreign currency shortages.The 2016 growth forecast for the region has been revised down from 3% in April to 1.4%, with large economies such as Nigeria and Angola hard hit by low oil prices and disruptions in production.“Slower growth in the region and global trade weakness limit South Africa’s export potential.“Greater economic integration with the rest of the continent would enable export-orientated South African firms to capitalise on stronger pockets of growth and increase their share of African trade.”Its economic forecast, said the National Treasury, incorporated the outlook for 15 major trading partners, as presented in the October 2016 World Economic Outlook, published by the International Monetary Fund (IMF).“Average growth of 4.1% is forecast for these economies in 2017.”Meanwhile, the National Treasury said that over the short term, the United Kingdom’s intention to leave the EU, South Africa’s traditional trade partner, would remain a source of financial volatility, alongside concerns about the health of major European banks.Brexit’s long-term effects, including on South Africa, depended on timing and the nature of trade and investment treaties to be negotiated with the EU, it said.Source: South African Government News Agency Would you like to use this article in your publication or on your website? See Using Brand South Africa material.
Teams in the lower rung mix it up for all-important wins Wednesday in the Premier Volleyball League Open Conference at Filoil Flying V Centre in San Juan.Of the four teams seeing action, only Air Force has a win to show and it hopes to add to that number as it takes on University of the Philippines at 4 p.m. Power Smashers and Adamson-Akari both hunt for a first win when they collide at 6 p.m.ADVERTISEMENT The Jet Spikers are coming off a defeat at the hands of unbeaten Creamline last Sunday.They are expected to bounce back against the young and inexperienced Lady Maroons who, despite dropping their first two games, have shown a big fighting heart.FEATURED STORIESSPORTSSEA Games: Biñan football stadium stands out in preparedness, completionSPORTSPrivate companies step in to help SEA Games hostingSPORTSWin or don’t eat: the Philippines’ poverty-driven, world-beating pool starsThe Lady Falcons have also proved their worth after causing trouble against Perlas-BanKo in their previous contest. ‘Solid’ PH boxing team capable of taking home golds in SEAG Ethel Booba on hotel’s clarification that ‘kikiam’ is ‘chicken sausage’: ‘Kung di pa pansinin, baka isipin nila ok lang’ Robredo: True leaders perform well despite having ‘uninspiring’ boss PLAY LIST 02:49Robredo: True leaders perform well despite having ‘uninspiring’ boss02:42PH underwater hockey team aims to make waves in SEA Games01:44Philippines marks anniversary of massacre with calls for justice01:19Fire erupts in Barangay Tatalon in Quezon City01:07Trump talks impeachment while meeting NCAA athletes02:49World-class track facilities installed at NCC for SEA Games Pagasa: Kammuri now a typhoon, may enter PAR by weekend View comments Sports Related Videospowered by AdSparcRead Next Another vape smoker nabbed in Lucena Pagasa: Storm intensifies as it nears PAR El Nido residents told to vacate beach homes LOOK: Jane De Leon meets fellow ‘Darna’ Marian Rivera LATEST STORIES China furious as Trump signs bills in support of Hong Kong MOST READ Don’t miss out on the latest news and information. Lacson: SEA Games fund put in foundation like ‘Napoles case’