World Economy

S. Africa BCI at 2.5-Year High

S. Africa BCI at 2.5-Year HighS. Africa BCI at 2.5-Year High

South Africa’s business confidence rose for a third month in a row in January to its highest since late 2015, on expectations that the new leadership of the ruling party will stabilize economic policy, a survey showed on Tuesday, Reuters reported. The South African Chamber of Commerce and Industry’s monthly business confidence index rose to 99.7 in January from 96.4 in December. Increases in import volumes, a stronger currency and higher retail sales volumes all boosted sentiment, the business body said. “There is the expectation that new leadership will lead to more promising and consistent business and economic policy options,” economists at SACCI said in a statement. The rand is trading at its strongest in three years, advancing about 20% since November. Most of those gains came after businessman Cyril Ramaphosa was elected president of the ruling African National Congress in December. The continent’s most industrialized economy sank into recession in the first quarter of 2017 before recovering, but investor and consumer confidence have remained subdued due to political and policy uncertainty linked to President Jacob Zuma.


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