SOUTH AFRICA’S CABINET WELCOMES ECONOMIC RECOVERY

PRETORIA, The Cabinet has welcomed the positive Gross Domestic Product (GDP) growth of 2.5 per cent recorded in the second quarter of 2017 saying it is cautiously optimistic of South Africa's economic recovery.

Last week Statistics South Africa (Stats SA) released Q2 GDP data which showed that the economy grew by 2.5 per cent quarter on quarter in the second quarter. The growth means that the country has exited a technical recession following a contraction of 0.7 per cent in the first quarter following a 0.3 per cent contraction in the fourth quarter of 2016.

The Cabinet welcomes the positive growth in the Gross Domestic Product (GDP) of 2.5 per cent in the second quarter of 2017. Although cautiously optimistic, Cabinet is convinced the country is seeing the first positive signs of what is hopefully the start of the country's economic recovery firmly built on the implementation of the Nine-Point Plan, which aims to grow the South African economy and create much-needed jobs, the Cabinet said in a statement here Thursday.

Referring to the Department of Trade and Industry's Black Industrialist Programme, the Cabinet said the programme had to date supported 62 projects, which had attracted 26 billion Rand (about 1.975 billion US dollars) in private sector investment and created 19,859 jobs to date. In order to support localisation, 21 products and sectors have been designated for local production.

The programme is specifically dedicated to supporting the growth and building the global competitiveness of majority black-owned and managed businesses in the manufacturing sector.

We now have passed the halfway mark of the first 100. In fact, it is now 62 in terms of approvals. The target is for us to reach 100 by the end of this financial year, Trade and Industry Minister Rob Davies told a media briefing earlier in the week.

Source: NAM NEWS NETWORK

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