Covid-19 takes its toll as the economy contracts in second quarter of 2020

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By Liesl Smit


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Gross domestic product fell by just over 16% between the first and second quarters of 2020, giving an annualised growth rate of ‑51%.

The steep slump in GDP is due to the COVID-19 lockdown taking its toll on the economy.

The secondary sector decreased by 72,0%, dragged lower by manufacturing, electricity and construction.

Household spending on most products declined in the second quarter.

In a statement Stats SA says perhaps the second quarter of 2020 will become known as the “pandemic quarter”.

South Africa’s economy suffered a significant contraction during April, May and June, when the country operated under widespread lockdown restrictions in response to COVID-19.

Read more HERE.

Liesl Smit
Liesl Smit
Liesl is the Smile 90.4FM News Manager. She has been at Smile since 2016, with nearly 20 years experience in the radio industry, including reading news, field reporting and producing. In 2008 she won the Vodacom Journalist of the Year Award, Western Cape region. liesl@smile904.fm

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