According to economic analysis data released in mid-June, although South Africa’s first-quarter gross domestic product (GDP) grew by 0.5%, defying market expectations, household consumption expenditure grew by a mere 0.1% compared to 1.2% in the previous quarter, revealing a severe contraction in domestic demand. Economists have warned that the strain on households and the retail sector will intensify from the second half of the year, when the full impact of recent geopolitical instability and soaring energy prices begins to be reflected in the data. Major investment institutions, including Citadel, are suggesting the possibility of further hawkish measures by the central bank to stabilise prices and are revising their annual growth forecasts for this year downwards to below 1%.
https://businesstech.co.za/news/business/863393/calm-before-the-storm-for-south-africa-2/