Stats SA said that the economy shrank by 16.4% from the first quarter to the second quarter and Statistician-General Risenga Maluleka said that he could not say whether things would get better in the near future.
He said if the economy continues to contract in a similar way for the next few quarters, the annualised figure would be 51%.
Stats SA said that the economic slowdown was broad-based.
“The economy is one of the most sensitive things. It could react to endogenous developments or exogenous developments, so something happening in the country can affect the economy and something happening outside, let’s look at oil shock… if there’s an oil shock, you could have the economy impacted.”
“The manufacturing industry contracted by 74.9% in the second quarter. All 10 manufacturing divisions reported negative growth rates in the second quarter. The trade, catering and accommodation industry decreased by 67.6%.
“Decreased economic activity was reported in wholesale trade, retail trade, motor trade, catering and accommodation.”